Looks Like its up to the pilots now....
01-13-2014, 10:42 AM
#1
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Joined APC: Feb 2007
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Looks Like its up to the pilots now....
Why didn't anyone share this great news??
American Eagle pilots? union and management reach new labor contract | Dallas Morning News
American Eagle’s pilots union reached an labor contract with the regional carrier’s management that guarantees 60 new Embraer 175 planes that parent American Airlines ordered last month for it.
American Eagle and the Air Line Pilots Association announced the agreement late last night.
American Eagle officials declined to comment beyond a memo it issued last night in which it said the agreement represents “a very bright future” for the company and its pilots. (See below)
William Sprague, chairman of ALPA’s Master Executive Council at Eagle, was traveling and couldn’t respond immediately.
Under the 10-year contract, Eagle pilots’ pay rate scales will be frozen until 2018, their contributions to health insurance will rise starting in 2015 and they will see enhanced flowthrough opportunities to American Airlines. The new contract also includes options for Eagle to operate 90 other Embraer 175 aircraft, the regional carrier and the union said. (See more details in ALPA’s letter below.)
Here is the electronic letter from American Eagle’s president Pedro Fabregas issued last night:
Dear American Eagle Team:
I am very pleased to report an agreement in principle, subject to language being finalized, has been reached with our pilots, represented by the Air Line Pilots Association (ALPA). If ratified, this agreement will form the foundations of a very bright future for not only our company, but also for our pilots by providing them new, large and modern aircraft to fly and a faster path to growing their careers at American Airlines.
The agreement will allow American Eagle Airlines to upgrade its fleet with a guarantee of 60 new Embraer 175 (E175) regional jets beginning in the first quarter of 2015. Additionally, American Eagle Airlines will operate up to 90 additional E175 jets should American Airlines exercise the options on those aircraft. The E175 is a top-tier regional product that offers a First Class cabin, Main Cabin Extra and in-flight Wi-Fi – important elements of an improved flying experience for our passengers. As one of the most fuel-efficient modern aircraft, the E175 will lower operating costs for our flying business when they begin replacing some of our smaller, less efficient 50-seat regional aircraft scheduled for retirement.
For our pilots specifically, this agreement dramatically improves their ability to further their careers at American Airlines by enhancing the company’s industry-leading Eagle-to-mainline flow through rights for current and new hire Eagle pilots. The time it takes for many of our pilots to qualify and be given priority over external candidates for pilot positions at American with this enhanced flow through will be nearly cut in half, allowing our current pilots to quickly advance and grow their careers at both Eagle and American. It will also help us attract the best new talent because we will be able to offer a clear career path to a mainline carrier and a positive career expectation no other regional carrier can currently offer.
Much work and discussion went into creating this agreement in principle that would satisfy all groups involved and should this be ratified, the future of our company has never looked brighter. ALPA will announce details of the agreement, which is subject to language being finalized, and a voting schedule soon and we are pleased our professional pilots will have the opportunity to vote on their future.
I commit to keeping you informed of any news and developments and as always, thank you for all of your work on behalf of our passengers and American Eagle Airlines.
Best Regards,
Pedro
Here is the memo from ALPA’s Master Executive Council sent to its members last night:
MEC Hotline – January 10, 2014
Today, the MEC affirmed an Agreement In Principle (AIP) giving the company contractual concessions in return for a guarantee of 60 new Embraer 175 aircraft, options for 90 more, and increased flow through opportunities. Attached to this communication is a summary of the agreement. We encourage all pilots to read this document thoroughly.
The ALPA officers and leadership are preparing further communications for the pilot group in order to ensure that everyone has a complete understanding of all the facets of this AIP. The purpose of this AIP is to allow the process of moving toward changes in our pilot contract. Before the changes actually become effective, ALPA will conduct an educational campaign and appearance events allowing all pilots to give feedback, ask questions and gain a thorough understanding. During this process, ALPA and the company must reach agreement on the contractual language. At that point, the MEC will reconvene to review and approve the language. Upon MEC approval, the language will then be made available to the pilots prior to a ratification vote.
This AIP will have varying levels of impact upon different pilots in the group and will take time to sufficiently grasp. Your leadership is committed to the education of the pilot group. Please contact your status reps with questions, concerns or feedback and we will do everything possible to respond.
The company chose to put us in this onerous position, however we will work through this together. This agreement will live or die on its merits alone. Even though there will be differing opinions, I am committed to maintaining an unbiased, objective perspective throughout the remainder of the process.
Fly safe,
Bill Sprague
MEC Chairman
SUMMARY OF THE AGREEMENT IN PRINCIPLE — JANUARY 10, 2014
Duration
10 years from DOS.
Compensation
Pay rate scales will be frozen until 2018.
Beginning 1/1/2018, pilots will receive 1% annual increases unless they have declined flow through. However, Captains at longevity step 18 as of the date of signing of this agreement who decline flow through will receive the 1% annual pay rate increases beginning in 2018.
Captain and First Officer turbo-prop rates will be eliminated.
Longevity step increases will continue until the first EMB-175 delivery or 3/31/2015, whichever is later; Thereafter, the Captain pay scale will be capped at 12 years of service and the First Officer pay scale will be capped at 4 years of service. Captains above pay step 12 and First Officers above pay step 4 on that date will remain at their current step.
Effective with the 1st EMB-175 delivery, a pilot who declines an offer at American Airlines will cease to receive longevity step increases at the time he declines flow through, except that any captain at steps 15 through 17 when the first EMB-175 is delivered will be allowed to advance to step 18.
Effective 1/1/2014, profit sharing will be eliminated as long as it is eliminated for all other AE employees.
Enhanced Flowthrough
Beginning 9/1/2014, American Eagle will not restrict the flow of pilots to less than 30 per month.
Protected Pilots The minimum available AA class positions will be increased from 35% to 50% for pilots who were on the seniority list as of 10/11/2011. All pilots hired after 10/11/2011 (including future hires) will have the same flow through opportunities provided by the Protected Pilot Agreement.
- The minimum available AA class positions will be 50%.
- Pilots hired after 10/11/2011 may be withheld for active Performance/Attendance Advisories. An expedited dispute resolution process will be available to such pilots.
Annual True-up In any year that AA hires 720 or more pilots, at least 360 will be effective 1/1/2015
Eagle Flowthrough Pilots In any year that AA hires fewer than 720 pilots, at least 50% will be Eagle Flowthrough Pilots. This does not release the company from the obligation to release at least 30 pilots/month subject to the 50% calculation. Within 30 days of mainline integration, Eagle and ALPA will meet and consider flow through enhancements.
Nothing in this proposal will compromise the Association’s position with respect to the current withholding dispute.
Sick
Accrual hours/month After 90 days but less than 5 years of service: 3.5 hours/month
Effective 1/1/2015 After 5 years of service: 4.0 hours/month
Supplemental Sick Banks will be frozen but remain available.
Effective DOS Eliminate 7 day waiting period for access to supplemental sick.
Reserve days will be paid and credited at 4 hours/day.
PTO system will be eliminated.
Vacation
Accrual After 1 year 1 week
Effective 1/1/2016 After 2 years 2 weeks
After 7 years 3 weeks
After 14 years 4 weeks
No pilot’s accrual rate will be lower than the rate he or she has on 1/1/2016.
Vacation for new hires will be pro-rated in accordance with the current Eagle Contract.
Return to the 2009 CBA vacation section except as modified above.
PTO system will be eliminated.
EMB-175 Initial Cadre
The company wants to abbreviate the training when the EMB-175s are delivered, so the initial cadre may be trained in advance and returned to their old equipment until EMB-175s are delivered.
The initial cadre training for EMB-175 pilots who are trained in the EMB-175 will return to their existing equipment type once the initial cadre training is completed.
No company jeopardy during the training to return to existing equipment and subsequent requalification training for the EMB-175.
Per Diem
Per diem will be $1.80 for the duration of the contract.
Medical
Effective 1/1/15, increase employee contribution from 30% to 31%
Effective 1/1/16, increase employee contribution to 33%
Effective 1/1/17, increase employee contribution to 35%
Retirement
Maintain Eagle 401(k) plan.
PBS
The parties’ obligations under Letter 13-04 are suspended (without retroactive effect) until delivery of the 61st EMB-175 at American Eagle Airlines.
Signing Bonus
$1500 paid to each active pilot as of the date of ratification.
Payments will be made within 30 days after DOS.
Amendment Round
Reopener of no cost items at 5 years after Date of Signing. Each party may submit up to 5 issues which will be resolved in interest arbitration if not resolved in negotiations.
Fleet Commitment
Minimum of 60 EMB-175s to be operated by pilots on the seniority list.
If AAG acquires additional EMB-175 aircraft from the manufacturer, the first 90 such aircraft delivered will be placed on the EGL operating certificate.
American Eagle pilots? union and management reach new labor contract | Dallas Morning News
American Eagle’s pilots union reached an labor contract with the regional carrier’s management that guarantees 60 new Embraer 175 planes that parent American Airlines ordered last month for it.
American Eagle and the Air Line Pilots Association announced the agreement late last night.
American Eagle officials declined to comment beyond a memo it issued last night in which it said the agreement represents “a very bright future” for the company and its pilots. (See below)
William Sprague, chairman of ALPA’s Master Executive Council at Eagle, was traveling and couldn’t respond immediately.
Under the 10-year contract, Eagle pilots’ pay rate scales will be frozen until 2018, their contributions to health insurance will rise starting in 2015 and they will see enhanced flowthrough opportunities to American Airlines. The new contract also includes options for Eagle to operate 90 other Embraer 175 aircraft, the regional carrier and the union said. (See more details in ALPA’s letter below.)
Here is the electronic letter from American Eagle’s president Pedro Fabregas issued last night:
Dear American Eagle Team:
I am very pleased to report an agreement in principle, subject to language being finalized, has been reached with our pilots, represented by the Air Line Pilots Association (ALPA). If ratified, this agreement will form the foundations of a very bright future for not only our company, but also for our pilots by providing them new, large and modern aircraft to fly and a faster path to growing their careers at American Airlines.
The agreement will allow American Eagle Airlines to upgrade its fleet with a guarantee of 60 new Embraer 175 (E175) regional jets beginning in the first quarter of 2015. Additionally, American Eagle Airlines will operate up to 90 additional E175 jets should American Airlines exercise the options on those aircraft. The E175 is a top-tier regional product that offers a First Class cabin, Main Cabin Extra and in-flight Wi-Fi – important elements of an improved flying experience for our passengers. As one of the most fuel-efficient modern aircraft, the E175 will lower operating costs for our flying business when they begin replacing some of our smaller, less efficient 50-seat regional aircraft scheduled for retirement.
For our pilots specifically, this agreement dramatically improves their ability to further their careers at American Airlines by enhancing the company’s industry-leading Eagle-to-mainline flow through rights for current and new hire Eagle pilots. The time it takes for many of our pilots to qualify and be given priority over external candidates for pilot positions at American with this enhanced flow through will be nearly cut in half, allowing our current pilots to quickly advance and grow their careers at both Eagle and American. It will also help us attract the best new talent because we will be able to offer a clear career path to a mainline carrier and a positive career expectation no other regional carrier can currently offer.
Much work and discussion went into creating this agreement in principle that would satisfy all groups involved and should this be ratified, the future of our company has never looked brighter. ALPA will announce details of the agreement, which is subject to language being finalized, and a voting schedule soon and we are pleased our professional pilots will have the opportunity to vote on their future.
I commit to keeping you informed of any news and developments and as always, thank you for all of your work on behalf of our passengers and American Eagle Airlines.
Best Regards,
Pedro
Here is the memo from ALPA’s Master Executive Council sent to its members last night:
MEC Hotline – January 10, 2014
Today, the MEC affirmed an Agreement In Principle (AIP) giving the company contractual concessions in return for a guarantee of 60 new Embraer 175 aircraft, options for 90 more, and increased flow through opportunities. Attached to this communication is a summary of the agreement. We encourage all pilots to read this document thoroughly.
The ALPA officers and leadership are preparing further communications for the pilot group in order to ensure that everyone has a complete understanding of all the facets of this AIP. The purpose of this AIP is to allow the process of moving toward changes in our pilot contract. Before the changes actually become effective, ALPA will conduct an educational campaign and appearance events allowing all pilots to give feedback, ask questions and gain a thorough understanding. During this process, ALPA and the company must reach agreement on the contractual language. At that point, the MEC will reconvene to review and approve the language. Upon MEC approval, the language will then be made available to the pilots prior to a ratification vote.
This AIP will have varying levels of impact upon different pilots in the group and will take time to sufficiently grasp. Your leadership is committed to the education of the pilot group. Please contact your status reps with questions, concerns or feedback and we will do everything possible to respond.
The company chose to put us in this onerous position, however we will work through this together. This agreement will live or die on its merits alone. Even though there will be differing opinions, I am committed to maintaining an unbiased, objective perspective throughout the remainder of the process.
Fly safe,
Bill Sprague
MEC Chairman
SUMMARY OF THE AGREEMENT IN PRINCIPLE — JANUARY 10, 2014
Duration
10 years from DOS.
Compensation
Pay rate scales will be frozen until 2018.
Beginning 1/1/2018, pilots will receive 1% annual increases unless they have declined flow through. However, Captains at longevity step 18 as of the date of signing of this agreement who decline flow through will receive the 1% annual pay rate increases beginning in 2018.
Captain and First Officer turbo-prop rates will be eliminated.
Longevity step increases will continue until the first EMB-175 delivery or 3/31/2015, whichever is later; Thereafter, the Captain pay scale will be capped at 12 years of service and the First Officer pay scale will be capped at 4 years of service. Captains above pay step 12 and First Officers above pay step 4 on that date will remain at their current step.
Effective with the 1st EMB-175 delivery, a pilot who declines an offer at American Airlines will cease to receive longevity step increases at the time he declines flow through, except that any captain at steps 15 through 17 when the first EMB-175 is delivered will be allowed to advance to step 18.
Effective 1/1/2014, profit sharing will be eliminated as long as it is eliminated for all other AE employees.
Enhanced Flowthrough
Beginning 9/1/2014, American Eagle will not restrict the flow of pilots to less than 30 per month.
Protected Pilots The minimum available AA class positions will be increased from 35% to 50% for pilots who were on the seniority list as of 10/11/2011. All pilots hired after 10/11/2011 (including future hires) will have the same flow through opportunities provided by the Protected Pilot Agreement.
- The minimum available AA class positions will be 50%.
- Pilots hired after 10/11/2011 may be withheld for active Performance/Attendance Advisories. An expedited dispute resolution process will be available to such pilots.
Annual True-up In any year that AA hires 720 or more pilots, at least 360 will be effective 1/1/2015
Eagle Flowthrough Pilots In any year that AA hires fewer than 720 pilots, at least 50% will be Eagle Flowthrough Pilots. This does not release the company from the obligation to release at least 30 pilots/month subject to the 50% calculation. Within 30 days of mainline integration, Eagle and ALPA will meet and consider flow through enhancements.
Nothing in this proposal will compromise the Association’s position with respect to the current withholding dispute.
Sick
Accrual hours/month After 90 days but less than 5 years of service: 3.5 hours/month
Effective 1/1/2015 After 5 years of service: 4.0 hours/month
Supplemental Sick Banks will be frozen but remain available.
Effective DOS Eliminate 7 day waiting period for access to supplemental sick.
Reserve days will be paid and credited at 4 hours/day.
PTO system will be eliminated.
Vacation
Accrual After 1 year 1 week
Effective 1/1/2016 After 2 years 2 weeks
After 7 years 3 weeks
After 14 years 4 weeks
No pilot’s accrual rate will be lower than the rate he or she has on 1/1/2016.
Vacation for new hires will be pro-rated in accordance with the current Eagle Contract.
Return to the 2009 CBA vacation section except as modified above.
PTO system will be eliminated.
EMB-175 Initial Cadre
The company wants to abbreviate the training when the EMB-175s are delivered, so the initial cadre may be trained in advance and returned to their old equipment until EMB-175s are delivered.
The initial cadre training for EMB-175 pilots who are trained in the EMB-175 will return to their existing equipment type once the initial cadre training is completed.
No company jeopardy during the training to return to existing equipment and subsequent requalification training for the EMB-175.
Per Diem
Per diem will be $1.80 for the duration of the contract.
Medical
Effective 1/1/15, increase employee contribution from 30% to 31%
Effective 1/1/16, increase employee contribution to 33%
Effective 1/1/17, increase employee contribution to 35%
Retirement
Maintain Eagle 401(k) plan.
PBS
The parties’ obligations under Letter 13-04 are suspended (without retroactive effect) until delivery of the 61st EMB-175 at American Eagle Airlines.
Signing Bonus
$1500 paid to each active pilot as of the date of ratification.
Payments will be made within 30 days after DOS.
Amendment Round
Reopener of no cost items at 5 years after Date of Signing. Each party may submit up to 5 issues which will be resolved in interest arbitration if not resolved in negotiations.
Fleet Commitment
Minimum of 60 EMB-175s to be operated by pilots on the seniority list.
If AAG acquires additional EMB-175 aircraft from the manufacturer, the first 90 such aircraft delivered will be placed on the EGL operating certificate.
01-13-2014, 11:31 AM
#4
Gets Weekends Off
Joined APC: Sep 2009
Position: N/A
Posts: 637
Please learn the difference between an Agreement in Principle, Tentative Agreement, and a Ratified Contract. It's a process and the AE pilot group isn't voting on anything yet, although they most likely will in the near future once language is approved and a TA is reached.
01-13-2014, 12:06 PM
#5
Gets Weekends Off
Joined APC: Jan 2013
Posts: 1,648
Originally Posted by bailee atr
It's an AIP only. The MEC still has to approve final language. Then it gets sent to the pilots to vote on. There is still time to vote this thing down.
01-13-2014, 12:56 PM
#6
Gets Weekends Off
Joined APC: Oct 2013
Position: Prone
Posts: 399
The general attitude out there from those who want this, is that it's better to have 80 percent of something (and be employed) than 100 percent of nothing (unemployed). I guess it's all a matter of whether those who disagree feel like rolling the dice and calling AMR's bluff. AMR is an expert in coercion and they use it time and again because it works time and again.
01-13-2014, 01:02 PM
#7
Banned
Joined APC: May 2012
Posts: 1,071
Originally Posted by sevenforseven
The general attitude out there from those who want this, is that it's better to have 80 percent of something (and be employed) than 100 percent of nothing (unemployed)
Even if they want to shut you down, they can't do it immediately. It'll take years to shift that flying. Do you plan on being a regional lifer?
01-13-2014, 01:09 PM
#8
Gets Weekends Off
Joined APC: Jan 2013
Posts: 1,648
Originally Posted by Slats
This is the standard puccy cop out. Grow a pair already and vote NO.
Even if they want to shut you down, they can't do it immediately. It'll take years to shift that flying. Do you plan on being a regional lifer?
Even if they want to shut you down, they can't do it immediately. It'll take years to shift that flying. Do you plan on being a regional lifer?
Look at the "who has been hired" thread in the major forum, it's all high time mil guys and interns/great recs. Average joes aren't getting a shot and by the time we do who is to say they'll still be hiring?
This isn't a vote for the short term, it very well could be a vote for the next 10+ years of your career.
01-13-2014, 01:22 PM
#10
Gets Weekends Off
Joined APC: Oct 2013
Posts: 516
Something to chew on for Eagle Pilots...
"Mitch Vasin
Hi everybody. Eagle alumnus here - 10/12/1998 left for America West in March 2004. I still have many friends there and I remain a staunch supporter of Eagle pilots. Eagle has always been the Cadillac of regional airlines in terms of its quality of people and to see you all getting treated like this makes me sick. I served in a union leadership role at America West so I wanted to provide you with some insight as to the folks you're dealing with (since it is the AWA management team that now runs AA). They ***alway******* lead off their negotiations with a giant scare. In 2005, the US Airways and America West pilots began negotiating a contract for the merged airline, and on the very first day of negotiations the company threatened to place both pilot groups under US Airways' bankruptcy contract if the groups did not negotiate a "cost-neutral" contract. Because the America West pilots made more money than the US Airways pilots, "cost-neutral" meant that the America West pilots (who were already severely underpaid) would have to take PAY CUTS to give the US Airways pilots a slight raise. This threat was made at a time when the company made record profits and our CEO Doug Parker made the most money he had ever made in his life. Not long thereafter, during one of our many seniority lawsuits, the company had to confess to the judge that their threat was simply not possible and that they made the statement to "manage expectations." I don't see anything different here, and I would be VERY surprised if liquidating Eagle was really their Plan B if you don't ratify the contract. They play an aggressive game of mental warfare to lows that I never saw from previous Eagle management. It is difficult for me to purport to tell you how to vote since I don't have any skin in the game, but I cannot stand here on the sidelines and watch this management team terrorize a group of pilots for whom I have a tremendous amount of respect. I just want you all to know that there are lots of us in the industry that support you. Good luck and God speed.
Mitch Vasin
Former AWA ALPA MEC Vice-Chairman
PHX A320 FO"
"Mitch Vasin
Hi everybody. Eagle alumnus here - 10/12/1998 left for America West in March 2004. I still have many friends there and I remain a staunch supporter of Eagle pilots. Eagle has always been the Cadillac of regional airlines in terms of its quality of people and to see you all getting treated like this makes me sick. I served in a union leadership role at America West so I wanted to provide you with some insight as to the folks you're dealing with (since it is the AWA management team that now runs AA). They ***alway******* lead off their negotiations with a giant scare. In 2005, the US Airways and America West pilots began negotiating a contract for the merged airline, and on the very first day of negotiations the company threatened to place both pilot groups under US Airways' bankruptcy contract if the groups did not negotiate a "cost-neutral" contract. Because the America West pilots made more money than the US Airways pilots, "cost-neutral" meant that the America West pilots (who were already severely underpaid) would have to take PAY CUTS to give the US Airways pilots a slight raise. This threat was made at a time when the company made record profits and our CEO Doug Parker made the most money he had ever made in his life. Not long thereafter, during one of our many seniority lawsuits, the company had to confess to the judge that their threat was simply not possible and that they made the statement to "manage expectations." I don't see anything different here, and I would be VERY surprised if liquidating Eagle was really their Plan B if you don't ratify the contract. They play an aggressive game of mental warfare to lows that I never saw from previous Eagle management. It is difficult for me to purport to tell you how to vote since I don't have any skin in the game, but I cannot stand here on the sidelines and watch this management team terrorize a group of pilots for whom I have a tremendous amount of respect. I just want you all to know that there are lots of us in the industry that support you. Good luck and God speed.
Mitch Vasin
Former AWA ALPA MEC Vice-Chairman
PHX A320 FO"
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