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-   -   Majors To Absorb Regionals In The Future? (https://www.airlinepilotforums.com/regional/81315-majors-absorb-regionals-future.html)

sailingfun 05-04-2014 03:23 AM


Originally Posted by DOGIII (Post 1635979)
Why would they be forced back to FO? They could choose to stay in status and base on the rj. I cannot imagine many senior pilots would bid down to the rj and force these captains to an FO position of any kind on a different bird and even if they did- there would be plenty of junior rj captains leaving to the right seat of the bigger planes which would practically level the bid.
I think people are stuck in a "flow" mentality here. The hypothetical proposition I am offering for debate in this thread is neither a flow nor a traditional staple to the bottom of a list- it is folding in the entire carrier (pilots, fleets, bases and lines etc.) to the major airlines ranks, generally keeping the operation intact.

Once you fold that flying into the major you have to be able to do it with costs in line with the rest of the industry. If not the flying goes away and quickly.
If a major wants to control all flying it would be cheaper and with dramatically fewer ancillary issues to simply stop renewing feed contracts and ad the flying to the mainline. There is no need for the night mare ever merger seems to become.

DOGIII 05-04-2014 03:23 AM


Originally Posted by sailingfun (Post 1635985)
Quote:





Originally Posted by Navmode


What I believe will happen:

Some mainline carrier will find their most profitable contract carrier, buy them out, and staple everyone to the bottom of the seniority list. No more scope to worry about limiting seat capacity, and they would be able to take advantage of the cheaper regional flying at cost. It's basically a flow without the shenanigans and technical red tape.

I can see many people at X carrier accepting a status quo contract renewal if they had a mainline seniority number, and were just waiting to move into a 737/a320 or what have you at normal mainline pay rates. Pilots would come out of the woodwork for an opportunity like that, and every class would be full. The first mainline carrier to do such a thing would not only have the pick of the litter, but would set the tone for the way the industry will look for the foreseeable future.




Past history shows the purchased carrier would not agree to a staple. Most managements are also unlikely to give up all control of the hiring process.

Unless this process starts with the wholly owned carriers - the management teams their hardly have a say in what control they give up...

slammer1906 05-04-2014 04:49 AM

1. The trend has been to spin off regional partners.
2. An independent publicly owned regional would have to agree to be bought out or be taken over under hostility.
3. A privately owned regional would have to see gold at the end of the rainbow to give up it's cash cow.
4. Unionized pilots would pitch a fit. Who knows what the other labour groups would say.
5. I really can't see upper mgmt at these regionals giving up their gigs.
6. Stranger things have happened..

DOGIII 05-04-2014 05:01 AM


Originally Posted by slammer1906 (Post 1636013)
1. The trend has been to spin off regional partners.
2. An independent publicly owned regional would have to agree to be bought out or be taken over under hostility.
3. A privately owned regional would have to see gold at the end of the rainbow to give up it's cash cow.
4. Unionized pilots would pitch a fit. Who knows what the other labour groups would say.
5. I really can't see upper mgmt at these regionals giving up their gigs.
6. Stranger things have happened..

I think you raise valid points regarding contract carriers- but I am trying to establish if this could be done with wholly owned regionals. How would the contract carriers compete for applicants if they are flocking to these absorbed regionals?
There could be some backlash from the unions as you say , but let's think why... Would union pilots handed a seniority number, accruing seniority, longevity and mainline benefits complain?

Captain Tony 05-04-2014 05:17 AM


Originally Posted by DOGIII (Post 1635868)
Why can't they both keep their cheap outsourced flying and give everyone seniority numbers. They would have plenty of applicants at the door that would gladly fly RJ's at low rates keeping the feed staffed and all these guys can bid to fly the larger aircrafts when their seniority can hold it...
How else would mainlines hold any pilots at these express units with the amount of movement that could be around the corner?

Because the majority of mainline pilots think regional pilots are a bunch of misfits with DUIs, no degrees, checkride failures, and no service to their country. They feel regional pilots are not properly vetted, and if they want to be Mainline Pilots they need to go through the interview process and earn it. Like they did.

slammer1906 05-04-2014 05:20 AM

Would unions complain? Maybe, maybe not. The pilot group would have to vote on the issue.
We're starting to see a trend of pilots flocking to regionals with descent work rules. If the wholly owned regional, which only four exist, have a sub standard contract, they'll have a hard time attracting quality pilots anyway.
PSA just voted in a low quality contract. Endeavor has a low quality contract. Envoy will more than likely shrink. Piedmont is kinda a toss up at the moment. Those being the only wholly owned, it may be hard to sell to the savvy new hire.

Captain Tony 05-04-2014 05:21 AM


Originally Posted by rcfd13 (Post 1635951)
Senior captains at the regionals would fight that as hard as they possibly could. There would probably also be lawsuits involved. Can you imagine a bunch of 30 year RJ captains who live in base and fly nothing but high credit locals and CDOs being stapled to the bottom of a major list, going back to FO and being forced to commute to reserve in NYC?

There are quite a few people at most regionals who have no plans to leave the regionals and would pitch a fit over any kind of absorption that they wouldn't have the right to pass up.

Not that I think any of this will happen, but the scenario you envision wouldn't be the case because there would be a two way fence. Maybe for 10 years or more, that would prevent the bump/flush. Everyone would keep their current position, the pay check would just come from somewhere else.

amcnd 05-04-2014 05:21 AM


Originally Posted by Nantonaku (Post 1635961)
This is coming soon, by the end of the year. The big three need pilots for their brand. There is a need currently but in 3-4 years without a steady source of pilots these airlines will be in a world of hurt. The first airline to innovate and make a move will be way ahead of the game. We are all focused on the shorterm, this is not a short term move, it is a move to capture the required manpower over the next 5 years and bring in the next generation of pilots. The smart airlines looking into the future are already actively working on this and recruiting from the flight schools trying to secure pilots for their brand. Regionals will eventually be the entry job for the mainline brands. This will allow a select few regionals to properly staff and provide for a more defined career path which will allow for more financing options for potential pilot candidates.

Doubt it UA was looking into a "flow" program until they realized they had 5000 apps on file.. The majors will never have a problem with so call "mythical" shortage...

Captain Tony 05-04-2014 05:27 AM


Originally Posted by amcnd (Post 1636025)
Doubt it UA was looking into a "flow" program until they realized they had 5000 apps on file.. The majors will never have a problem with so call "mythical" shortage...

This. There is no pilot shortage. There are regional airlines that can't get people to invest $100K for a $22K job.

The legacy carriers will never have a shortage of applicants. There will always be plenty of well connected regional pilots, and retiring military pilots to fill those spots.

But if they do, they will simply go to ab-initio training like all the other major carriers of the world. Most current regional pilots need to start accepting that they will never get that coveted mainline job.

DOGIII 05-04-2014 05:31 AM


Originally Posted by amcnd (Post 1636025)

Doubt it UA was looking into a "flow" program until they realized they had 5000 apps on file.. The majors will never have a problem with so call "mythical" shortage...

I agree that the majors will likely never face a real shortage, but their express feed will and they will have to find a way to defend it.


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