AIP Rumor Mill
 

Here’s what we’ve heard so far:

Agreement in principle reached to mitigate all furloughs

cancel displacements of *top 2 thirds* of pilot group

all DH in first

11K LTD

some RSV improvements

bottom 1/3 (who would of been furloughed) get 50% MPG, Middle 1/3 takes 20% MPG cut, top 1/3 takes 10% MPG cut

Dynamic snap backs based on demand metrics compared to 2019 demand #’s

costs the company more money than a straight furlough

flexibility to quickly recover

11k LTD permanent after 6 months

1st Class DH - permanent after 6 months

RSV rules - permanent after 6 months

Decent pay raise after 6 months

bottom 1/3rd displacements ARE NOT cancelled

snap up metrics are based on Load Factor, not revenue

the decrease in MPG goes up starting at 60% LF

Add bottom 1/3 of list not pay protected from any displacement since March 2020

Any reattack on the Early Out program for the 62-64 crowd who didn't take it last time?

I keep hearing about MPG cuts, but what about Line Credit Averages, Line Credit Floors, and Line Credit Caps for schedule building?

Scope changes? For the better or worse?

What about contractual provisions that are triggered during furloughs? For example the 'tightening' of the LCA to 74-82?

What if a pilot would prefer to be furloughed and had a job lined up? Would it be classified as an involuntary furlough? Would they be guaranteed a long term COLA?

Under what terms can we terminate this agreement?

Just wondering.. IF the middle third were supposedly to not be furloughed, then what justifies the deeper MPG cut compared to the top third? Aside from “gotta pay your dues”...

Guys guys guys don’t worry... these snap backs are ‘dynamic’!

Can we include the 55 and above crowd on the next iteration?

The carrot is the cancellation of the displacement, so despite the MPG reduction, those displaced to a lower paying fleet or seat would make up the lower MPG at the higher rate. The only justification is that they’d be willing to accept it.

Yep. I know a number of guys potentially in this boat.

Would be nice, final numbers after those that didn’t sign the waiver is a whopping 454. Also real slick making this “AIP” public while CARES2 is still in play.... (admittedly may not happen anyway)

I don't have any insider information but I look at this way, as of today we are flying about 1/3 of our schedule, hence we theoretically could cut 2/3 of the pilots tomorrow and still staff our operation. The top third has no risk of furlough (but they could face displacement), the bottom third face an immediate furlough and the second third is on deck should things not pick up. So, from a risk/reward standpoint, the buckets make sense. What will be interesting to find out is what exactly is the mechanism for restoring MPG? If 60% is the first gate, what happens? The second third would be safe from furlough at that point, so do they gain the most? Are the gains shared by all the groups equally?