2011 Annual Leadershipship Conference

[Hope777]

After reading thru About Us for 3/3, I can only get the feeling that Top Management is already prepping Local Mangers to start crying the Blues. I have a couple thoughts....

1- HOW MUXH DID THIS COST ??????? All Managers atteneded.
2- I heard that this Conference was almost word for word from last years with the exception of the Annual Loss in 2009 to a Profit in 2010.
3- No this is where I think Doug is already letting the Unions know, dont expect much.....
Doug cautioned that US Airways’ business model can only
work if all employees understand the differences between it
and those of other legacy carriers. Our three hubs are located in
solid markets with lots of connecting traffic. But CLT, PHL and
PHX all are smaller markets that produce less local originating
business traffic than Atlanta (ATL), Chicago (ORD), Dallas
(DFW) and Newark (EWR), where other legacy carriers have
their hubs. That results in a 13 percent disadvantage in adjusted
revenue per available seat mile. To overcome that disadvantage,
US Airways must maintain a similarly-sized cost advantage.

Now I understand that ALL Managers will have a follow up meeting with the Regional Directors withing the next Month or so, to let the Station employees know what kind of disadvantage we are at. So as All the contracts come up for negotiations, the Company is already posturing themselves for a dont expect much stance.

Thoughts ?

 

[wings396]

Just about what I expected. I knew that they would come up with something just as we were getting ready to enter contract talks this summer. I had hopes that we would be in a good position to bargain with the company being profitable. As soon as oil prices started to rise, I knew that we were screwed. The profits will vanish along with our hopes of getting back what we have lost in the last 10 years. As soon as we vote on a new CBA with little or nothing gained, the profits will return again. We have never been in a good negotiating position, and I doubt we ever be.

 

[767one]

After reading thru About Us for 3/3, I can only get the feeling that Top Management is already prepping Local Mangers to start crying the Blues. I have a couple thoughts....

1- HOW MUXH DID THIS COST ??????? All Managers atteneded.
2- I heard that this Conference was almost word for word from last years with the exception of the Annual Loss in 2009 to a Profit in 2010.
3- No this is where I think Doug is already letting the Unions know, dont expect much.....
Doug cautioned that US Airways’ business model can only
work if all employees understand the differences between it
and those of other legacy carriers. Our three hubs are located in
solid markets with lots of connecting traffic. But CLT, PHL and
PHX all are smaller markets that produce less local originating
business traffic than Atlanta (ATL), Chicago (ORD), Dallasquck(DFW) and Newark (EWR), where other legacy carriers have
their hubs. That results in a 13 percent disadvantage in adjusted
revenue per available seat mile. To overcome that disadvantage,
US Airways must maintain a similarly-sized cost advantage.

Now I understand that ALL Managers will have a follow up meeting with the Regional Directors withing the next Month or so, to let the Station employees know what kind of disadvantage we are at. So as All the contracts come up for negotiations, the Company is already posturing themselves for a dont expect much stance.

Thoughts ?

Not at all unexpected. The management of this airline has put us where they want us.They have the cheapest pilot group in the industry and cry when they think they might have to pay industry standard. I don't think they realize that they have put us in the situation that most us don't care anymore. Our management has managed to pay themselves very well and the evidence is that they are not leaving, so how about paying the employees that actually do something productive what they deserve like SWA does rather than do everything on the cheap? To me the difference between the two airlines is that SWA managements is planning for the long term but usairlways management is planning for the short term and polishing up the apple for the quick sale.

Regards,

Bob

 

[nascarjoe]

I didn't expect anything different from DP. All work group contracts are up at the end of the year. He knows we want are money back in the new CBA's. So I suggest DP to get busy and make sure this company stays profitable, that's what he gets paid for. I don't think any work group will go for a cost neutral contract. So DP and his management team needs to negotiate in good faith or let someone else run this airline that can make it work. Tired of hearing excuses!!!

 

[wench1]

And I have to fight tooth and nail to get stinking uniform replacemets!!!!\

I ordered 2 blazers/why 2? someone stole my blazer out of the breakroom..so station mgr decided not to reorder
blouses, since the first order size was out of stock...so bossman order LONG SLEEVES for the SUMMER>>



We work our asses off, sick calls NOT COVERED!!!! There is a MAJOR STAFFING PROBLEM....

We earn EVERY PENNY..DONT EVEN START TO SAY THEY ARE WHINING AND COMPLANING..

HAVE YOU EVER CALL CORPORATE? there is a department of everything you can think of.nose pickers, farters, jane and john numbers checkers entering and leaving the johns!!

IF THE SALARIES ARE TOO COSTLY, LOOK IN YOUR OWN BACKYARD!!!!!!

 

[BoeingBoy]

But CLT, PHL and PHX all are smaller markets that produce less local originating business traffic than Atlanta (ATL), Chicago (ORD), Dallas (DFW) and Newark (EWR), where other legacy carriers have their hubs. That results in a 13 percent disadvantage in adjusted revenue per available seat mile.

Did anyone else notice the change from previous statements about US' disadvantage due to it's smaller hub cities? Doug had previously said "revenue" while this time he said "revenue per available seat mile". Oddly enough, just spot checking, US is about where the other carriers are in RASM - slightly lower than some and slightly higher than some - so there is no 13% RASM disadvantage. What that means is that US is getting about the same fares and load factor as the other legacies (those two factors determine RASM).

He was at least accurate when he stuck to revenue - US, being the smallest legacy with generally smaller hubs cities naturally brings in less revenue. Of course, being smaller means that there are fewer employees to pay, less fuel to buy, fewer airplanes to maintain, etc, etc. So he could compensate employees the same of the other legacies and still have a smaller employee expense than they do. Take a company with 100,000 employees vs one with 10,000. The smaller company could pay exactly what the big company pays and still only have 10% of the employee expense of the bigger company.

In short, it's the old liars, damn liars, and statisticians at work.

Jim

 

[nycbusdriver]

I don't think they realize that they have put us in the situation that most us don't care anymore.

AMEN, Bob!

Did anyone else notice the change from previous statements about US' disadvantage due to it's smaller hub cities? Doug had previously said "revenue" while this time he said "revenue per available seat mile". Oddly enough, just spot checking, US is about where the other carriers are in RASM - slightly lower than some and slightly higher than some - so there is no 13% RASM disadvantage. What that means is that US is getting about the same fares and load factor as the other legacies (those two factors determine RASM).

He was at least accurate when he stuck to revenue - US, being the smallest legacy with generally smaller hubs cities naturally brings in less revenue. Of course, being smaller means that there are fewer employees to pay, less fuel to buy, fewer airplanes to maintain, etc, etc. So he could compensate employees the same of the other legacies and still have a smaller employee expense than they do. Take a company with 100,000 employees vs one with 10,000. The smaller company could pay exactly what the big company pays and still only have 10% of the employee expense of the bigger company.

In short, it's the old liars, damn liars, and statisticians at work.

Jim

Thank you for catching that subtle difference. For a change, I totally agree with your observations.

Aside from that, I would be curious to know how the various employee groups pay rates stack up against the NON-legacy carriers who don't have the much-vaunted "Big Hub" advantage. It seems that JetBlue, AirTran (before the SWA announcement) and even Spirit at least pay their pilots more than LCC. Do they pay everybody else more, too? If that be the case, then what's Tempe's excuse?

 

[Pi brat]

Did anyone else notice the change from previous statements about US' disadvantage due to it's smaller hub cities? Doug had previously said "revenue" while this time he said "revenue per available seat mile". Oddly enough, just spot checking, US is about where the other carriers are in RASM - slightly lower than some and slightly higher than some - so there is no 13% RASM disadvantage. What that means is that US is getting about the same fares and load factor as the other legacies (those two factors determine RASM).

He was at least accurate when he stuck to revenue - US, being the smallest legacy with generally smaller hubs cities naturally brings in less revenue. Of course, being smaller means that there are fewer employees to pay, less fuel to buy, fewer airplanes to maintain, etc, etc. So he could compensate employees the same of the other legacies and still have a smaller employee expense than they do. Take a company with 100,000 employees vs one with 10,000. The smaller company could pay exactly what the big company pays and still only have 10% of the employee expense of the bigger company.

In short, it's the old liars, damn liars, and statisticians at work.

Jim

You've always been good with the numbers and I have to concur with NYC on this one-good post.


Happiness= Reality divided by expectation . Doug sees expectation as the only variable.

 

[UPNAWAY]

Timing is everything in the Airline business and this is one area were unions are pathetic. Next time things are looking up act quickly and settle fast and get what you can, instead of infighting and arguing over minutia because the $ will pass you by every time! You guys will all be lucky now not to have another round of concessions. Realism and nimble actions are not union strong points.

 

[700UW]

I didn't expect anything different from DP. All work group contracts are up at the end of the year. He knows we want are money back in the new CBA's. So I suggest DP to get busy and make sure this company stays profitable, that's what he gets paid for. I don't think any work group will go for a cost neutral contract. So DP and his management team needs to negotiate in good faith or let someone else run this airline that can make it work. Tired of hearing excuses!!!

Contracts arent up, they become amendable, the IAM M&R are all ready in Section 6 negotiations with Fleet to follow later, and USAPA and AFA are all ready in negotiations, and I believe the CWA is amendable this year also.

 

[700UW]

Timing is everything in the Airline business and this is one area were unions are pathetic. Next time things are looking up act quickly and settle fast and get what you can, instead of infighting and arguing over minutia because the $ will pass you by every time! You guys will all be lucky now not to have another round of concessions. Realism and nimble actions are not union strong points.

Are you really that ignorant?

Those unions saved this company and your job, how much concessions did you give back?

And ask ALPA now USAPA and AFA about negotiating with this company, the company is the one holding things up now for the past five years.

Put the Jim Jones Punch down and take a drink of reality.

And dont worry you will take concessions before any union member does, as you dont have a say, and they do!

 

[Pi brat]

Timing is everything in the Airline business and this is one area were unions are pathetic. Next time things are looking up act quickly and settle fast and get what you can, instead of infighting and arguing over minutia because the $ will pass you by every time! You guys will all be lucky now not to have another round of concessions. Realism and nimble actions are not union strong points.

\

Hi Doug!

 

[700UW]

LOL!

 

[BoeingBoy]

Hi Doug!

I doubt Doug would bother posting here in disguise - he's got plenty of ways to reach more employees than he'd reach here. I have no doubt that the view is different from a cubicle in the upper floors of headquarters than it is for the rank and file though.

Jim

 

[PullUp]

LUV's labor cost/ASM is much higher than LCC's and they don't have hubs in EWR, ORD, DFW, etc.
Not only are their pilots paid well, they're entire workforce is compensated well.
It's almost like their management 'cares' about their employees....imagine that: not being a 'cost item'....
Cheers.