Alpa Provides Proposal To Management

USA320Pilot

Veteran
May 18, 2003
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1. 12.5% hourly paycut from present pay rates, and that the resulting new pay scale would remain, without any pay raises, until the end of 2008.

2. Current A330, Group 1, and Group 2 differential pay rates remain in place (less the 12.5%).

3. The monthly paycap would increase from 85 to 90 hours.

4. "R" reserve guarantee would increase from 72 to 77 hours per month, the "S" reserve guarantee would increase to 81 hours per month, and the TDY guarantee would increae by 5 hours per month.

5. The daily variable minimum to 5:30.

6. The DC Plan remains as is.

7. There will be no furloughs as a result of productivity increases.

The entire MEC and the Negotiating Committee were in agreement on this approach with the company.

The company will be preparing their counterproposal and ALPA anticipates meeting with employee relations next week to receive it.

Respectfully,

USA320Pilot
 
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ALPA valued the proposal at $211 million per year in annual pay and work rule cost savings.

Regards,

USA320Pilot
 
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Just one more point...

The pay cut proposal will reduce US Airways' pilot pay rates below America West pay rates, and increase the pay cap to the highest level of any legacy carrier.

Why is the pay cut so big? Because the pilots want their DC Plan left untouched and no more pilot furloughs.

ALPA presented a serious offer to the company, and they have acknowledged that fact to the Negotiating Committee. The MEC engaged in good faith bargaining, and now it's time for the company to engage in good faith bargaining too.

Regards,

USA320Pilot
 
"We're not negotiating any contract changes with US Airways, period,'' Joe Tiberi, a spokesman for the International Association of Machinists, said yesterday. He said the union would be willing to discuss ways the company could save money through improved efficiencies. :p :p :p :p :p
 
Light Years,

Wouldn't that be like starting yet another "B" scale? I don't like the idea of selling out our junior people. I'd have to go for all folks on the seniority list at DOS keep pensions and benefits.

On the other hand, at least people hiring on would know up front what the deal was and be able to make a more informed choice of signing on. It wouldn't stop them from complaining about it, though.

Dea
 
Light Years said:
Sadly, the draw of the job gets people to do it nearly for free, and the competition knows and exploits this.
And, short of reregulation or extraordinarily high hoops to jump through (imagine, as an extreme example, having to go through what doctors do to get to be an FA), there's nothing that can prevent this.
 
I don't know how desirable the FA job is these days. It's lost a lot of its cache in the last few years. Used to be once you told someone you were a FA, they'd say "You must meet such interesting people and go to so many wonderful places." Now days, they're more apt to tell you their lastest airline horror story of lost luggage and no meal. Oh yeah, and the movie stunk too.

We deal with more people in a confined space with few amenities. We undergo more rigorous training and work in a highly stressful enviroment. We have to be finger-printed and have the FBI do a ten-year background test. We are alcohol and drug tested on demand. We have to go through TSA screening every day we check in for a trip. Customers are tense from the minute they get on board after standing in lines for the TSA and having their belongings pawed over.

Fewer people are going to be interested in this job for "free trips" when you can get a positive space seat real cheap.

Those of us who are here have either found our calling in life or are hooked on the life style. The life style is getting less appealing. I don't want to see the professional standards dropped for a cheap labor force.

So, where does that leave us? Way off topic!

Sorry, Bill!

Dea
 
USA320Pilot said:
ALPA valued the proposal at $211 million per year in annual pay and work rule cost savings.

Regards,

USA320Pilot
Well then, that only leaves us 85 million short of the bogey number. We're off to a great start. Increase productivity and not furlough any excess pilots with that increase. Yep, that's realistic. So how do we squeeze another 85 mil so we can meet Lakefields number? Hmmm, average F/O pay and benefits times, say, 550 would about equal about 85 million as far as I can tell.

Get ready for the right seat 320. It's coming at you like a freight train. And you should fully understand it is something we must do to save the company. Just like you've been saying all along. We are short 85 million bucks and the DC plan is untouchable. But the junior guys are expendable. Watch how fast we sell them out yet again.

mr
 
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In regard to the DC Plan, the formula was not touched, but if gross pay goes down then the comapny's contribution will go down too.

In my opinion, it would not surprise me if the company and the union agree on the 12.5% wage rate reduction for four years, eliminate the pay increases (about 10% for the next 4 years), a maximum pay cap of 96 hours, a 6-hour average minimum day, and changes to retiree health care.

ALPA has some other ideas to cut costs and improve productivity. These include making AQP (RGS/PC's/PT's/LOFT's) pay-no-credit, eliminating crew meals, combining B767 international/B757 domestic flying, and training all A320 pilots for international flying.

The increase in the pay cap to 96 hours would increase productivity to LCC levels with pay rates less than America West, but keep gross pay near current levels and keep the DC Plan Contribution at today's amount.

The new business plan increases current aircraft productivity by 15% per day (10 to 11.5 hours per day), adds 37 new aircraft to a minimum fleet of 320 jets starting in 2005, and the pilot group will have about 250 to 350 people leave the company per year due to retirements and other attrition.

The plan above should get ALPA near the $295 million annual cost reduction and include a bankruptcy S.1113 letter, per ALPA's negotiating term sheet and MEC direction.

Finally, there is reason to believe the company is preparing for a pre-packaged Chapter 11 bankruptcy filing, which will keep the ATSB funds intact, not require DIP financing, and provide a POR within 180 days.

Regards,

USA320Pilot
 

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