American Airlines, The Last One Standing?

[nyboilermaker]

"Employee's aren't management's problem..."


http://www.npr.org/dmg/dmg.php?prgCode=ATC...14&mediaPref=WM

 

[repeet]

An excellent article by NPR.

Once again an "in your face" example that US Airways must have a drastic corporate culture change or US Airways is history. Also once again, proving it isn't the employees that have to make this change!

 

[aislehopper]

I heard this on the radio yesterday afternoon.

Sept. 13, 2004

NPR's Wade Goodwyn reports the airline industry appears to still be in a tailspin, with another big airline moving into bankruptcy Sunday. But there are some hopeful signs amid the gloom. American Airlines is turning to its workers for ideas on how to become more efficient. And the effort is beginning to show results. Even so, the airline still loses money just about every quarter.

NPR Audio File

 

[WorldTraveler]

That is a very good assessment from an outsider’s perspective of how AA has turned things around and the reason why I believe AA will be one of the long term survivors in the industry. AA came dangerously close to bankruptcy but managed to not go over the edge; everyone at AA benefits from having accomplished a healthy restructuring outside of bankruptcy. Just as importantly, AA is not resting on its laurels but continues to pursue ways to reduce expenses and improve revenues. AA has always been a well-run company and is a very good example of how an airline can transform itself in the midst of unbelievable changes to the industry by working with, rather than against its people.

I also have to say that it is no mistake that DL is following AA’s turnaround script very closely, improving where it is possible. Not only has DL had a long-standing reputation for being a well-run airline but it also has had excellent labor relations for most of its history. Now that DL has the right kind of management again, DL will turn itself around and join AA as an industry superpower.

My congratulations to all the people at AA who have accomplished so much. I am certain that American Airlines and Delta Air Lines will establish themselves as the leaders in the US and global airline industry.

 

[Winglet]

Not so fast. Another piece of cheap sound-bite journalism from the so-called "journalists" at NPR. I think more indepth research would show something quite different. Also, no mention of the tens of thousands of employee layoffs. Change of culture? Not yet.

 

[KCFlyer]

Not so fast. Another piece of cheap sound-bite journalism from the so-called "journalists" at NPR. I think more indepth research would show something quite different. Also, no mention of the tens of thousands of employee layoffs. Change of culture? Not yet.

[post="179991"][/post]​

Six minutes of "sound bite" journalism. And I do believe that it showed that, while things aren't perfect at AA, they are LISTENING to the employee groups and SAVING MONEY in the process. Geez...can't airline managment get any kind of a break - AA is trying something other than going back to labor over and over again, driving down their incomes and wasting those savings. IMHO, they can "sound bite" all they want...I have a newfound respect for American Airlines - they were pretty damn close to filing BK themselves, but didn't. I think the steps that they are taking are a win/win/win...managment, labor, and creditors. I don't think you'll ever see labor and managment at ANY airline sitting by a campfire and singing "Kumbaya". But damn...instead of listening to workers suggestions for cost savings, and more importantly, IMPLEMENTING them, they could have just kept coming to the well over and over again until they ended up just like US.

 

[Bob Owens]

AA came dangerously close to bankruptcy but managed to not go over the edge; everyone at AA benefits from having accomplished a healthy restructuring outside of bankruptcy.

[post="179893"][/post]​

Yea sure, obviously you didnt lose 25% of your compensation. Thats 25% on top of what we had already lost before 2001 plus the fact that our measly 1.5% increases wont even cover the increases we have to pay for medical. This industry, from a career point of view is dying. There is no hope at present for a better future, just a continueing decline in our standard of living.

 

[WorldTraveler]

Mr. Owens,
I'm sure there are employees at UA and US that would love to be in a predicament as good as yours. What you've experienced is real but your company has a good chance of survival and you have a good chance of finishing your career. At least 100,000 other airline employees may not be so lucky.

 

[aislehopper]

Update:

NPR has another airline industry story planned for tomorrow.

 

[Bob Owens]

Mr. Owens,
I'm sure there are employees at UA and US that would love to be in a predicament as good as yours. What you've experienced is real but your company has a good chance of survival and you have a good chance of finishing your career. At least 100,000 other airline employees may not be so lucky.

[post="180057"][/post]​

Ah yes our career.

 

[StewGuy86]

Not so fast. Another piece of cheap sound-bite journalism from the so-called "journalists" at NPR. I think more indepth research would show something quite different. Also, no mention of the tens of thousands of employee layoffs. Change of culture? Not yet.

[post="179991"][/post]​

But if this "sound bite journalism" came from the so-called "journalists" at FOX News, you'd probably feel better about it.

 

[air_guy]

Ah yes our career

-14% is STILL better than -100% ... The trend for ticket prices is much worse .... how is the company expected to make up the difference? I still don't undertand why if the company is being so unfair to you, you don't move on? Low cost operators may be devaluing your profession (a consequence of a free market), but on the flip side no one is forcing you to stay at American.....

 

[KCFlyer]

Ah yes our career.

[post="180143"][/post]​

Bob...AA is in a unique situation - managment is listening to labor. Managment has union representation at their meetings. That's a helluva lot more than the other airlines have right now. There is no "quick fix" to the problems facing the industry. Yes, you guys have given back. So did the folks at US. But the union folks at US are sitting in BK court a second time - the union folks at AA are sitting with managment. And management appears to be listening, not just paying lip service. Attitude changes and culture changes aren't going to happen overnight.

Arpey seems to respect you folks. That's a difference. Arpey wants to use SWA as a model, but recognizes that AA isn't going to be a "no frills" airline. The NPR report says that one change suggested by labor and implemented by management results in a savings of 140 man hours per engine overhaul. That's real cost savings - without cutting the wage. This industry is changing - and after the dust settles, AA is going to be one of the strongest. And when that day comes, I have a "gut feeling" that AA management is going to "snap back" some of those wage and benefits cuts that you guys gave. AA could have easily waltzed into bankruptcy court, and took your pensions and said "ain't gonna give any more". They didn't. Look at US and UAL - the pension fund is the newest "cost cutting target".

I know that taking a hit in the paycheck isn't easy. It never is. But I think that the employees at AA are able to at least see that the money that they gave up isn't being squandered. And I think you've got a guy in the corner office who understands that when the ship is righted, the employees should be the first to be rewarded. Time will tell if I'm wrong or not, but my "gut feelings" have been pretty spot on so far.

 

[Winglet]

But if this "sound bite journalism" came from the so-called "journalists" at FOX News, you'd probably feel better about it.

[post="180206"][/post]​

No I wouldn't. I'm not a Republican either.

 

[WingNaPrayer]

AA has always been a well-run company . . . .

..............