LaBradford22
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- May 15, 2003
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Does anyone have details of the Delta / ALPA agreement?
Thanks ...
Thanks ...
Details Of Delta / Alpa Agreement?
- Thread starter LaBradford22
- Start date
* A 32.5 percent wage reduction from the May 2004 book rates effective December 1, 2004, with no contractual increase thereafter for the duration of the five-year agreement.
* The freezing of the Defined Benefit Plan and a new Defined Contribution Plan with a target of a 49 percent FAE
* A Preferential Bidding System that is a significant change to our current work rules. I can say that the new rules, while clearly a concession from today's contract, are still far superior to any other restructured airline's scheduling rules
* Options to purchase approximately 30 million shares of Delta common stock which represents a 15% equity stake.
* The freezing of the Defined Benefit Plan and a new Defined Contribution Plan with a target of a 49 percent FAE
* A Preferential Bidding System that is a significant change to our current work rules. I can say that the new rules, while clearly a concession from today's contract, are still far superior to any other restructured airline's scheduling rules
* Options to purchase approximately 30 million shares of Delta common stock which represents a 15% equity stake.
WorldTraveler
Corn Field
- Dec 5, 2003
- 21,709
- 10,662
- Banned
- #3
These are tough terms but Delta management really had an advantage position at this point in negotiations.
I still commend the pilots for being willing to take a deal like this - even if there weren't a whole lot of good choices. This clearly had to be expected but really should position Delta to succeed longterm.
I'm still surprised nothing has been said about the debt restructuring but some sources are saying Delta has obtained new financing in addition to the Amex deal and response to the restructuring deal was good.
For pilots at Delta, I'm sure there will be some time before they get over the sick feeling of having been kicked in the stomach. I feel confident that the pain will be alleviated as Delta returns to profitability -which the pilots and all Delta employees will and should participate.
I heard a DL pilot interviewed on the radio this morning and he said, "I've worked for DL for 26 1/2 years and earned a great salary for all those years. This will hurt but it needed to be done. Delta is the company I always wanted to work for."
I still commend the pilots for being willing to take a deal like this - even if there weren't a whole lot of good choices. This clearly had to be expected but really should position Delta to succeed longterm.
I'm still surprised nothing has been said about the debt restructuring but some sources are saying Delta has obtained new financing in addition to the Amex deal and response to the restructuring deal was good.
For pilots at Delta, I'm sure there will be some time before they get over the sick feeling of having been kicked in the stomach. I feel confident that the pain will be alleviated as Delta returns to profitability -which the pilots and all Delta employees will and should participate.
I heard a DL pilot interviewed on the radio this morning and he said, "I've worked for DL for 26 1/2 years and earned a great salary for all those years. This will hurt but it needed to be done. Delta is the company I always wanted to work for."
L
luvn737s
Guest
WorldTraveler said:
Why do you think they will participate? The non-union people have no money to buy stock and the pilots stock will be worthless after the first bankruptcy.
With 3 out of the top 10 major airlines in bankruptcy, Bush needs to call the leaders of these airlines in and have a face-to-face talk. If the airline system is so vital that Bush said he wouldn't allow any strikes during his term, he needs to see that management has a plan to stabilize this industry. Failing to pass along major cost increases and instead forcing employees to make up the difference is unconscionable. Turning a blind eye towards the exploiting of bankruptcy laws so that artificially low airfares can be supplied to all is not how a free market capitalist is supposed to act.
The consumer doesn't get more if the employees gets less, (ask anyone whose purchased a ticket on a RJ) but that doesn't fuel class warfare and doesn't sell papers, so who cares?
WorldTraveler said:
Translated, "I got mine". Or is it, "Omigosh, you all found out I'm not really worth that great salary. I'm SO embarassed! (heh, heh)"?
WorldTraveler
Corn Field
- Dec 5, 2003
- 21,709
- 10,662
- Banned
- #5
luvn,
Perhaps you missed the memo but there hasn't been a bankruptcy at DL and won't be.
It isn't the Bush administration or anyone's job to fix the airline industry. The reality is that in a free market there are competitors who can enter the business with a different model and much lower costs. In order to compete, legacy airlines have to cut their costs - and most of their legacy costs are in employee costs. In case you missed, AA, DL, and US plus others have both made or are making major changes to their hub and spoke schedules - the other criticism of legacy airlines.
There are airlines who understand what plan must be executed in order for the legacy airlines to transform themselves and compete in the non-regulated era - something they haven't had to learn for 25 years. No, I don't want the airline to continue to interfere in the airline industry as they have done for much of the past 25 years. Once market forces are allowed to work, things will look better for those companies that do survive. In the meantime, everyone in the industry is harmed by continuing to prop up the weakest players. Thankfully, the sentiment seems to be to let happen what will happen.
Perhaps you missed the memo but there hasn't been a bankruptcy at DL and won't be.
It isn't the Bush administration or anyone's job to fix the airline industry. The reality is that in a free market there are competitors who can enter the business with a different model and much lower costs. In order to compete, legacy airlines have to cut their costs - and most of their legacy costs are in employee costs. In case you missed, AA, DL, and US plus others have both made or are making major changes to their hub and spoke schedules - the other criticism of legacy airlines.
There are airlines who understand what plan must be executed in order for the legacy airlines to transform themselves and compete in the non-regulated era - something they haven't had to learn for 25 years. No, I don't want the airline to continue to interfere in the airline industry as they have done for much of the past 25 years. Once market forces are allowed to work, things will look better for those companies that do survive. In the meantime, everyone in the industry is harmed by continuing to prop up the weakest players. Thankfully, the sentiment seems to be to let happen what will happen.
1. Work rules: a) Flex cap between 75-82 hours starting 1 Jan, 05
b ) 70 hour fixed reserve guarantee
c) 11 / 12 days off depending on month, and an extra day also
d) 8 short calls per month
e) PBS bidding NLT 1 OCT 05
2. Pay a) 32.5% pay cut Dec 1st
b ) still additional INTL pay and Night pay
c) Per diem $2.10 Dom and $2.50 INTL
d) new pay rate for 737-900
e) Pay rate for 737-700 will be same as 737-300
3. Scope a) Alaska Airlines code share like CO/NW
b ) Increase RJ70 up to possible 150
c) Preferential hiring for furloughed Delta pilots at carriers with
additional RJ70s, and preferential interviews at Delta for
pilots at those carriers
d) No furlough clause gone, but other rules to modify rules for
furlough, and 90 notice prior if one should occur
e) Furlough recall schedule updated and extended to 2008
4. Misc. a) Pilot director on Board of Directors, with no voting rights
b ) Jumpseat--reciprocal jumpseat agreement now with AA and
Southwest, eventually expanded
c) CASS within 9 months
5. Retirement and Insurance a)Freeze Defined Benefit plan seeking to result in approx 49% FAE (was 60% until Dec 1st)
b ) increased medical premiums
b ) 70 hour fixed reserve guarantee
c) 11 / 12 days off depending on month, and an extra day also
d) 8 short calls per month
e) PBS bidding NLT 1 OCT 05
2. Pay a) 32.5% pay cut Dec 1st
b ) still additional INTL pay and Night pay
c) Per diem $2.10 Dom and $2.50 INTL
d) new pay rate for 737-900
e) Pay rate for 737-700 will be same as 737-300
3. Scope a) Alaska Airlines code share like CO/NW
b ) Increase RJ70 up to possible 150
c) Preferential hiring for furloughed Delta pilots at carriers with
additional RJ70s, and preferential interviews at Delta for
pilots at those carriers
d) No furlough clause gone, but other rules to modify rules for
furlough, and 90 notice prior if one should occur
e) Furlough recall schedule updated and extended to 2008
4. Misc. a) Pilot director on Board of Directors, with no voting rights
b ) Jumpseat--reciprocal jumpseat agreement now with AA and
Southwest, eventually expanded
c) CASS within 9 months
5. Retirement and Insurance a)Freeze Defined Benefit plan seeking to result in approx 49% FAE (was 60% until Dec 1st)
b ) increased medical premiums
Flufdriver
Senior
- Aug 20, 2002
- 396
- 6
What is the 737-900 new rate????
Flufdriver
Senior
- Aug 20, 2002
- 396
- 6
Thanx luv2fly...was just curious......
