Do You REALLY Want An ESOP?

[Connected1]

...especially considering 100% of your income depends upon the success/failure of your company? Is the logic that if you own the company, they won''t cut your pay or lay you off? Do you really believe that the revenue environment is going to improve because of employee ownership? Or is this all rooted in some sort of bravado that front line employees know how to run the company better than management?

 

[whatkindoffreshhell]

How will the US employees handle a 37% ownership position if that airline survives?

I''ve gotta believe that those US employees will never feel they''ve been made whole.

Labor unions should not hold board seats. This is a conflict of interest pure and simple.

 

[AAmech]

It sounds interesting until you read about how the pilots will be the majority owners. It sounds like their primary reason for wanting this is just to fire Carty!

 

[tomahawk58]

I haven''t made up my mind one way or the other on the merits of an ESOP. But today isn''t 100% of your income derived from AMR if you''re an employee? As I understand it the employees wouldn''t be running the company. A new management(outsiders) would be brought in to run things. If you really look at the history of AMR over the last few years, they''ve(Current Mg''mt) done a horrendous job of running this company. Just to name a few strategic and tactical SNAFU''s commited by them: 1. 500 million invested in now gone Canadian Airlines. 2. Openning and closing San Jose, Nashville, RDU(untold millions). 3. The Reno purchase. 4. The Aircal purchase 5. The TWA purchase. The question is not can the employees do a better job, but whether we can find competent mamagement who is passionate about running an airline, and one who values their employees the way SWA and Jetblue does. It can be a win-win proposition!! All you have to do is look the top 10 companies in america, and I garuantee you that the management of those firms meet or exceed the criteria.
Sorry for the long post. Thanks for listening.

 

[Bob Owens]

Most of the mechanics that I know have always maintained some sort of outside income. I remember when the company once said that they wanted mechanics to ask permission to work other jobs. They quickly retreated from that position when in shop talk they were told to perform a sexual act(even in Clintons definition) upon themselves. One of the inevitable byproducts of twenty years of concessions is that we had to find other ways to make ends meet.

 

[BDLDFW]

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On 3/28/2003 4:00:02 PM tomahawk58 wrote:

I haven''t made up my mind one way or the other on the merits of an ESOP. But today isn''t 100% of your income derived from AMR if you''re an employee? As I understand it the employees wouldn''t be running the company. A new management(outsiders) would be brought in to run things. If you really look at the history of AMR over the last few years, they''ve(Current Mg''mt) done a horrendous job of running this company. Just to name a few strategic and tactical SNAFU''s commited by them: 1. 500 million invested in now gone Canadian Airlines. 2. Openning and closing San Jose, Nashville, RDU(untold millions). 3. The Reno purchase. 4. The Aircal purchase 5. The TWA purchase. The question is not can the employees do a better job, but whether we can find competent mamagement who is passionate about running an airline, and one who values their employees the way SWA and Jetblue does. It can be a win-win proposition!! All you have to do is look the top 10 companies in america, and I garuantee you that the management of those firms meet or exceed the criteria.
Sorry for the long post. Thanks for listening.

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Last few years? Some of those items were 15 years ago.

Gee, it''s too bad not every business decision is guaranteed to be a success.