OK Folks help a stupid customer out here. This has bugged me since I joined.
My understanding is the primary reason for contract carriers is labor rates. I also am led to understand that most airlines guarantee a rate of return of 3 to 5 percent over cost.
Given the fact that unions are esentially businesses too, why don't the AFA & ALPA get creative and create wages rates that allow the M/L Carrier to do the flying?
Why can't it be that way. Something like this for a TOS Pilot/
A330 - $125/Hr
B767 - $120/Hr
A321 - $115/Hr
B757 - $115/Hr
A320 - $110/Hr
A319 - $105/Hr
B737 - $100/Hr
E195 - $ 95/Hr
E190 - S 95/Hr
E170/5 $ 90/Hr
E145 - $ 75/Hr
That way you have the same work rules, one company or two. Possibly M/L and Wholly Owned.
All new hire start on the EMB145 and move up based on seniority and qualifications. This way you have a career path and you could limit the amount of time the EMB folks can stay on an EMB to say ten years. Same for F/A's
You have total control of all your flying, uniform health coverage, streamline administration. I wonder if anyone had ever done a cost analysis on what it cost to administer all those contracts?
NOTE: On the wage rates I just pulled numbers out of the sky.
Why wouldn't this work for the company and the workers?