Why does US Airways pay so poorly...?

[qwerty]

qwerty,
Evidently, You must be unaware that Parker's stock options he exercised were time limited..
If his options were NOT time limited, There is NO doubt in my mind he WOULD of waited until the Delta offer was announced.
I'm glad you love to here the constant "whining" about executive pay, because you will continue to here it, as long as the "workers" are obligated to work under sub-par, bankruptcy negotiated contracts.
The jury is still out on your hero Mr. Parker. He has a long way to go in merging the work forces of the old AWA and the old Usair..and now he wants to throw Delta into the mix ??
We got Siegel at a "fire sale" price ? You must of forgotten the day he left the company with millions of dollars lining his pockets..

Only about a third of Parker's options were expiring, he caught grief from the union leaders for cashing them all in - where are these guys now? And Siegel's severance agreement was $4 million if he left prior to April 2004 - after taxes he walked away with a little over 2.

Now answer the question - was he worth it? How are you doing now in comparisson? What if the company had spent MORE on greater talent? Maybe you don't go through round 3 ?

 

[NYCDelta]

Hey union basher,
You "forgot" to mention anything about the crooked -one way dead end- bankruptcy rules that managements across the industry use as their tool, to shaft not only employees, but also creditors..
Strong no nonsense LCC management ? Yeah, they are strong enough to rape and pillage the very company that they are supposed to manage..
Pull your head out and think back to when Wolf, Gangwal, Bronner, Siegel and Lakefield did their very best to walk away FILTHY rich at the expense of employees and creditors.
It's evident that Parker is cut from the same piece of cloth. He had no problem cashing in his beloved stock options [$9 mil] AFTER the merger went through, which allowed him to profit greatly off the backs of labor and the creditors, due to the rise in the stock price post merger.. :down:

First off, I'm not the union basher that insp89 is referring to. I go back on forth on unions. My family all worked for GM and I come from a union family. I've never had a union at DL, but I've never felt like I needed one.
We do have a nurses' union-and Thank God we do. Our contract stipulates patient-to-nurse ratio. If we didn't have that, I'm sure the hospital would think nothing of giving each of us 10 patients to care for.

 

[insp89]

Only about a third of Parker's options were expiring, he caught grief from the union leaders for cashing them all in - where are these guys now? And Siegel's severance agreement was $4 million if he left prior to April 2004 - after taxes he walked away with a little over 2.

Now answer the question - was he worth it? How are you doing now in comparisson? What if the company had spent MORE on greater talent? Maybe you don't go through round 3 ?

Was Siegel worth $2 Mil ?, No
Is Parker worth $9 Mil plus ? Same answer, No- What's your point ?

Please, Please, tell me more about Parker's [talent], What has he done so far that has you so impressed?

Before Parker took control of Usair, it was already raped and pillaged by the crooked bankruptcy court.

Parker's job has been to put these 2 airlines together. He's got a long way to go..Evidently, you have not been reading the comments by the passengers on this website..

What about labor relations ? There has been nothing but stalling and foot dragging from Parker and Company when dealing with the IAM, ALPA, AFA...

The reason this airline has been profitable lately [and the reason the stock price has risen, and Parker's $9 mil. payday] is due to the HUGE pay and Benefit cuts from the "Working Class"..

 

[insp89]

A disgusting dose of Heavy drinking and ignorance most likely. After reading that statement I figured any logic would lost on this obvious over-achiever.

Source 1: http://www.ncpa.org/pd/unions/unionsa3.html
Source 2: http://economics.about.com/od/laborinameri...ion_decline.htm
Source 3: http://mypetjawa.mu.nu/archives/106567.php
Source 4: http://www.unionfreeamerica.com/killing_jobs.htm

Union % of workers on private payrolls

If unions are so great and so strong, why do you guys keep taking massive pay cuts?? Why are union jobs disapearing? (See graph above) Why are the only people upset old stoggy has beens with 20+ years of seniority?

Maybe you can take a lesson from the successful folks at SkyWest

SkyWest Airlines has been union-free for over 30 years. It is our desire to remain so. Today, SkyWest is standing amidst the ruins of a once proud industry. Our success is our people. We have accepted the responsibility of open and honest communication. We have maintained an open-door policy that enables any employee access to anyone in management, from your supervisor to our CEO. We want you to be informed. And as SkyWest continues to grow, the continued empowerment of employees through education is what will not only preserve, but improve Our Culture.

We feel strongly that the long-term interests of all SkyWest employees can be best served by maintaining our current environment of open and honest communication without adding an unnecessary layer of outside third party bureaucracy. We should not compromise the environment we have worked so hard to create. The existence of a third party will undoubtedly change the relationship that we currently have of dealing directly with one another.

And while union organizers may want you to believe they have your best interest at heart, the truth is that unions are businesses that generate money by signing up new members and collecting dues. They do not provide wages, benefits, buildings and equipment, or any other asset necessary to keep our company in business. A union can only provide its members with what a company is willing to give. The truth is that a union only has two things it can guarantee its members: its right to strike and make its members pay dues and assessments.

History has taught us that powerful unions, particularly in our industry, do not hesitate to place their companies in financial peril -- ultimately costing thousands of hardworking men and women their jobs. Understand, this is not "just a pilot" issue. Union activity affects every single employee.

Our dedication to fairness in all that we do, coupled with an uncompromising commitment to quality, truly sets SkyWest apart as an airline and an employer. We believe in treating each employee with respect. We have continued to update our policies and procedures to ensure that you will be treated fairly and consistently. By working together, we have created an environment of competitive wages, good working conditions, and opportunity for both personal and professional growth. Together we have built SkyWest; and together we can continue to build a better SkyWest for our fellow employees and ourselves.

Wow, Excuse me for a second, I have to go and put my boots on.
You ask why union members take massive paycuts ? I would think a person of superior intellect would know the answers to a rather obvious question. Let me educate you.

1. Crooked Bankruptcy Rules in this Country..

2.Outsourcing, Anti-Worker Trade Agreements.

3.American Government that is more interested in globalistic issues rather than representing the interests of the American people.

You seem awfully proud of SkyWest Airlines..Frankly, I have not heard much about them.

When you get a chance, Please post the pay scales of your beloved airline. No doubt in my mind that your highly respected employees are compensated above the industry average.. 😉

 

[longing4piedmont]

You seem awfully proud of SkyWest Airlines..Frankly, I have not heard much about them.

IMHO, the best regional airline in the business. I fly them several times each year and I have never had anything but positive experiences.

The one dark spot is ASA, which they now own. Commonly known to the FF community as Americas Sh!tiest Airline. My hopes were they would improve their ATL operations over time, but to date they have had NO success. As I have told Jim Whitehurst, the only chance to change it is to fire everyone in ATL and start all over. Hasn't happened yet.

But back to Skywest. Great operation and well liked among FF's.

 

[Gilding the Lily]

Wow, Excuse me for a second, I have to go and put my boots on.
You ask why union members take massive paycuts ? I would think a person of superior intellect would know the answers to a rather obvious question. Let me educate you.

1. Crooked Bankruptcy Rules in this Country..

If bankruptcy didn't allow pay cuts to be negotiated, people would be sitting here complaining of NOT HAVING a job, rather than simply HAVING a lesser salary.

 

[john john]

If bankruptcy didn't allow pay cuts to be negotiated,

Then management would actually have to run a healthy business sound airline

 

[insp89]

If bankruptcy didn't allow pay cuts to be negotiated, people would be sitting here complaining of NOT HAVING a job, rather than simply HAVING a lesser salary.

"simply having a lesser salary", "pay cuts negotiated?"
I fully understand the reason for bankruptcy proceedings.
The problem with bankruptcy laws [at the time] Usair filed,is that selected non-union employees were not required to participate [to the same extent] in the pay and benefit cuts.
It is my understanding that the bankruptcy laws have changed since Usair filed.
This is one of the reasons Northwest and Delta filed for Bankruptcy when they did,[To avoid the new bankruptcy rules].
The pay and benefit cuts @ Usair were excessive and were not spread out over all the employee groups.

 

[john john]

Fleet service tops out at:

US Airways- $17.00

Delta- $17.88

US Airways Passenger Service Agents top out a $18.00 hr that is more then Delta’s top out
The pay increases that apply to all passengers service agent are:
1/1/2009 3.0% increase
1/1/2010 4.0% increase
1/1/2011 4.0% increase
1/1/2012 2.0% increase
Additionally, on 1/1/08, the $0.25 customer contact premium will be reinstated.Snap Backs as of 12/31/11 to the CBA of 1999
1.Sick leave and pay
2.Holidays back to 10
3.Premiums-Shift and Job
4.Travel, training per diem
5.Holiday premium pay
6.Holiday option II and pay
7.Customer Contact Premium (increase)
8.Vacation Accrual (increase)

 

[qwerty]

Let's talk about pay rates for a minute, and not just about the "working class" (your term not mine). Why do you think the company has a responsibility to pay you more than what you willingly work for? I'll argue that the pilots are still overpaid, just look at the turnover (there isn't any.) The union obviously does a good job at negotiating work rules and squeezing the best salary they can - for a profession that frankly many people would gladly work in for a lot less.

Management falls under the same market forces, except without the collective bargaining. Just look at the managers moving from DC to Tempe, where the company can get away with paying less in a much less competitive environment. Was SIEGEL worth $4 million - of course not. But imagine the talent you would have gotten had the Board spent real money? Is Parker worth 9? Of course he is - look at the stock price, look at the future.

As far as your laundry list of why the man is keeping you down - Get over yourself - you live in AMERICA, under the laws written for you by your elected officials. If you don't like the laws or the officials that set them, you are free to work on changing both.

 

[diogenes]

I'll take that bait.

Many US employees are of a certain age and are with families. They can't afford to forego medical benefits (particularly if they have persistent conditions, such as diabetes). Thus, they have accepted lower rates of pay (and in many cases, found second jobs to offset the difference)to maintain them.

Of course there is a solution.

Nationalize health care, like every other industrialized nation, and then watch how many US employees tell the desert castle to pound sand.

 

[insp89]

Let's talk about pay rates for a minute, and not just about the "working class" (your term not mine). Why do you think the company has a responsibility to pay you more than what you willingly work for? I'll argue that the pilots are still overpaid, just look at the turnover (there isn't any.) The union obviously does a good job at negotiating work rules and squeezing the best salary they can - for a profession that frankly many people would gladly work in for a lot less.

Management falls under the same market forces, except without the collective bargaining. Just look at the managers moving from DC to Tempe, where the company can get away with paying less in a much less competitive environment. Was SIEGEL worth $4 million - of course not. But imagine the talent you would have gotten had the Board spent real money? Is Parker worth 9? Of course he is - look at the stock price, look at the future.

As far as your laundry list of why the man is keeping you down - Get over yourself - you live in AMERICA, under the laws written for you by your elected officials. If you don't like the laws or the officials that set them, you are free to work on changing both.

Get over yourself ?

Management falls under the same market forces ?? You have not been paying attention..Upper management was protected during the bankruptcy proceedings..This has caused a lot of the ill will thats still going on today.
People do not forget that some were not obligated to participate in the pay and benefit cuts..

Do you actually think Parker is responsible for the stock price, all by himself ??
You can't give Parker all the credit for the stock price, any more than you can blame everything on Siegle for the mess the airline was in when he left.

Parker is just one man, it just amazes me how some see nothing wrong with these CEO types raking in Millions while at the same time, the "working class" has to live on huge pay cuts.[Especially when you take in consideration the pay cuts are the MAIN reason the stock has gone up].

And BTW, Thank You for allowing me to work on changing the laws and officials. 😉

You say that the pilots are still over paid, what about YOUR salary, Are you still over paid ??

I'll take that bait.

Many US employees are of a certain age and are with families. They can't afford to forego medical benefits (particularly if they have persistent conditions, such as diabetes). Thus, they have accepted lower rates of pay (and in many cases, found second jobs to offset the difference)to maintain them.

Of course there is a solution.

Nationalize health care, like every other industrialized nation, and then watch how many US employees tell the desert castle to pound sand.

diogenes, I work with a guy that is in the EXACT situation that you describe..He could go out tomorrow and get a job paying the same rate he is now making, but his wife has a pre-existing condition that would not be covered if he quit..

 

[Mr Eagle]

Of course there is a solution.

Nationalize health care, like every other industrialized nation, and then watch how many US employees tell the desert castle to pound sand.
[/quote]

You Have Never Lived in Canada under there Health Care system, Or England Have you.?? If you Had that Expierience,you Would Not Want or Desire the National Health Care, They Tell you What you will do with your Health Care. You Have no choice's Like,in America. And the Waiting for Doctor's For Just a Simple Exam.I have Had Friend's That Have Gone Terminal Because they Were waiting for a Simple appointment,for Diagnosing a condition.
MWW

 

[insp89]

[
Of course there is a solution.

Nationalize health care, like every other industrialized nation, and then watch how many US employees tell the desert castle to pound sand.
You Have Never Lived in Canada under there Health Care system, Or England Have you.?? If you Had that Expierience,you Would Not Want or Desire the National Health Care, They Tell you What you will do with your Health Care. You Have no choice's Like,in America. And the Waiting for Doctor's For Just a Simple Exam.I have Had Friend's That Have Gone Terminal Because they Were wiating for a Simple appointment,for Diagnosing a condition.
MWW

MWW, National Health Care may not be the answer, but allowing insurance companies to drop customers [with pre-existing conditions] when they quit their jobs, needs to be addressed...

 

[diogenes]

MWW,

Of course that can happen - no system is perfect.

OTOH, there are over 40 million Americans, many of them children, who do not even have the option to wait - they have no insurance.

For many working class who do have some form of insurance, health care is de facto rationed - the insurance company tells them which doctor they can see, the range of treatments they can get and the formulary of drugs available to them.

Here's a market solution. Put every American in the same health pool, commoditize insurance and don't allow insurance companies to cherry pick - they have to compete in the same pool as everyone else. In other words, true competition instead of the current stacked deck from which consumers must draw.