Virgin America Weighs Sale After Receiving Interest

swamt said:
I also think AS just made themselves less desirable for an acquisition.  But only time will tell, we will see if there are any more in the future.  Still wondering what JB still might do, or what is next for them?
I agree with AS assessment.  They have always been very clear that they were perfectly happy as an independent airline.  This debt load should make them less attractive.  (Assuming of course that the Feds ever even allow the word merger to be spoken in public in the future.  :lol:)
 
They are issuing $2 billion in new debt, and will use $600 million from cash on hand.
 
So should the mechanics of Virgin quickly organize and get a union before merger is complete?  Should they try to go AMFA?  Whatever they do don't go with the teamsters. Look how long the teamsters are taking at UAL when both sides are represented by the exact same union with merging seniority rules already in the contracts. Virgin has also already said that some of the aircraft maintenance employees will not be needed.  They better do something real quick, otherwise they may get put at the bottom of the list as new hires all over again.  If anyone here was a Virgin mechanic, wouldn't you want to represented during a merger? Just asking...
 
Did you forget about McCaskill-Bond?

Makes a staple job almost impossible, even if one group is non-union?
 
IIRC Virgin America contracts out maintenance to Lufthansa Technik which subcontracts to local services.
They really don't have much of a workforce to worry about it.
 
B) xUT
 
swamt said:
So should the mechanics of Virgin quickly organize and get a union before merger is complete?  Should they try to go AMFA?  Whatever they do don't go with the teamsters. Look how long the teamsters are taking at UAL when both sides are represented by the exact same union with merging seniority rules already in the contracts. Virgin has also already said that some of the aircraft maintenance employees will not be needed.  They better do something real quick, otherwise they may get put at the bottom of the list as new hires all over again.  If anyone here was a Virgin mechanic, wouldn't you want to represented during a merger? Just asking...
 
700UW said:
Did you forget about McCaskill-Bond?

Makes a staple job almost impossible, even if one group is non-union?
He didn't say a word about stapling.  He said that merger rules were already in the contract.  He was talking about layoffs--such as when both airlines had mechanical and repair staff at the same airport in the case where a merger would make them overstaffed.  And, since AS has been around longer, in any given situation the odds are that even DOH seniority would put most AS employees ahead of most Virgin employees.
 
jimntx said:
He didn't say a word about stapling.  He said that merger rules were already in the contract.  He was talking about layoffs--such as when both airlines had mechanical and repair staff at the same airport in the case where a merger would make them overstaffed.  And, since AS has been around longer, in any given situation the odds are that even DOH seniority would put most AS employees ahead of most Virgin employees.
Did you not see where he clearly stated "put at the bottom of the list"?
 
 
swamt said:
So should the mechanics of Virgin quickly organize and get a union before merger is complete?  Should they try to go AMFA?  Whatever they do don't go with the teamsters. Look how long the teamsters are taking at UAL when both sides are represented by the exact same union with merging seniority rules already in the contracts. Virgin has also already said that some of the aircraft maintenance employees will not be needed.  They better do something real quick, otherwise they may get put at the bottom of the list as new hires all over again.  If anyone here was a Virgin mechanic, wouldn't you want to represented during a merger? Just asking...
 

That's a staple job.
 
700UW said:
Did you not see where he clearly stated "put at the bottom of the list"?
 
 
 
That's a staple job.
Unless you know the merger language in the existing contract AND you know the seniority of every mechanic in both airlines, I wouldn't make rash statements like that if I were you.
1.  If the contract language is typical DOH seniority merger, the vast majority of Alaska mechanics will be senior to ALL the Virgin mechanics.  That puts Virgin on the bottom regardless, and it would not be a staple issue.
 
2.  If the contract language is Date in Classification it might be even worse for some of the Virgin mechanics if their DOH was in a non-mechanic position.
 
3.  If the Virgin mechanics are non-union as swamt's post implies, then per McCaskill-Bond, the Virgin mechanics will be represented by an employee group or by the company.  Either way with no experience in contract negotiation, it probably won't help the Virgin mechanics much at all.
 
But maybe you need to log off from AirlineForums for a few weeks and rush to the aid of the Virgin mechanics to make sure the law as you understand it to be is followed.
 
Your probably right Jim. Hell Virgin is only 7 or 8  years old anyway.  ALK mechanics should have them all beat anyways. However I have no clue if Alaska has hired in the last 7-8 years.  
 
Go ask swaamt, what AMFA did to the former IBT AMTs at AirTran, and you will how he and others think.
 
Seniority intergration isn't contractual language, why do you think Alleghany-Mohawk and McCaskill-Bond are for?

Go ask the PMUS and PMHP pilots about that.
 
(deleted by moderator) ignorance about the employee makeup at Virgin shouldn't be a shock.

Based on 3.5 minutes of research, here are the facts on representation & headcount:
 
Virgin America 4Q2015 10-K
Cost Structure:
  • The strategic use of outsourcing for non-core activities, such as certain airport ground handling functions, many maintenance functions and call center activities; and
  • Lean overhead structure in information technology, finance, human resources and planning that is scalable and can be leveraged as we continue to grow.
Teammates

We believe maintaining a positive relationship with our teammates is a valuable part of our culture. We believe our relationship with our workforce allows us a highly productive working environment that benefits both the company and our teammates.

At December 31, 2015, our active teammates consisted of 639 pilots, 928 inflight teammates (whom other airlines refer to as flight attendants), 678 guest services teammates, 128 maintenance technicians and 592 management and other personnel. Our inflight teammates, voted for representation by the Transport Workers Union on August 13, 2014, and our pilots, voted for representation by the Air Line Pilots Association on June 4, 2015. We are currently in the beginning stages of negotiating collective bargaining agreements with both of these parties. None of our other teammates are represented by a union organization.
The most senior of the 128 mechanics will have 8 or 9 years, and will likely be at either SFO or LAX. Those seem to be the only stations that aren't contract maintenance. Maybe DAL has a token presence.

Either way, their staffing is dwarfed by AS, and the relative age of the airline works against them as well.

It doesn't need to be a staple -- they'll clearly be towards the bottom of the system list.

Not sure if any of the 300+ guys affected by the 2004 closure of the AS maintenance operation at OAK are still on recall or would have bumping rights back to the Bay Area after 12 years, but this could affect things at SFO as well.
 
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You can't bump from layoff and if you actually read what was written there are procedures in place to prevent a staple job aka being placed at the bottom like swaamt stated.