Labor Advisory Committee Meeting Update
5/5/04
Representatives of all US Airways unions met with US Airways
executives and management today to hear presentations on the
company's finances, management's business assumptions going
forward, and the new marketing and operations strategies that
management hopes to undertake to move the airline to
profitability.
The new CEO, Bruce Lakefield, and the new CFO, Dave Davis, made
presentations describing the state of the airline and outlining
their view that major structural changes are required to lower
costs. Other executives described the aggressive marketing plans
and the general strategy going forward:
PHL will continue as the core of US Airways network, adding more
point-to-point flying;
LGA, BOS and DCA will grow with increased point-to-point flying;
The Shuttle will continue to be a key US Airways asset;
CLT will continue as a hub and PIT will have fewer flights but
US Airways will still be a major airline at that airport.
All this information was meant to provide context for
management's proposals for more employee concessions. But those
proposals were not laid-out in this meeting and, it seems, may
not even be laid-out tomorrow when the entire AFA MEC meets with
management in DC for a presentation of the same material more
closely focused on our workgroup.
Although we were not told management's timeline for laying out
specific concessions demands, they made no bones about the fact
that they are looking at reductions in rates of pay, seniority,
benefits, productivity, scope (subcontracting), and specifically
for passenger service more automation at the airports. They also
stated that their models for employee salaries and costs are
JetBlue and America West (not Southwest!).
The new CEO, Bruce Lakefield, stated that he doesn't see his
mission as selling the airline off, either in whole or in parts.
He stated that his goal is to establish a relationship with
employees that will lead to profitability for the airline. He
commented on the high level of Professionalism in the US Airways
workforce, and said he wanted to retain that and add the
elements of Pride and Productivity.
======================
5/5/04
Representatives of all US Airways unions met with US Airways
executives and management today to hear presentations on the
company's finances, management's business assumptions going
forward, and the new marketing and operations strategies that
management hopes to undertake to move the airline to
profitability.
The new CEO, Bruce Lakefield, and the new CFO, Dave Davis, made
presentations describing the state of the airline and outlining
their view that major structural changes are required to lower
costs. Other executives described the aggressive marketing plans
and the general strategy going forward:
PHL will continue as the core of US Airways network, adding more
point-to-point flying;
LGA, BOS and DCA will grow with increased point-to-point flying;
The Shuttle will continue to be a key US Airways asset;
CLT will continue as a hub and PIT will have fewer flights but
US Airways will still be a major airline at that airport.
All this information was meant to provide context for
management's proposals for more employee concessions. But those
proposals were not laid-out in this meeting and, it seems, may
not even be laid-out tomorrow when the entire AFA MEC meets with
management in DC for a presentation of the same material more
closely focused on our workgroup.
Although we were not told management's timeline for laying out
specific concessions demands, they made no bones about the fact
that they are looking at reductions in rates of pay, seniority,
benefits, productivity, scope (subcontracting), and specifically
for passenger service more automation at the airports. They also
stated that their models for employee salaries and costs are
JetBlue and America West (not Southwest!).
The new CEO, Bruce Lakefield, stated that he doesn't see his
mission as selling the airline off, either in whole or in parts.
He stated that his goal is to establish a relationship with
employees that will lead to profitability for the airline. He
commented on the high level of Professionalism in the US Airways
workforce, and said he wanted to retain that and add the
elements of Pride and Productivity.
======================
