Carty/Arpey to meet with Unions OCT 30th

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On 10/30/2002 7:18:07 PM RV4 wrote:

Well?

What happended at this meeting?

My, My we are informed union members, aren't we?
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Nothing much, it was just the same briefing that was presented before. It's just part of bargaining: if they can establish working on management's terms, it provides a means of shifting the process around to one that is to their advantage. There is nothing new here concerning AMR. If you read the Union Buster's Handbook, you can pretty much see their entire gameplan.
 
So you think they are spending their time trying to bust the unions?

Hmmm, and I thought they were busy with business planning.
 
RV4: You are either not wholly informed, or extremely partisan in this management versus pilot labor contract session.

AMR cannot bust the unions, however, the tactics they employ to wage their battle side by side with the stonewalling tactics their negotiators employ is right out of the Confessions of a Union Buster. The second rule is money is no obstacle. They will do whatever they have to in meeting their long term goal, which includes losing profit and productivity in the short term.

Coincidental with another poster's remarks about UAL, AMR does have a business plan which they are implementing. UAL does not and is floundering. AMR already enjoys a significant cost advantage over UAL and USAirways, and wants to lower its cost structure further to be on par with DAL and NWA. They have already realized two-thirds of their cost cutting goal. The recent 3Q loss involved quite a bit of accounting write offs, ostensibly to paint a dismal financial picture to labor. But even with my natural cynicism, still they are losing money even on a cash flow basis. If the market remains price adverse and demand remains low, then AMR will not be the first to go into bankruptcy, and Continental should be included with UAL and USAirways as being ahead on that watch list.

Until either demand picks up, or supply diminishes further, the simple economics dictates everyone will be losing money, and even SWA will show a loss for the 4Q as the 200-400 mile market is driving rather than go through the hassle of flying.
 
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AMR already enjoys a significant cost advantage over UAL and USAirways, and wants to lower its cost structure further to be on par with DAL and NWA. They have already realized two-thirds of their cost cutting goal. The recent 3Q loss involved quite a bit of accounting write offs, ostensibly to paint a dismal financial picture to labor. But even with my natural cynicism, still they are losing money even on a cash flow basis.
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Personally, I don't see wage cuts coming other than a means of last resort.

Special items in the 3Q numbers for AMR weren't hey let's add these in to make it look bad numbers. According to accounting standards, AMR had little choice but to write down the impaired assets.

To all those who think it is all about union busting, my challenge to you is this -- come up with your own way of stemming the red ink, and have your union bring it to the table. Management isn't the only one who should be coming up with ways to cut our operating expenses, but if nobody else comes up with alternatives, don't complain too loudly about what those cuts are...
 
Just got word from APA concerning the meeting. Basically nothing new was said. AA presented APA with its' current financial position and what they intend to do about it. No employee concessions where discussed and no new manning changes planned for the near future. In general the meeting was a stategy session.

Skyhungry
 
Eric

The way I see it is plan A is wait and see if U or Ual fall on their face then attempt to gain market share at their expense.

If that don't work then plan B will be layoff shrink hunker down and try to ride it out.

Now if that want get you there than you have to go and ask for money back but not before you see if plan A works.

When the idiot light comes on call a mechanic cause you d@m sure can't fix it
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To all those who think it is all about union busting, my challenge to you is this -- come up with your own way of stemming the red ink, and have your union bring it to the table.
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Well Eolesen, with your management job, that's your perspective. However, there is a discernable campaign on the labor front that AMR always mounts since the earliest days of Crandall and it doesn't take a rocket scientist to figure it out from a union perspective.

Now as to solving the problem, this is the ground that management wants to fight on. They would love nothing more than to have us trip all over ourselves to save them money. Now we can and will do our job, and do it well. And if we do our part, and they do theirs we can be successful once people want to start flying again. With all the added security time delays, inconvenience and general hassle, I don't think that'll happen any time soon. Also remember the airlines are paying for it, and what we're paying per passenger is more than we're losing per passenger.

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Management isn't the only one who should be coming up with ways to cut our operating expenses, but if nobody else comes up with alternatives, don't complain too loudly about what those cuts are...
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So, since the Government caused the problem by letting known terrorists in (I mean all they had to do was read the list of names and we had the 19 terrorists on the same day as the airplanes crashed) and the Government is mandating all the added security which hasn't made anything more secure...then the Government can pay for it all. After all, we're keeping the Nation safe, so the Nation through the Government can pay for it.

There-problem solved in typical pilot fashion.

Now about the RJ caps and having APA do all the jet flying...would you as management care to do some old fashioned horse trading?

 
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