Is the company truly trying to transform itself, or does it want to use labor organization's blood for a transfusion? The Company's recent negotiation proposal definitely has the air of "out with the old, in with the new." Earlier this year, then CEO Dave Siegel claimed that US Airways must bring their Cost per Available Seat Mile (CASM) down to 6 cents. As you can see by the information below (all information was taken from each respective carrier's website to assure accuracy), this is an unreachable and ludicrous goal to attempt as a legacy or even a low cost carrier. In order to reach the ridiculously low CASM of 6 cents per available seat mile, we would indeed have to start from scratch, as the company has proposed in the latest negotiations, and basically forfeit our entire contract. With the Company's viewpoint in mind as to the current negotiations, we should never attempt to match Jet Blue's CASM, the comparison continually being made is to America West, whose CASM is 1.70 cents lower than USAirways, and didn't Dave Siegel mention in his web cast on March 24th that 2 cents of cost reduction was obtainable without employee participation? In fact, Mr. Siegel stated that a cost reduction of 2 cents could be achieved by restructuring aircraft utilization, aircraft seating configuration, scheduling, and distribution. This realization leads one to suspect that the Company merely wants concessions from labor in order to pad its own pockets, while stripping employees of an already meager standard of living. Recent negotiation proposals from the Company attack wages, healthcare, vacation, sick time, premiums, holidays, and overtime, 401K, and retiree benefits. They might as well take blood too. Airline Profit/(Loss) CASM (in cents)
Independence Air (27.1 Million) 19.90
Northwest (182.0 Milliom) 10.61
Delta (1.96 Billion) 10.58
United (247.0 Million) 9.83
AMR 6.0 Million 9.57
Continental (17.0 Million) 9.42
USAirways 34.5 Million 9.40
Frontier 12.6 Million 8.48
Air Tran 16.8 Million 8.46
Southwest 113.0 Million 8.09
America West 5.7 Million 7.72
Jet Blue* 21.5 Million 5.90 operating expense
5.84 airline expense
* Jet Blue was the only carrier to break out CASM in operating expenses and airline expense, leading one to believe they have an actual CASM of 11.74 * Some airlines did not denote if fuel costs were included in CASM reporting We'll keep you informed.CWA Local Officers and Staff
Independence Air (27.1 Million) 19.90
Northwest (182.0 Milliom) 10.61
Delta (1.96 Billion) 10.58
United (247.0 Million) 9.83
AMR 6.0 Million 9.57
Continental (17.0 Million) 9.42
USAirways 34.5 Million 9.40
Frontier 12.6 Million 8.48
Air Tran 16.8 Million 8.46
Southwest 113.0 Million 8.09
America West 5.7 Million 7.72
Jet Blue* 21.5 Million 5.90 operating expense
5.84 airline expense
* Jet Blue was the only carrier to break out CASM in operating expenses and airline expense, leading one to believe they have an actual CASM of 11.74 * Some airlines did not denote if fuel costs were included in CASM reporting We'll keep you informed.CWA Local Officers and Staff
