Delta Chairman/ceo Announces Plans To Step Down

[aislehopper]

Thank you NHBB! I heard through the grapevine that Mullin received a $60 million dollar buyout.

I know where 16M of your 60 M figure came from, see the press release. However, what is the source of funds for the rest of the 60 M buyout?

From the Press Release:

Mullin will receive a retirement benefit based on his participation in Delta's broad based-pension plan and on his agreement with the Board of Directors when he came to Delta in 1997. In addition to his actual Delta service, the agreement included credit for 22 years of service, which reflected pension benefits Mullin relinquished when he left his previous employer to join Delta. His total earned retirement benefit is valued at approximately $16 million, pre-tax, most of which was previously funded and disclosed

 

[JS]

DL(Alpa),
Don't give back "1" red cent.

Make all the money you can, NOW. !!!!!!!!!!!

If DL goes "11", or "if" Alpa (caves in down the road),(which I doubt) either way, those corperate "pick pockets" will put your annual earnings, on the "slim fast plan"

So "make hay while the sun $$$$$$$$$$ shines"

LEO leaving is BIG news.

I'd hate like hell to be working at DL now(and in the near future), WITHOUT a union contract in place, to protect my seniority rights.

Like some one posted above,
"buckle your seat belts, there's FUN times ahead"

NH/BB's

News flash! DALPA is the highest paid pilot group in this country. They are seriously overpaid.

 

[NewHampshire Black Bears]

DL(Alpa),
Don't give back "1" red cent.

Make all the money you can, NOW. !!!!!!!!!!!

If DL goes "11", or "if" Alpa (caves in down the road),(which I doubt) either way, those corperate "pick pockets" will put your annual earnings, on the "slim fast plan"

So "make hay while the sun $$$$$$$$$$ shines"

LEO leaving is BIG news.

I'd hate like hell to be working at DL now(and in the near future), WITHOUT a union contract in place, to protect my seniority rights.

Like some one posted above,
"buckle your seat belts, there's FUN times ahead"

NH/BB's

News flash! DALPA is the highest paid pilot group in this country. They are seriously overpaid.

JS,
Your correct when you state that DL pilots are the HIGHEST PAID,

BUT,

What, pray tell, qualifies YOU to state "That DL pilots are seriously OVERPAID" ???????????

NH/BB's

 

[FWAAA]

I'd say that what qualifies JS to assert that DL pilots are overpaid is that every other commercial airline pilot working for a domestic passenger airline in the US is willing to do it for less, in some cases much less. Many thousands of them have recently agreed to massive pay cuts, recognizing that their pay scale had become inconsistent with today's economy. Many thousands of others agreed years ago to make less (like those at NW and CO).

Maybe tomorrow they will be underpaid. But for today, they appear to be overpaid (relative to what others demand for the same work).

You, on the other hand, are underpaid and underappreciated. B)

 

[NewHampshire Black Bears]

I'd say that what qualifies JS to assert that DL pilots are overpaid is that every other commercial airline pilot working for a domestic passenger airline in the US is willing to do it for less, in some cases much less. Many thousands of them have recently agreed to massive pay cuts, recognizing that their pay scale had become inconsistent with today's economy. Many thousands of others agreed years ago to make less (like those at NW and CO).

Maybe tomorrow they will be underpaid. But for today, they appear to be overpaid (relative to what others demand for the same work).

You, on the other hand, are underpaid and underappreciated. B)

A Union contract has to be AGREED upon by 2 entities. A. The Union, and B. (drum roll plz.), MANAGEMENT !!!!!!!!!!!!

A contract is a binding legal document, that was SUPPOSEDLY researched by the people who know what their doing, (drum roll plz.), MANAGEMENT !!!!!!!!!!

Management(in a sense) gave their "word", by signing on the dotted line. The pilots upheld their end of the bargain, however, MANAGEMENT wants to "back out" from their obligation.

DL's pilot contract, is just that, DL's. Not AA, or UA, or anybody elses.

DL/ALPA is "nuts" to give back one red cent. They should make every dollar they can, until the next (lesser) contract is signed.
And WHY can they do "this" ??????????
Because they have a legal, and binding CONTRACT, signed by(drum roll plz.) good ol' MANAGEMENT !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

"MANAGEMENT", like in "LEO (the light bulb)MULLIN, who is "taking a powder", and gettin' out of the kitchen, cause he can't STAND THE HEAT !!!!!!!!

NH/BB's

 

[KCFlyer]

NHBB - in many cases, management's hand is forced because they are threatened with (drum roll please)....A STRIKE. In any other kind of contract negotiations, such tactics would be called "duress" and in other kind of contract negotiations, a contract signed under duress is.....INVALID.

 

[Kev3188]

NHBB-
Couldn't have said it better myself. More power to them (DALPA).

 

[michael707767]

NHBB - in many cases, management's hand is forced because they are threatened with (drum roll please)....A STRIKE. In any other kind of contract negotiations, such tactics would be called "duress" and in other kind of contract negotiations, a contract signed under duress is.....INVALID.

Actually, there is equal threatening on both sides. Union can threaton to strike, management can threaton to impose a contract or lock the employee out. It works both ways. In good times, the union threat of a strike carries more weight, in bad times the threat of an imposed contract carries more weight. By the way, name me one labor contract that a court ever ruled invalid because of duress?

 

[DLFlyer31]

A Union contract has to be AGREED upon by 2 entities. A. The Union, and B. (drum roll plz.), MANAGEMENT !!!!!!!!!!!!

A contract is a binding legal document, that was SUPPOSEDLY researched by the people who know what their doing, (drum roll plz.), MANAGEMENT !!!!!!!!!!

Management(in a sense) gave their "word", by signing on the dotted line. The pilots upheld their end of the bargain, however, MANAGEMENT wants to "back out" from their obligation.

DL's pilot contract, is just that, DL's. Not AA, or UA, or anybody elses.

DL/ALPA is "nuts" to give back one red cent. They should make every dollar they can, until the next (lesser) contract is signed.
And WHY can they do "this" ??????????
Because they have a legal, and binding CONTRACT, signed by(drum roll plz.) good ol' MANAGEMENT !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

"MANAGEMENT", like in "LEO (the light bulb)MULLIN, who is "taking a powder", and gettin' out of the kitchen, cause he can't STAND THE HEAT !!!!!!!!

NH/BB's

NHBB,

It's employees like you that help explain why so many of the majors are called dinosaurs. You're right that management and DALPA signed a contract, BUT times have changed since that contract was signed. So now, either DALPA and management change with those times or eventually they will go extinct.

While unions are certainly good to protect employees rights, I find it kind of ironic to hear you bashing the DL employees. Didn't your own union cave to AMR's demands faster than you can say concessionary contract?

You're right that DALPA doesn't have to give one cent. They can wait till 2005 and probably let negotiations drag until 2007 before signing a new contract. However, the price to pay for that delay will likely be far more than the concessions DL is asking for now.

 

[KCFlyer]

Actually, there is equal threatening on both sides. Union can threaton to strike, management can threaton to impose a contract or lock the employee out. It works both ways. In good times, the union threat of a strike carries more weight, in bad times the threat of an imposed contract carries more weight. By the way, name me one labor contract that a court ever ruled invalid because of duress?

Yes, I'm familiar with that, but I only point this out when the "management signed the contract" arguments are brought out in an effort to turn it into managements fault. Times were good, threat of strike, managment caved. Now somehow it's managment's fault that the contract was signed. Perhaps a lockout would have resulted in a better deal.

 

[JS]

Orchestrating an illegal sick-out is not supposed to be part of the negotiations.

That's no better than management locking out the employees before the feds give the go-ahead.

 

[TDR1502C]

Yes, I'm familiar with that, but I only point this out when the "management signed the contract" arguments are brought out in an effort to turn it into managements fault. Times were good, threat of strike, managment caved. Now somehow it's managment's fault that the contract was signed. Perhaps a lockout would have resulted in a better deal.

"A contract is a contract" arguement has been used in the past when employees point out that the conditions that required concessions have passed, times are good, the company is making money hand over fist, and maybe the concessionary agreements should be terminated early, snapping back to earlier agreements. After all the, the employees accepted concessions to help the company during rough times, shouldn't the company share during the good times? Or is it a one way street? And before you trot out any hoary airline profit sharing schemes (which usually involve crippled stock), can you give any examples of airline profit sharing that can actually be turned into cash by the recipients?

 

[whatkindoffreshhell]

Thank you NHBB! I heard through the grapevine that Mullin received a $60 million dollar buyout. You have to wonder why he really decided to bailout of Delta. Something tells me that DL may be in deeper then you actually think.

aislehopper, no need be rude. I didn't see your name on the owners manual for this BB. 😀

Mullin will receive a $16 million pension package because when he came to DL part of the deal included credits for the 22 years of accumulated benefits he earned in his previous job and was sacrificing to take on the DL CEO job.

Your "grapevine" of course twisted $16mil into $60mil. Never hesitate to take the low road when it comes to rumors!

You and that NHBB character are only looking at the situation thru your union-issue goggles.

Please remove the goggles and gaze at the big picture. Thank you.

 

[FWAAA]

I'd say that what qualifies JS to assert that DL pilots are overpaid is that every other commercial airline pilot working for a domestic passenger airline in the US is willing to do it for less, in some cases much less. Many thousands of them have recently agreed to massive pay cuts, recognizing that their pay scale had become inconsistent with today's economy. Many thousands of others agreed years ago to make less (like those at NW and CO).

Maybe tomorrow they will be underpaid. But for today, they appear to be overpaid (relative to what others demand for the same work).

You, on the other hand, are underpaid and underappreciated. B)

A Union contract has to be AGREED upon by 2 entities. A. The Union, and B. (drum roll plz.), MANAGEMENT !!!!!!!!!!!!

A contract is a binding legal document, that was SUPPOSEDLY researched by the people who know what their doing, (drum roll plz.), MANAGEMENT !!!!!!!!!!

Management(in a sense) gave their "word", by signing on the dotted line. The pilots upheld their end of the bargain, however, MANAGEMENT wants to "back out" from their obligation.

DL's pilot contract, is just that, DL's. Not AA, or UA, or anybody elses.

DL/ALPA is "nuts" to give back one red cent. They should make every dollar they can, until the next (lesser) contract is signed.
And WHY can they do "this" ??????????
Because they have a legal, and binding CONTRACT, signed by(drum roll plz.) good ol' MANAGEMENT !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

"MANAGEMENT", like in "LEO (the light bulb)MULLIN, who is "taking a powder", and gettin' out of the kitchen, cause he can't STAND THE HEAT !!!!!!!!

NH/BB's

Hey NHBB: I agree with you that the DL pilots have an iron-clad contract and deserve every penny due them under that deal. I have a great respect for the sanctity of contracts. I write them all the time and I take it personally when some clown wants to breach them. B)

But that doesn't preclude an observation that DL struck an unfavorable deal with their pilots - making them, for the time being, sorta overpaid. In today's world, they are overpaid. Tomorrow, who knows? Maybe the market for pilots will change and $500k will be the norm. That would make DL pilots grossly underpaid.

In 1999 and 2000, I thought Carty was underpaid. Come April 15, 2003, he was overpaid. Fortunately, CEOs' contracts are easier to cancel than those of Pilots. B)

Happy Thanksgiving.

 

[KCFlyer]

"A contract is a contract" arguement has been used in the past when employees point out that the conditions that required concessions have passed, times are good, the company is making money hand over fist, and maybe the concessionary agreements should be terminated early, snapping back to earlier agreements. After all the, the employees accepted concessions to help the company during rough times, shouldn't the company share during the good times? Or is it a one way street? And before you trot out any hoary airline profit sharing schemes (which usually involve crippled stock), can you give any examples of airline profit sharing that can actually be turned into cash by the recipients?

Then what I don't understand is why, when concessions are requested, don't the unions demand some "skin in the game" on the part of managment? For example, if they ask for a 20% cut from you, they get a 20% cut as well. If they are given "performance bonuses", so is the group who gave them concessions. If they get a pay raise to snap them back to what they had been making, those who gave concessions get a pay raise. If they get stock options, you get a proportional number of stock options.

Everybody seems to complain that managment is overpaid even when times are bad, but nobody wants to tie their deal with managments deal. An executive in a corner office is no different that a guy loading bags in the belly of a plane or a pilot sitting in the left seat of the cockpit - they don't want to "stagnate", so they won't be satisfied with a cut in pay that provides them with $200k per year (a rather healthy wage, IMHO), and they'll want more. It's human nature. So they'll look for ways to be rewarded. And it might mean that they seek employment elsewhere - great - get something in writing that limits any severance package to what the line employee might get (usually nothing). Why not tie your concessions to their rewards? It seems to me that when the good times return, the execs are going to want to be rewarded...why not force them into rewarding those on the front lines at the same time, rather than approaching them later, only to be given the "a contract is a contract" line? Put the verbiage in the contract that YOU will be rewarded when THEY are rewarded.

But I digress...the point of my original post is that it's not only managment's "fault" for agreeing to a contract that they now find troublesome. Labor had a hand in it as well. After all, it takes two to tango.

BTW - Southwest's profit sharing has been pretty lucrative. I don't work for them, so I don't know specifics, but it's been a pretty good program over there.