Does American Airlines survive?

[jimntx]

Despite management's insistence that we are in the transportation business (and, from a technical standpoint I agree), in reality we are in a customer service industry. Our business depends upon customer service--which includes decent service on the airplane in addition to on-time departures, yada, yada, yada.

My question for you today is...can American Airlines survive in the future?

My answer is NO. Management has succeeded in poisoning the employee relations well to the point that I don't see any action they can take to restore or even improve employee morale. Particularly as they continue to insist that their plan will not succeed unless employee pay and benefits are drastically reduced--and considering an alternate plan is, of course, out of the question. "We thought of it. Therefore it is perfect and the only solution to the mess we got the company into by paying the employees too much." Without decent morale in a customer service industry, how do they expect to provide customer service?

A purchase by US Airways may mean the survival (for a time) of the American Airlines name, but it will not be American Airlines. We all know that. At some point, conscious recognition of anything American Airlines will become as difficult as finding some TWA or Reno remnants today.

Among my flight attendant friends who are former Braniff, Eastern, and Pan Am, to a person they all say they have been down this road before. That management posture and behavior is identical to the management posture and behavior at their previous airline. We must reduce employee pay and benefits. We must shrink to profitability. And, yet our management is insistent that they can succeed where others have failed, but doing the exact same things as the failures. "Doing the same thing over and over again and expecting different results is a key indication of insanity."

 

[tom barry]

Jim,
I agree 90 + % of what you've said,.....except......that AA Can survive for a(few) number of reasons.
First the BK filing was a fraud.
Second, HDQ ...K N O W S to a CERTAINTY,the major AA hubs where they can successfully SELL the upcoming (latest) batch of BULL Shite !
Some examples;
The pilots are close to an agreement
(I'll save you guys for last)
Fleet service is "in the can" with an agreement. It doesn't look like the agents will get Unionized, and it's Not going to take much "tweaking" to get 50.1% of the AMT's to capitulate.
(Jim I'm almost to you F/A's)

Back to the hubs "in the AA bag"
AMT's-TUL(maybe DFW)
Agents everywhere. NO fight in the DNA of the troops in DFW/MIA/LAX/ORD(to a point)(though "some" resistance in NY and BOS)
F/S-everywhere(though resistance in JFK/LGA/BOS) (getting supervisors to Initially "Back-off" should suffice)
AA's biggest problem is the BOS/NY/ORD F/A's, with a little resistance from all the other bases.
Is it possible Jim to shut down crew bases in BOS and NY(except International) and have crews from MIA/DFW/and ORD (domestic)... originate trips in those bases, only to have them work the airplane back Out of NY and BOS, and also have the crews from those bases "originate" the early trips out of NY and BOS ?

????

 

[jimntx]

Where the f/as are based is of no consequence. Remember there is a thing called seniority. If you close the rebellious bases, you have to layoff f/as in other bases to make room for the senior f/as in the closed bases. While we do not have a bump and flush system at AA as far as base assignments, you still can't have a 10 year f/a active at DFW while you layoff a 20 year f/a at BOS.

Also, money in the bank does not mean that the company survives. Whether the BK was bogus or serious as a heart attack, and whether the company emerges from BK as a standalone organization or as a merged entity with someone else, in a customer service business, you have to provide customer service. With thoroughly pissed-off employees, how do you propose to do that?

 

[Raptorman49]

People get over things & move on what seems like the end of the world won't seem like the end of the world a year or two from now, American will survive just as the other bankrupt Airlines survived, it will be different but will make more money at our expense & go on to thrive IMO.

 

[Tex-Mech]

My question for you today is...can American Airlines survive in the future?

The name may survive forever, but the company most of us knew went out of business years ago. :huh:

 

[FWAAA]

The employees have been pissed off since at least April, 2003, and AA has managed to scrape by.

So far in the first six months of 2012, despite pissed off employees, total revenue looks to be up about $1 billion over the first half of 2011. Consolidated unit revenue (PRASM) increased 8.6% in June, 2012 compared to June, 2011.

The employees of US, suffering thru two bankruptcies (plus an earlier Ch 11 at America West), were pissed off yet US survives. Same at UA. Same at DL and NW. Lots of employees who have suffered exactly what the employees at AA are just now finally suffering.

Continental employees suffered thru two bankruptcies in earlier decades and yet CO survived - some would say thrived better than did any of its legacy peers.

Yes, AA's bankruptcy will embitter some employees and will enrage those who were already pissed off, but claims that AA's employees are just too pissed off for AA to survive are just plane silly.

Anybody ever have a friend or acquaintance who, upon having her first child, talks and acts as though she invented the whole concept of childbirth and procreation? AA employees whining about the bankruptcy reminds me of those people - some of y'all act as though you're the first (and only) airline employees to experience bankruptcy. News flash: you're merely the latest group - everyone else (except for Southwest, B6 and VX employees) has already been there. Some of them two or three previous times.

AA will survive, with you or without you.

 

[Zom JFK]

in a customer service business, you have to provide customer service. With thoroughly pissed-off employees, how do you propose to do that?

American has been doing it for years.

 

[Raptorman49]

The employees have been pissed off since at least April, 2003, and AA has managed to scrape by.

So far in the first six months of 2012, despite pissed off employees, total revenue looks to be up about $1 billion over the first half of 2011. Consolidated unit revenue (PRASM) increased 8.6% in June, 2012 compared to June, 2011.

The employees of US, suffering thru two bankruptcies (plus an earlier Ch 11 at America West), were pissed off yet US survives. Same at UA. Same at DL and NW. Lots of employees who have suffered exactly what the employees at AA are just now finally suffering.

Continental employees suffered thru two bankruptcies in earlier decades and yet CO survived - some would say thrived better than did any of its legacy peers.

Yes, AA's bankruptcy will embitter some employees and will enrage those who were already pissed off, but claims that AA's employees are just too pissed off for AA to survive are just plane silly.

Anybody ever have a friend or acquaintance who, upon having her first child, talks and acts as though she invented the whole concept of childbirth and procreation? AA employees whining about the bankruptcy reminds me of those people - some of y'all act as though you're the first (and only) airline employees to experience bankruptcy. News flash: you're merely the latest group - everyone else (except for Southwest, B6 and VX employees) has already been there. Some of them two or three previous times.

AA will survive, with you or without you.

Very Well said, I agree .... a year or two from now a new norm will have formed.& things will be back to normal more or less & AA knows that so that's why their not to concerned about us being mad now, they know it's just temporary ..... GRRRR

 

[signals]

Where the f/as are based is of no consequence. Remember there is a thing called seniority. If you close the rebellious bases, you have to layoff f/as in other bases to make room for the senior f/as in the closed bases. While we do not have a bump and flush system at AA as far as base assignments, you still can't have a 10 year f/a active at DFW while you layoff a 20 year f/a at BOS.

Also, money in the bank does not mean that the company survives. Whether the BK was bogus or serious as a heart attack, and whether the company emerges from BK as a standalone organization or as a merged entity with someone else, in a customer service business, you have to provide customer service. With thoroughly pissed-off employees, how do you propose to do that?

The employees have been pissed off since at least April, 2003, and AA has managed to scrape by.

So far in the first six months of 2012, despite pissed off employees, total revenue looks to be up about $1 billion over the first half of 2011. Consolidated unit revenue (PRASM) increased 8.6% in June, 2012 compared to June, 2011.

The employees of US, suffering thru two bankruptcies (plus an earlier Ch 11 at America West), were pissed off yet US survives. Same at UA. Same at DL and NW. Lots of employees who have suffered exactly what the employees at AA are just now finally suffering.

Continental employees suffered thru two bankruptcies in earlier decades and yet CO survived - some would say thrived better than did any of its legacy peers.

Yes, AA's bankruptcy will embitter some employees and will enrage those who were already pissed off, but claims that AA's employees are just too pissed off for AA to survive are just plane silly.

Anybody ever have a friend or acquaintance who, upon having her first child, talks and acts as though she invented the whole concept of childbirth and procreation? AA employees whining about the bankruptcy reminds me of those people - some of y'all act as though you're the first (and only) airline employees to experience bankruptcy. News flash: you're merely the latest group - everyone else (except for Southwest, B6 and VX employees) has already been there. Some of them two or three previous times.

AA will survive, with you or without you.

US is a classic example and a poster child of management profiting on a divide-and-conquer scenario. Obvious to everyone but the blind and those in denial. The work environment as a whole is changing, and because of the current job market, replacements are an application away. Experience? Ha don't make me laugh, because the new hires are clay to be molded in the company's image.

At one time, you loved the job and did it well. Today you are told to love your job or go find something you will love. Your given more job assignments, while new hires don't have a problem with extra work. Except you, the experienced one is doing more work for less money, as compared to new hires.

Funny thing. I'm not only talking about the airline or travel industry, but the American workforce in general. It's an employer's market and since we are in a world market, we have become second hand citizens in a competitive market of low wages. If you don't agree to the job description or wage, somebody will.

We honestly either have to adjust and cut our losses, OR start our own businesses where WE call the shots and WE are in control.

 

[Barfbag]

The name may survive forever, but the company most of us knew went out of business years ago. :huh:

Well said, my doctor and hs whole family flew AA to BCN recently. He only said about his experience on AA, never again.

 

[jimntx]

Interestingly enough, I just had a gay (male) acquaintance who flew AA to BCN. He also was extremely disappointed. In fact, his first question to me was what happened to the young, attractive f/as AA used to have?

 

[Barfbag]

Interestingly enough, I just had a gay (male) acquaintance who flew AA to BCN. He also was extremely disappointed. In fact, his first question to me was what happened to the young, attractive f/as AA used to have?

Ok I'll ask my doctor, he's a proctologist.

 

[BoeingBoy]

Well said, my doctor and hs whole family flew AA to BCN recently. He only said about his experience on AA, never again.

Go to any airline forum on FlyerTalk and there will be somebody saying much the same about every airline. Face it, the industry of today is a lot less "customer service" and a lot more "mass transportation" oriented. Gone are the days when even the lowest price ticket included two checked bags, assignment of any coach seat, hot meals, etc. All with 65-75% load factors so there was a pretty good chance of having an empty seat beside you.

Jim

 

[Barfbag]

Go to any airline forum on FlyerTalk and there will be somebody saying much the same about every airline. Face it, the industry of today is a lot less "customer service" and a lot more "mass transportation" oriented. Gone are the days when even the lowest price ticket included two checked bags, assignment of any coach seat, hot meals, etc. All with 65-75% load factors so there was a pretty good chance of having an empty seat beside you.

Jim

Peoplexpress had it right all along, but they were " slightly ahead of their time " .

 

[olderguyAMT]

Does AA survive? YES. Mgmt survives, according to a recent Dallas news article stating that upon BK emergence as standalone company, Mgmt will share a windfall in bonus money, from $300 to $600 million. All payed for by labor concessions. Now how does that grab ya? Got a warm and fuzzy feeling yet? Remember the true definition of insanity.