F/a Email Making The Rounds

jimntx

Veteran
Jun 28, 2003
11,161
3,285
Dallas, TX
www.usaviation.com
Got this from a friend who is a UAL f/a. Seems this is making the rounds.


THE JET LAGGED FLIGHT ATTENDANT'S GUIDE TO THE FACTS, PLAIN & SIMPLE

- Number of months United Airlines has been in bankruptcy: 32
- Number of viable business plans UAL has brought forward to exit bankruptcy: 0
- Annual salary of CEO Glen Tilton in 2004: $756,832.00
- Average Annual salary of a UA flight Attendant with 8 years seniority in 2004: $27,636.00
- Average Annual salary of a UA flight attendant with 8 years seniority in 2005: $25,008.00
- CEO Glen Tilton's bonus for 2004: $366,393.00
- CFO Jake Brace's bonus for 2004: $173,403.00
- All United Airlines Flight Attendants combined bonus for 2004: $0.00
- Number of viable alternatives to the flight attendant defined benefit plan proposed by AFA to UAL: 5
- Number of these proposals UAL was willing to discuss: 0
- Number of viable alternatives to the flight attendant defined benefit plan proposed by UAL to AFA: 0
- Amount UAL paid the PBGC to terminate UAL employees Defined Benefit Pension Plan: $1,500,000,000.00
- Amount of CEO Glenn Tilton's Pension: $4,500,000.00
- Monthly pension of a FA with 19 years of seniority under the Defined Benefit Pension Plan: $2,184.85
- Monthly amount to same FA if our pension is terminated and replaced with a Defined Contribution Plan (401k): $776.29
- Percentage lost: 64%
- Percentage of Flight Attendants who will lose more than half of their pension if terminated or replaced: 70%
- Length of time the Contractual Defined Benefit Pension Plan would continue to payout: Your lifetime
- Length of time a Defined Contribution 401k Plan would continue to payout: Could expire before you do
- Number of Congressmen/women who support legislation to halt the termination of our pension for 6 months: 115+
- Number of those who are Republican: 7
- Number of Congressmen/women who voted to stop the PBGC from using
appropriated funds to implement the UAL settlement deal: 219
- Number of those who are Republican: 31
- Parties who have brought evidence to court proving the termination of our pension is necessary to the survival of UAL: 0
- Number of AFA flight attendants at United Airlines: 17,000
- Number of UA Flight Attendants willing to strike to preserve their retirement security: YOU DECIDE

Will you stand by and allow someone to steal money out of your own
pocket? Think about it.
 
The AFA has lost this one. Every time the AFA is mentioned on the line the working FA's comment on how out of touch they are with the rank and file. No one is willing to CHAOS. They have shot their wad and now are left talking to themselves in a corner like a jilted prom date.

Open door policy. Leave it you don't like it anymore. I know I got out of a marriage because it made me miserable. I would suggest if the job makes you miserable and you have to spend your days and nights worrying about what bene Tilton got then it is time for you to do something else.

As for the avg. f/a salary,......well never mind.
 
Well maybe this one can make the rounds, too..........


THE JET LAGGED FLIGHT ATTENDANT'S GUIDE TO THE FACTS, PLAIN & SIMPLE

Actually, the title should be, "THE JET LAGGED UAL AIRLINE EMPLOYEE'S GUIDE TO SOME MISREPRESENTATIONS, PLAIN & SIMPLE"

- Number of months United Airlines has been in bankruptcy: 32
- Number of viable business plans UAL has brought forward to exit bankruptcy: 0

Actually, you have no idea how many viable plans have been put forward. As it has been stated many times on this forum, business plans typically aren't for the eyes of the public. If Tilton put forth a public business plan that our competitors got to read, he should get fired. And FYI, they only need "1" business plan, and it probably doesn't even have to be "viable" to you or me. It just has to be "viable" to the people giving us the money to exit bankruptcy!


- Annual salary of CEO Glen Tilton in 2004: $756,832.00
- Average Annual salary of a UA flight Attendant with 8 years seniority in 2004: $27,636.00
- Average Annual salary of a UA flight attendant with 8 years seniority in 2005: $25,008.00

So use your time at your layover hotels and productivity breaks to study for a college degree or vocation that pays more. Unfortunately, jobs that only require a high school education and a few weeks of training don't pay much. Since the vast majority of flight attendants that I work with are educated, they should use this time to find another job that pays them for their skills as many of them easily could. Go get your MBA and work your way up and you could make MORE than Tilton someday!

- CEO Glen Tilton's bonus for 2004: $366,393.00
- CFO Jake Brace's bonus for 2004: $173,403.00
- All United Airlines Flight Attendants combined bonus for 2004: $0.00

Didn't you guys get rid of your bonus, profit sharing, free dry cleaning, etc., so that you wouldn't have to take as large a pay cut?


- Number of viable alternatives to the flight attendant defined benefit plan proposed by AFA to UAL: 5
- Number of these proposals UAL was willing to discuss: 0
- Number of viable alternatives to the flight attendant defined benefit plan proposed by UAL to AFA: 0

Actually, from what I've been able to ascertain by going to union meetings and talking to the people who knew what was going on with the pilot pension, no bank would be willing to give us exit financing if much money went to "save" anyone's pensions. The AFA didn't put forth any viable plans that would have saved the pensions AND gotten us exit financing. The choice was basically your pension AND your job OR your pension or your job.


- Amount UAL paid the PBGC to terminate UAL employees Defined Benefit Pension Plan: $1,500,000,000.00

We're lucky it was that cheap. The PBGC could have really screwed us over worse if we hadn't cut that deal.



- Amount of CEO Glenn Tilton's Pension: $4,500,000.00

That he obtained from his previous employer. We NEVER would have found an experienced CEO had we not covered pensions earned from a previous employer. It's that simple.


- Monthly pension of a FA with 19 years of seniority under the Defined Benefit Pension Plan: $2,184.85
- Monthly amount to same FA if our pension is terminated and replaced with a Defined Contribution Plan (401k): $776.29
- Percentage lost: 64%
- Percentage of Flight Attendants who will lose more than half of their pension if terminated or replaced: 70%

Atually, these numbers may or may not be true. The circumstances are extremely variable from one person to the next. And I'm not sure that 776 bucks includes the money they'd get from the PBGC and their C fund and their personal savings (401K, IRA, etc.)

- Length of time the Contractual Defined Benefit Pension Plan would continue to payout: Your lifetime
- Length of time a Defined Contribution 401k Plan would continue to payout: Could expire before you do

Well actually, if you're concerned about running out of money before you die, there are financial options you can undertake assuming you invest properly. See a Certified Financial Planner now and they could easily come up with a plan for you to follow that will provide for your retirement.


- Number of Congressmen/women who support legislation to halt the termination of our pension for 6 months: 115+
- Number of those who are Republican: 7
- Number of Congressmen/women who voted to stop the PBGC from using
appropriated funds to implement the UAL settlement deal: 219
- Number of those who are Republican: 31

It really doesn't matter. If they halt the company from terminating the pensions, we won't exit bankruptcy. If they don't halt the termination, it looks like we'll exit bankruptcy someday. Choices, choices.


- Parties who have brought evidence to court proving the termination of our pension is necessary to the survival of UAL: 0
- Number of AFA flight attendants at United Airlines: 17,000
- Number of UA Flight Attendants willing to strike to preserve their retirement security: YOU DECIDE

If you think anybody with any knowledge of UAL's financial situation thinks this is all just pension grabbing for sport, I have a repossessed 747-400 with pin striping and rustproofing to sell them. As far as the "you decide" goes, I think many have decided already. No wildcat strikes, at least yet. I'd use the "C" word but I'm afraid I'll be sued for trademark infringement :)

Will you stand by and allow someone to steal money out of your own
pocket? Think about it.

I guess one could say it's stealing. Or perhaps just bad management. I guess you could strike until you got your pensions. We'll all be employed at other airlines, though.
 
How do you strike without strikers?? We were willing to strike but not for this. AFA does not know what the line f/a's want. They are too far removed to even find out.
 
Open door policy. Leave it you don't like it anymore. I know I got out of a marriage because it made me miserable. I would suggest if the job makes you miserable…then it is time for you to do something else.

So use your time at your layover hotels and productivity breaks to study for a college degree or vocation that pays more.

Perhaps the f/a should pick up the study material after flying 7:59 straight and before checking out of the hotel at 6:00am for an 8:30am departure. Why do ignorant pilots like you never understand that f/as do what they do because they enjoy it? If many f/as are as educated as you say and could find something else to do tomorrow, then it means that they truly like their profession (yes, it still is a profession, even though you equate it to a cashier’s job at Wal-Mart), don’t they? Why do many ATR and Gulfstream pilots continue to fly for pennies even though they know, now more than ever, that they may never make it to the majors? Being willing to accept more stringent contract rules does not signify that f/as should accept to work for less than what a garbage collector earns. Perhaps the next time United hires cabin staff, you should take a peek at the throngs of people who apply for the job. I have seen the high school-only types who are supposed to make such easy replacements for the f/as: United didn’t want them and I don’t blame it. If trailer-trash types are what you want at the back of your trailer, then may you be blessed with the best of them. Better yet, the next time Wesley Clark or some foreign dignitary is on board, why don’t you make a special request that they work the flight? I am sure their attention to detail and professional presence will build and maintain the customer base that will help take the company back to profitability. Rather than advocate that valuable people who take pride in their work make a decent living, here you are dropping the same stupid line about changing jobs and being “free to go.â€

Unfortunately, jobs that only require a high school education and a few weeks of training don't pay much. Since the vast majority of flight attendants that I work with are educated, they should use this time to find another job that pays them for their skills as many of them easily could. Go get your MBA and work your way up and you could make MORE than Tilton someday!

And what exactly is a f/a going to do with an MBA? And with what credentials is the person going to apply to a decent program? And to do what after graduation? An MBA with no experience is just that –an MBA with no experience. I know this because I am in a ranked MBA program, and it was not something anyone who simply wants a fair wage should consider lightly. To get in, I had to build a resume, network, perform volunteer work, join academic organizations, and, of course, study for two years beyond my M.A. and maintain a 4.0 in quantitative subjects. Only recently has this paid off, and I was hardly your average candidate. An above-average GMAT score alone will not cut it, either, unless you want to attend a local community college, which would make the MBA quite meaningless (actually, any program below the top 25 is quite pointless, unless all you want to attain is a general business education). Getting out of the f/a profession and into a profitable field is a very arduous task and I would advise people to be extremely cautious.

I must have spoken to about a dozen flight attendants who told me they still made $40,000-$44,000 last year...not so bad considering the company has lingered in bankruptcy for nearly 3 years and after two rounds of give-backs.

What are the mean and range, jamake? Come on, we know you are the type who will stick around after the fifth paycut! Your complacency scares me. It is with that attitude that they will just keep walking all over you.

P.S. As for the avg. UA FO salary,......well never mind, either.
 
Ual Driver:

I couldn't have said a better rebuttal. I am so tired of the class envy that permeates these boards. Very few people possess the skill set required to bring a company the size of United, out of bankruptcy. I will never begrudge Tilton for negotiating the best contract for himself. When your skill set is highly valued, one can command what one thinks they are worth. Furthermore, if my memory serves me correctly, Jack Craighton practically BEGGED Mr. Tilton to take the job.

Having been off for two years on voluntary furlough, going to school and working as a personal assistant to a high-strung, type-A personality, workaholic CEO, I cannot begin to tell you what a pleasure it was to step back on an airplane, getting paid about $40 bucks an hour to ask 12 first class passengers if I could freshen up their drinks and then spend my 27 hour layover in Maui swimming in the Pacific.

For someone with only a high school diploma and who hasn't had to go into debt to acquire skills for their vocation, being a flight attendant for United is still not a bad gig. When deciding whether or not I should return, I spoke to several United friends and colleagues about what their salaries were after two rounds of concessions. I must have spoken to about a dozen flight attendants who told me they still made $40,000-$44,000 last year...not so bad considering the company has lingered in bankruptcy for nearly 3 years and after two rounds of give-backs.

I challenge Sara Dela-Cruz and her cronies to do a little field research: Go out into the real world, without a skill-set that is considered highly marketable, with merely a high school diploma or GED in their pocket, and see what kind of salary they can expect to command. I rest my case...
 
When is the AFA going to realize that nobody listens to their whining anymore? All they ever do is make empty threats that they don't have the cojones to back up. As a labor union, they've lost any semblance of teeth they ever had. Nobody takes them seriously. For CHAOS to be an effective tactic, you have to be willing to actually use it. UA AFA certainly made numerous CHAOS threats. But to date, we've not seen them do a thing. Does AFA leadership honestly believe that people even pay attention to their press releases? It's really quite sad how neutered they've become.
 
Perhaps the f/a should pick up the study material after flying 7:59 straight and before checking out of the hotel at 6:00am for an 8:30am departure. Why do ignorant pilots like you never understand that f/as do what they do because they enjoy it?

Yeah, EVERY layover is like that. There are NEVER 15 hour layovers at hotels, 3-4 hour productivity breaks in between flights, etc. Give me a break. There are MANY people, as an example, who work full time jobs, have kids, and still are able to pursue further education. If you're telling me the flight attendant lifestyle (which is extremely similar to mine) doesn't allow the time to better oneself, than I say BULL****!


If many f/as are as educated as you say and could find something else to do tomorrow, then it means that they truly like their profession (yes, it still is a profession, even though you equate it to a cashier’s job at Wal-Mart), don’t they?

Actually, you're equating it to a cashier's job at Wal-Mart. I just said that jobs that only require a high school diploma and a few weeks of training don't command much pay. If you don't believe me, look at the top margin of the flight attendant job application on the first page. The prerequisites are cleary stated.

So if they're staying in the job because they truly like their profession, great! Then don't complain about your 20K salary vs. my salary or the salary of your CEO. If you want those kind of salaries, go out there and take the steps necessary in your life to earn those types of salaries.


Why do many ATR and Gulfstream pilots continue to fly for pennies even though they know, now more than ever, that they may never make it to the majors? Being willing to accept more stringent contract rules does not signify that f/as should accept to work for less than what a garbage collector earns.

Actually, they fly "for pennies" because 1) perhaps that's the farthest they know they'll get in their career and they're happy with that or 2) have the forsight to realize that the airline industry won't be in the pits forever and are willing to make short term sacrifices to achieve long term goals that eventually will be back within their reach.

If a flight attendant wants to earn what a garbage collector earns, then go be a garbage collector! It's a very important job (imagine how screwed we'd all be if we didn't have garbage collectors) and in my county pays quite well with good benefits.


Perhaps the next time United hires cabin staff, you should take a peek at the throngs of people who apply for the job. I have seen the high school-only types...............If trailer-trash types are what you want at the back of your trailer, then may you be blessed with the best of them.

Plenty of good people live in trailers, by the way. I doubt UAL will have trouble finding people wanting to become flight attendants. They have never paid flight attendants much and we've always decent people for the most part. When the quality of flight attendant applicants don't meet UAL's expectations, they'll have to pay more. So far, I guess, they haven't had to pay more.


Better yet, the next time Wesley Clark or some foreign dignitary is on board, why don’t you make a special request that they work the flight? I am sure their attention to detail and professional presence will build and maintain the customer base that will help take the company back to profitability. Rather than advocate that valuable people who take pride in their work make a decent living, here you are dropping the same stupid line about changing jobs and being “free to go.â€￾

Taking pride in your work doesn't mean you get to earn "extra" money. Our new $7/hr. cabin cleaners who clean our planes at many of our stations unfortunately don't get to earn as much as a flight attendant, for example, because they take a whole lot of pride in keeping a clean plane. Unfortunately, those types of jobs simply don't pay much, and that's the way the world turns. Wesley Clark will just have to be happy with what he gets for his $199 coast-to-coast round trip ticket whether it's the cleanliness of the cabin or whether he gets an extra big smile when he gets handed his coke.


And what exactly is a f/a going to do with an MBA? And with what credentials is the person going to apply to a decent program...................... Getting out of the f/a profession and into a profitable field is a very arduous task and I would advise people to be extremely cautious.

So you mean to tell me that if one were to try to obtain the credentials that a Tilton or a Brace have that it would be a very arduous task, difficult to obtain, and contains much risk? No s**t! Guess what? ANY job that pays well is difficult to obtain and contains much risk. You just mentioned the pilot working for pennies as an example. You mean being a pilot takes much time and risk and personal and financial sacrifice? No kidding. If you want to earn what a pilot makes, go out there and do it! Wanna earn what Tilton makes? Go get that bachelor's and MBA. Work hard to gain the experience necessary to work your way up to a good paying job just like WE ALL DID! After YOU do that then YOU get to complain about how much Tilton, Brace, pilots, and other professionals earn. THEN you will understand WHY we earn what we earn.


P.S. As for the avg. UA FO salary,......well never mind, either.

See the above paragraph.
 
I have trouble with the AFA posted "average salary" of flight attendants. I put EVERY single trip up for RDO or WOP. I probably work 2 or 3 trips a month (more if I'm not lucky). I made $24,000 last year. Not bad for 8 or 9 days away from home to relax without kids. That figure is wrong. :down:

(Yes, I understand it was an average of 8 years seniority and that makes a difference but the "average" flight attendant is topped out I'd bet)
 
I would say your figure is off, Fly. Perhaps you are flying int'l at 40$ + / hr and premium overides + premium per diem. The AFA figure is an A-V-E-R-A-G-E.

I've been working around 90 hours (avg) a month domestic narrowbody purser (still am locked out of premium int'l pay) and am doing about 40K/yr. Maybe the AFA figures are based on guarantee, and don't forget the fact that those figures are relative to the previous ones, which is, in fact, the point.
 
Yes, I only fly International (and Purser when I can hold it) unless I'm lucky enough to get them picked up! :up:

I would bet my most recent paycut that AFA set those figures using a 65 hour month....which no one has.
 
If you're telling me the flight attendant lifestyle (which is extremely similar to mine) doesn't allow the time to better oneself, than I say BULL****!

I am not saying that. Read my post.

If you don't believe me, look at the top margin of the flight attendant job application on the first page.

Actually, the application says “college preferred,â€￾ and most f/as today with 10 years or less seniority have at least a B.A. Many Western nations do not require college to become a pilot, either, so don’t talk as though your academic background commands your salary. Your hours and training as a pilot do, and as we both know, many of your fellow aviators make less than the garbage collector with benefits.

Then don't complain about your 20K salary vs. my salary or the salary of your CEO.

I am not complaining. I don't have a $20k salary; I don't have a CEO; and I officially left United in July to finish my second graduate degree and start a job at a reputable financial/consulting firm (you should know who I am by now, I hate to repeat myself). Again, read my post.

I doubt UAL will have trouble finding people wanting to become flight attendants. They have never paid flight attendants much and we've always decent people for the most part. When the quality of flight attendant applicants don't meet UAL's expectations, they'll have to pay more. So far, I guess, they haven't had to pay more.

I am surprised that no f/a has responded to this one. Flight attendants used to make an adequate salary before the pension debacle and pay cuts. Perhaps UA should “pay moreâ€￾ to keep the mostly educated junior people it has today, rather than try to hire quality ones in the future.

Our new $7/hr. cabin cleaners who clean our planes at many of our stations unfortunately don't get to earn as much as a flight attendant,...

Then they should become garbage collectors, since they their pay and benefits are so great.

So you mean to tell me that if one were to try to obtain the credentials that a Tilton or a Brace have that it would be a very arduous task, difficult to obtain, and contains much risk? No s**t! Guess what? ANY job that pays well is difficult to obtain and contains much risk. You just mentioned the pilot working for pennies as an example. You mean being a pilot takes much time and risk and personal and financial sacrifice? No kidding. If you want to earn what a pilot makes, go out there and do it! Wanna earn what Tilton makes? Go get that bachelor's and MBA. Work hard to gain the experience necessary to work your way up to a good paying job just like WE ALL DID! After YOU do that then YOU get to complain about how much Tilton, Brace, pilots, and other professionals earn. THEN you will understand WHY we earn what we earn.

Actually, Brace’s job does not seem to contain much risk at all, since no matter how badly he screws up at United, the company continues to keep him around. Most f/as simply want what they had before the cuts –nothing more, nothing less. As my post clearly suggests, for that kind of security, my MBA experience is unnecessary and your invitation to pursue such a degree, with all that it entails, is absurd.

The post scriptum was simply a footnote. Nowhere in my post have I complained about what pilots earn or mentioned Tilton (again, read my post!). Your well-deserved pay cut doesn't exactly give you a salary to brag about. Don't include yourself in the same sentence with Tilton and company because you have a far way to go before you step into his shoes, not just in terms of pay but also hours worked in a week. Moreover, your financial ramblings on these boards don't exactly make you a CFA. In light of Contract 2000 and ESOP, I thought your ego would be a bit more under control, but I guess that’s just the nature of the beast.
 
Actually, the application says “college preferred,â€￾ and most f/as today with 10 years or less seniority............ and as we both know, many of your fellow aviators make less than the garbage collector with benefits.

So like I said, it's a job that requires a college diploma. They can "prefer" lots of things, but it doesn't mean it's a prerequisite for the job or that one gets to earn "extra" just because you have a desired quality. Yes, many make less than the garbage collectors (in my county anyway) but again, it's a short term sacrifice for a long term financial goal.


I am surprised that no f/a has responded to this one. Flight attendants used to make an adequate salary before the pension debacle and pay cuts. Perhaps UA should “pay moreâ€￾ to keep the mostly educated junior people it has today, rather than try to hire quality ones in the future.

They don't have to. There are plenty of people out there who think being a flight attendant is a "wicked cool" job and will do it a few years in order to see the world. Supply and demand. Unfortunately, it's the same for the pilots as well right now. Hence the low pay some are willing to work for until supply catches up with demand.

Our new $7/hr. cabin cleaners who clean our planes at many of our stations unfortunately don't get to earn as much as a flight attendant,...

Then they should become garbage collectors, since they their pay and benefits are so great.


I would. Then I'd write a rambling e-mail and complain about how much all my superiors earn. And then when my superiors replied, I'd call them arrogant and tell them that their ego is out of check.

Actually, Brace’s job does not seem to contain much risk at all, since no matter how badly he screws up at United, the company continues to keep him around. Most f/as simply want what they had before the cuts –nothing more, nothing less. As my post clearly suggests, for that kind of security, my MBA experience is unnecessary and your invitation to pursue such a degree, with all that it entails, is absurd. The post scriptum was simply a footnote. Nowhere in my post have I complained about what pilots earn or mentioned Tilton (again, read my post!). Your well-deserved pay cut doesn't exactly give you a salary to brag about. Don't include yourself in the same sentence with Tilton and company because you have a far way to go before you step into his shoes, not just in terms of pay but also hours worked in a week. Moreover, your financial ramblings on these boards don't exactly make you a CFA. In light of Contract 2000 and ESOP, I thought your ego would be a bit more under control, but I guess that’s just the nature of the beast.
[post="288373"][/post]​
[/quote]

With all of your education, could you please post a SPECIFIC list of all the errors that Brace made since, say, the year 2000 that fall under his authority of the CFO of our multi-billion dollar company and fall under the category of "negligence"? Because, as you know now that you have a job with great responsibility, leaders often make errors and there's a difference between negligence and errors in judgement using hindsight as a guide. He obviously screwed something up badly (you say that at the beginning of the paragraph) so post them in order of the big screw ups down to the little screw ups. Feel free to use big numbers and complicated words. I'll look them up if I don't understand them.

And if you have the business background you claim, you should understand perfectly well why Brace is still here despite the errors in judgement he participated in, using hindsight as a guide. But I still want to read about the errors YOU think he made.

Never claimed to be a CFA. But you don't have to be one in order to crack open a SEC filing and see what's really going on with a company. It's too bad most people don't do that.

Obviously you're bitter and a bit arrogant. I can tell because you refer to my "well deserved" pay cut and how I'm "far away" from Tilton's shoes (which is true, thank God). It's probably a very good idea that you left UAL and moved on. There are more here, just like you, that need to do what you did and move on. Hopefully you won't carry that anger and bitterness with you to your next place of employment? You really should let it go. It accelerates the build up of plaque on your arteries :)
 
Airline Employee Relations 101

When managers treat their employees poorly, companies begin to crumble. The real strength of a corporation lies not in its executives nor in its workers, who day after day create a product or provide a service that has value. The real magic of any company lies in the dynamic between those who do the basic work and those who manage them.

Management’s job is to organize its workers to accomplish a mission. Workers are responsible to work hard. In return, workers entrust managers with the responsibility of organizing their lives, parceling out their time, investing their pension funds wisely and paying their payroll. Faith in their leaders allows workers to go about their everyday jobs with commitment, care and purpose.

The American worker’s basic instinct is to trust his leaders. It’s that trust between executives and workers that allows companies to function. When that trust is broken, when the balance between the executives and the workers becomes uneven—lopsided? unhinged?, organizations crack. In the airline industry, that fundamental trust has been broken, and the system is now out of whack.

United Airlines has abandoned its pension responsibilities. Northwest’s mechanics are about to go on strike. Delta is tiptoeing along the edge of bankruptcy. US Airways is a basket case being bailed out by America West.

The actions of some airline executives border on criminal. Some have been caught coloring the truth. Others are simply incompetent. Needless to say, at many of America’s largest airlines, confidence in today’s corps of airline executives is at an all-time low.

While some executives at Southwest, JetBlue and American Airlines are providing honorable and responsible leadership, executives at US Airways, Northwest and United appear to be raiding the corporate cookie jar even as they lay off workers in droves.

In a crisis of the executives’ own creation, they have the nerve to blame the workers. Worse, they pass the financial suffering that they have created on to their workers, while often paying themselves bonuses.

These kinds of management actions can’t help develop confidence.

According to Baseline magazine, the CIO at Northwest Airlines, Philip Haan, received $3,058,612 in total compensation last year. In 2003, his compensation was $1,915,587. Those salaries must certainly leave a sour taste for mechanics and flight attendants contemplating strikes at his airline.

US Airways executives argued in front of bankruptcy judges earlier this year that they need more funds for management retention. At the same time, they were firing workers and downsizing and outsourcing jobs they were responsible to protect.

Glenn Tilton, United Airlines’ CEO, received a bonus last year of $366,393; the company’s CFO, Jake Brace, got a bonus of $173,403. And what was the combined bonus for all United flight attendants during the same period? Zero.

And that’s not all. Even as they strip away pension programs paid for by their workers, airline executives seek to guarantee their own retirement funds. While United Airlines was forsaking its workers and reneging on its pension programs, CEO Glenn Tilton secured a retirement payment of $4.5 million.

What happened to the pension funds that airlines were supposed to be investing for their workers? That money was deducted from the workers’ salaries. Where did it go? Was it stolen? Why isn’t this considered a criminal action? Who is investigating?

Needless to say, a lot of airlines are in a heap of trouble. But just as there were airlines to emulate while the current airline financial crisis developed (for example, Southwest and JetBlue), there are some airline CEOs who seem to understand that the trust between airline executives and workers is sacred.

If more airline leaders would follow the examples of Gerard Arpey (American Airlines), Herb Kelleher (Southwest), Gary Kelly (Southwest), David Neeleman (JetBlue) and Gordon Bethune (Continental), the airlines would begin to regain the confidence and trust of their workers.
 

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