Oneflyer said:If the mechanics want Southwest's contract, AA management would give it to you.
[post="260477"][/post]
No they wouldnt.
The big threat is that if we had SWA contract that AA would get rid of overhaul.
Its a lie.
AA had Tulsa paid off before SWA even existed and in house Overhaul actually saves money.
The only work that AA is obliged to keep in house is the work they can do cheaper in house.
Still AA spends more on outsourcing than any other carrier.
If in house overhaul was always such a burden then why did they build Alliance?
The fact is that as demand for third party work increases so will the cost for that service, over time airlines will start to bring more and more back in house. AS SWA grows they continue to bring more work in house.
By keeping the work in house, and getting the low labor rates that those third party providers have AA in fact has a huge advantage over other airlines that have to pay these providers. Then when the other airlines start bringing the work back in they will have the high start up costs of doing so while AA will not.