More Cuts at MEM
- Thread starter 700UW
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eolesen
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- Jul 23, 2003
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IIRC, Boeing made a bunch of major system design changes, so it's not the same as the MD95 it started out life as, and doesn't have an out of the box common rating. I believe SV retrofitted their MD90's to be common with the B717, but it wasn't a cheap undertaking. Required upgrading all the cockpit instrumentation...
robbedagain
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metopower
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- Nov 28, 2006
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Well robbed the the cockpits are very similar with the differences being the CRT's ,auto pilot amount them. Presentations being Boeing as opposed to being MD. Type ratings are the same all the way back to the DC 9-10. You would have to go to differences school. Depending on FAA approval 3 to 7 days.
WorldTraveler
Corn Field
- Dec 5, 2003
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agree. and neither is it a loss because the cuts have been made and most importantly this change doesn't involve reductions...just swaps
wasn't you but someone else
cheers
I can explain to you exactly how you handle seasonal cuts without impacting laborWorldTraveler said:
1. Increase training, upgrade or recurrent, AA also has lots of new metal coming over the next few years.
2. Grant a larger portion of vacation awards during the slow season.
3. Offer mini leaves for any other excess that may occur.
4. Start greater work towards integrating legacy US with Legacy AA groups, start training on the new combined GPM.
WorldTraveler
Corn Field
- Dec 5, 2003
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those are indeed all valid strategies which have been used before and are effective.
You also missed on the revenue side redeploying the aircraft and people on other routes and in other markets where they can be more effectively used.
As a hub alone, MEM is about redeployed assets. DL said it wasn't necessary to have as many competing hub flows over its network - MEM duplicates ATL, DTW, and MSP in many respects as well as some of what CVG offers.
Some of that came from the final steps of finishing the network rationalization after the merger and in responding to competitive changes at ATL. DL wanted to keep ATL as a larger hub given uncertainty as to what WN would do in ATL. Now that it is apparent that WN has no intention of challenging DL's dominance in any market from ATL and fares have risen as WN's ATL footprint has shrunk, DL çan use some of the capacity that had been used in ATL for competitive strategies and for connections to replace the much smaller amount of capacity that was flowing over MEM.
But there are also dynamics of reducing duplicate hubs that are part of a merger and that is precisely what will happen at AA/US even though many AA/US posters on here touted.
AA/US has duplicate hubs in many parts of the country including to Europe from the East Coast and Latin America.
Based on currently loaded schedules, AA/US' int'l capacity for Jan 2015 is down by about 1% on flights, 2% on seats, and slightly up on ASMs - because AA is flying longer flights and maintaining many of its routes by using smaller aircraft.
US' network is taking a far bigger hit on capacity cuts than pre-merger AA's with 5% reductions in seats and 8% reduction in ASMs.
Those are the types of reductions that have happened in every other major merger and ultimately do reduce the number of personnel. The first place it shows up is in seasonal flying but it will come down to peak flying as well.
Because UA just did the same thing on a seasonal basis, it says that AA and UA are both willing to make the deep cuts in their combined networks in order to ensure profitability on a year round basis.
DL has been very profitable even in the winter and in the Pacific which has been challenging as well as to Europe because DL has been willing to match capacity to demand even in offpeak seasons.
DL has maintained stable employment because they have done the things you suggested, redeployed capacity, and also had the flexibility with their workforce to increase output during the peak summer while reducing it during the winter.
Yes, it is possible to flex schedules to match capacity on a seasonal basis and in order over time to reduce duplicate capacity because of a merger - and not reduce the overall employee counts - as long as aggressive early outs are offered and hiring doesn't 1 for 1 replace the people who have chosen to leave.
You also missed on the revenue side redeploying the aircraft and people on other routes and in other markets where they can be more effectively used.
As a hub alone, MEM is about redeployed assets. DL said it wasn't necessary to have as many competing hub flows over its network - MEM duplicates ATL, DTW, and MSP in many respects as well as some of what CVG offers.
Some of that came from the final steps of finishing the network rationalization after the merger and in responding to competitive changes at ATL. DL wanted to keep ATL as a larger hub given uncertainty as to what WN would do in ATL. Now that it is apparent that WN has no intention of challenging DL's dominance in any market from ATL and fares have risen as WN's ATL footprint has shrunk, DL çan use some of the capacity that had been used in ATL for competitive strategies and for connections to replace the much smaller amount of capacity that was flowing over MEM.
But there are also dynamics of reducing duplicate hubs that are part of a merger and that is precisely what will happen at AA/US even though many AA/US posters on here touted.
AA/US has duplicate hubs in many parts of the country including to Europe from the East Coast and Latin America.
Based on currently loaded schedules, AA/US' int'l capacity for Jan 2015 is down by about 1% on flights, 2% on seats, and slightly up on ASMs - because AA is flying longer flights and maintaining many of its routes by using smaller aircraft.
US' network is taking a far bigger hit on capacity cuts than pre-merger AA's with 5% reductions in seats and 8% reduction in ASMs.
Those are the types of reductions that have happened in every other major merger and ultimately do reduce the number of personnel. The first place it shows up is in seasonal flying but it will come down to peak flying as well.
Because UA just did the same thing on a seasonal basis, it says that AA and UA are both willing to make the deep cuts in their combined networks in order to ensure profitability on a year round basis.
DL has been very profitable even in the winter and in the Pacific which has been challenging as well as to Europe because DL has been willing to match capacity to demand even in offpeak seasons.
DL has maintained stable employment because they have done the things you suggested, redeployed capacity, and also had the flexibility with their workforce to increase output during the peak summer while reducing it during the winter.
Yes, it is possible to flex schedules to match capacity on a seasonal basis and in order over time to reduce duplicate capacity because of a merger - and not reduce the overall employee counts - as long as aggressive early outs are offered and hiring doesn't 1 for 1 replace the people who have chosen to leave.
WorldTraveler
Corn Field
- Dec 5, 2003
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because MEM is about merger synergies.
IF NW had not merged with DL, MEM would not have been cut.
same for CVG.
It was a given when the DL-NW merger was announced that CVG and DTW duplicated each other while MEM and ATL did as well.
the same thing exists for multiple UA-CO hubs - of which they have focused only on CLE - as well as with AA/US in several areas - of which the focus so far is on the TATL system.
WN's pullbacks at ATL are also due to a lack of need for connecting capacity.
If you or others want to talk about DL at MEM and CVG, then it has to be seen within the context of industry consolidation and the benefits of the mergers which involves reducing capacity.
IF NW had not merged with DL, MEM would not have been cut.
same for CVG.
It was a given when the DL-NW merger was announced that CVG and DTW duplicated each other while MEM and ATL did as well.
the same thing exists for multiple UA-CO hubs - of which they have focused only on CLE - as well as with AA/US in several areas - of which the focus so far is on the TATL system.
WN's pullbacks at ATL are also due to a lack of need for connecting capacity.
If you or others want to talk about DL at MEM and CVG, then it has to be seen within the context of industry consolidation and the benefits of the mergers which involves reducing capacity.
WorldTraveler
Corn Field
- Dec 5, 2003
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no, you missed that DL has done that EVERY YEAR for a number of years.
Within years after DL bought Pan Am's TATL operation - now almost 25 years - DL has operated its TATL network with a number of routes operating solely on a seasonal basis.
DL has long been able to adjust its workforce.
In case you also missed it, DL has offered early out and early retirement packages about every 2 years and their average is about 2000 "takers" per year. and DL has most of the early outs take effect in the fall - right before the offpeak winter season.
DL has been far more aggressive in adjusting its network to match demand - season to season and day of week to day of week - than any other network airline and still managed to keep its employees secure.
specific to MEM, these newest cuts are simply the result of the final fine-tuning of the hub reductions which are the result of the merger and the redeployment of capacity to where it makes the most sense.
WN has done some and is probably close to being thru, UA is doing it, and AA will do it.
it is a major justification for consolidation and mergers in the industry.
WorldTraveler
Corn Field
- Dec 5, 2003
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there is nothing hypocritical about it all.
You simply want to throw mud where there is nothing to be thrown except by those like you who don't understand the basic elements of the way the industry operates.
DL has had flex capacity over the Atlantic for almost 25 years since the Pan Am acquisition. the fact that AA/US are now doing what other carriers have been doing - and CO did it a lot as well - says that Parker knows how to run an airline with a massive TATL system without flying a lot of duplicate capacity.
DL cut capacity at MEM and CVG because there were duplicate hubs involved. other carriers have done or will do it.
AA/US will do it. you will just have to learn that is the way the business operates and it has nothing to do with hypocrisy at all.
You simply want to throw mud where there is nothing to be thrown except by those like you who don't understand the basic elements of the way the industry operates.
DL has had flex capacity over the Atlantic for almost 25 years since the Pan Am acquisition. the fact that AA/US are now doing what other carriers have been doing - and CO did it a lot as well - says that Parker knows how to run an airline with a massive TATL system without flying a lot of duplicate capacity.
DL cut capacity at MEM and CVG because there were duplicate hubs involved. other carriers have done or will do it.
AA/US will do it. you will just have to learn that is the way the business operates and it has nothing to do with hypocrisy at all.
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