Bob Owens,
Do you know anything about this.....
News According to a leak from the TWU. All the guys in the ATD just got brand spanking new Buick LaCrosses at a wopping $34,000.00 each!
No way, this can't be true?
I got an E-mail from one of my guys about it the other day. This is nothing new, I dont see the justification for it other than yet another way of insulating our International reps against the realities our members face. Its wrong, after all cars are competitors for the business that the overwheliming majority of our members are in, Mass Transit, Railroads and Airlines. Other than going back and forth to the office what need do they have for cars? This is nothing more than hidden compensation, my guess is the fuel and insurance are paid as well. This represents a significant cost savings for guys that are paid significantly more than the members they represent. Transportation represents around 20% of most houshold expenses, so its like a 20% raise if your employer picks up your transportation expense. Its wrong.
Back to negotiations.
FFCA maintains that the only way the company can pay these wages are to get rid of OH. Well what does he base this on? You have to remember that AA had something no other major carrier had, OSMs, very low cost mechanics. The fact is wages are climbing for Aircraft Mechanics. UPS is at the Top with $50.13/hr by 2012. The facilities that do work for the airlines are having trouble finding workers. Add to that the fact that carriers are trying to recall the thousands of mechanics they laid off with little succees despite the recession and record high unemployment rates. When the economy recovers things will get worse for those who want mecahanics unless they start forking over some serious dollars. I think the airlines saw this coming, they know its here. I think that one of the biggest drivers for the recent mergers we've seen is aquistion of workers as well as routes, facilities and equipement. How many mechanics have been laid off due to all the recent mergers we've seen? ZERO, when is the last time you saw mergers without subsequent layoffs? Never.
AA is probably in the best spot as far as having enough mechanics, they just need to figure out how to get them where they want them. If you look at their offer their intents are clear, lure the A&Ps out of the bases, unlike how they pushed them out of the shops in 1995. Lets say you're an A&P in AFW and the agreement passed. So you get your lump sum, but now since you work weekends you put in and go to Dallas and get the higher line premium. AA is focusing on five hubs, with Dallas being a mega hub. I could see DFW with 3000 mechanics in a few years.
We know the industry is having trouble attracting workers while unemployment remains at very high levels. AA is trying to secure baragin basement rates before the shortage becomes undeniable, they are trying to repeat what they did in 1995.
I beleive that one of the main drivers of the loss that AA showed was Eagle. AA buys every seat on Eagle which despite its lower labor costs is an ineffiocient airline. The planes are simply too small and it doesnt make sense to waste slots into places like Miami, NY,ORD and LAX.
AA will try and secure a contract where once they dump Eagle they can post profits and tell us like they did in the late 90s "Too bad fellas, we will take care of you next time but we got a contract and the Board will not authorize us to open it to bring you up to everyone else. Dont blame the company, blame the union." And of course the International will say "You voted for it".
