United cuts schedule by 50%

[jimntx]

https://www.cnn.com/2020/03/15/business/united-airlines-schedule-unions/index.html

"Employee furloughs, layoffs or a reduction in pay rates are among the options for cost cutting being considered."

 

[eolesen]

Note that the CEO and President waived their salaries for 2020, and all VPs just took a 50% paycut. All of their stock options are at 50% or less than what they were worth two months ago, so that compensation was essentially wiped out for years to come.

Maybe AA should take heed.

 

[swamt]

This is just the beginning of the trickle effect down to the employees. Just as this article indicated they (UAL) are in talks with the unions on cutting cost.
Right now watching NY Gov discus cuts and reductions in force throughout NY. He is calling for a 50% minimum reduction in gov employees to work. Try to work it out where employees can work from home. He is closing casinos, restaurants, gyms, movie theaters, bars, racetracks, stores are closing, big name stores, and NYC schools are closing too.
You would think the sky is falling in NYC.
More moves by the Dems to try and make the economy look bad while Trump at the helm. This is way overkill, way, way overkill.

 

[NewHampshire Black Bears]

This is just the beginning of the trickle effect down to the employees. Just as this article indicated they (UAL) are in talks with the unions on cutting cost.
Right now watching NY Gov discus cuts and reductions in force throughout NY. He is calling for a 50% minimum reduction in gov employees to work. Try to work it out where employees can work from home. He is closing casinos, restaurants, gyms, movie theaters, bars, racetracks, stores are closing, big name stores, and NYC schools are closing too.
You would think the sky is falling in NYC.
More moves by the Dems to try and make the economy look bad while Trump at the helm. This is way overkill, way, way overkill.

Overkill MY ARSE.
Brother, do YOU have ANY IDEA how MANY PEOPLE are in NYC and the immediate surrounding areas ???????????

Gov. Cuomo isn't making The M O R O N look BAD, the MORON has done a GREAT JOB of doing THAT, HIMSELF, for the last 3 1/2 years !! His GREAT Economy ???????????? That has been a fallacy since day 1. Crap jobs, low wages, part-time AND, Z E R O benefits !!!!!!!!!!!

Wanna' bet that ORANGE MAN has already started his CONCESSION SPEECH for not getting re-elected, Blaming it ALL on 'corona' ?????????????

Truck Frump !

 

[swamt]

Overkill MY ARSE.
Brother, do YOU have ANY IDEA how MANY PEOPLE are in NYC and the immediate surrounding areas ???????????

Gov. Cuomo isn't making The M O R O N look BAD, the MORON has done a GREAT JOB of doing THAT, HIMSELF, for the last 3 1/2 years !! His GREAT Economy ???????????? That has been a fallacy since day 1. Crap jobs, low wages, part-time AND, Z E R O benefits !!!!!!!!!!!

Wanna' bet that ORANGE MAN has already started his CONCESSION SPEECH for not getting re-elected, Blaming it ALL on 'corona' ?????????????

Truck Frump !

Yes, Overkill.

 

[Kev3188]

You would think the sky is falling in NYC.

The sky WILL fall if we don't take proper action.

 

[swamt]

The sky WILL fall if we don't take proper action.

Don't get me wrong. I fully agree with being pro-active. But IMO, this is a bit overboard or overkill. They are way over protecting. We have never seen this kind of pro-active action before to this kind of extent, except for when they quarantined the sick individuals on an island.
Hoping and praying there is a vaccine soon.

 

[jimntx]

Don't get me wrong. I fully agree with being pro-active. But IMO, this is a bit overboard or overkill. They are way over protecting. We have never seen this kind of pro-active action before to this kind of extent, except for when they quarantined the sick individuals on an island.
Hoping and praying there is a vaccine soon.

But,do we know the actual cash on hand status of United (or Delta, for that matter)? The situation the airlines are in requires conservation of cash. It's hard to do when cancellations are outpacing bookings. So why allow a plane to take off when you know the seats are going to be vacant?

 

[swamt]

But,do we know the actual cash on hand status of United (or Delta, for that matter)? The situation the airlines are in requires conservation of cash. It's hard to do when cancellations are outpacing bookings. So why allow a plane to take off when you know the seats are going to be vacant?

They won't release the "real" numbers while waiting for an answer on the airline bailout assistance of over 50 billion plus (probably more like 60 billion plus when it's all said and done).
The airlines should have packed away way more money during the record profits instead of spending so much on buybacks and capital expenditures. Now they are begging for yet another bailout assistance program. And yes I am including my own airline in this, all airlines. It'll probably take us up to 10 years to get back to the norm. and that will be with a number of BK's happening as well, unless some more mergers are allowed quickly.

 

[eolesen]

You're looking at "bailouts" in the wrong light. This is a regulatory "taking" in that airlines are being prohibited from engaging in lawful commerce due to government order, regardless of the need and public good those orders serve.

If the Forest Service destroys crops or property to create an emergency fire road, the property owners get compensation for their loss, even if it’s their property that gets saved.

That $58B or whatever it turns out to be is not a handout, it’s compensation.

 

[Kev3188]

They won't release the "real" numbers while waiting for an answer on the airline bailout assistance of over 50 billion plus (probably more like 60 billion plus when it's all said and done).
The airlines should have packed away way more money during the record profits instead of spending so much on buybacks and capital expenditures. Now they are begging for yet another bailout assistance program. And yes I am including my own airline in this, all airlines. It'll probably take us up to 10 years to get back to the norm. and that will be with a number of BK's happening as well, unless some more mergers are allowed quickly.

I hear ya. I can’t speak for other carriers, but DL has been pretty upfront about how bad everything is. And for anyone that’s at an airport, you don’t need to wait for an SEC filing to see how far things have fallen.

 

[eolesen]

Getting back to United... They're pulling down all of the international operation with the exception of a couple daytime turns to Mexico....

https://hub.united.com/united-flight-reductions-suspensions-2020-2645514815.html

 

[swamt]

So has Southwest. All International flights as of today.

 

[jimntx]

You're looking at "bailouts" in the wrong light. This is a regulatory "taking" in that airlines are being prohibited from engaging in lawful commerce due to government order, regardless of the need and public good those orders serve.

If the Forest Service destroys crops or property to create an emergency fire road, the property owners get compensation for their loss, even if it’s their property that gets saved.

That $58B or whatever it turns out to be is not a handout, it’s compensation.

E, you are probably right. But, given the actions of all the airline management over the years, your "explanation" of the government assistance while true still sounds like "Officer, I did not stab my wife. She tripped and fell on the knife 13 times."

 

[swamt]

E, you are probably right. But, given the actions of all the airline management over the years, your "explanation" of the government assistance while true still sounds like "Officer, I did not stab my wife. She tripped and fell on the knife 13 times."

And that is the big hold up. Airlines want grants and congress wants them to be loans. Not sure how it will all turn out but they will resume discussing it this morning at 11am. Sounds to me that the airlines are not exactly tickled about the restrictions coming with the so called assistance. I tend to agree with the restrictions and better protections for the employees.