US Airways Responds to CWA Rep.''s Misinformation

C

chipmunn

Guest
Chris Chimes letter is well written and dispels much of the misinformation of Jim Root's letter.

I for one hate the situation our company and industry is in, but the simple fact is this company must evolve or it will become just a failed carrier like Pan Am, Braniff, and others.

Even if you're furloughed as a result of ratified agreements, like Dea astutely pointed out you will be much better off with severance pay, COBRA, pass privileges for job hunting, J4J if desired, etc.

Again, a no vote is certain liquidation because Bronner will not put his money at risk for a non-competitive product.

If a person voted no and would like to change their vote to yes, there is ample time and the ability to do so.

Chip
 
The inaccuracies in Mr. Root's communication to his colleagues are troubling on several fronts not the least of which is: 1) his suggestion that voting no is a responsible course of action without consequences, 2)that the company can somehow continue to maintain the status quo as it relates to work rules and productivity, and 3) his ignoring the fact that by increasing the minimum fleet size to 279 mainline aircraft in combination with the increased feed from more RJs, that will mean more flying especially at the hubs and our focus cities and more jobs for CWA members.
When US Airways filed for Chapter 11 protection in August, it could have pursued a course that many companies do while in bankruptcy: shut down all unprofitable operations. That is certainly what K-Mart has been doing, closing hundreds of stores throughout the country. So the company could have pulled out of dozens of unprofitable markets and left employees and communities without any options. And we could have opted to seek abrogation of the labor contracts -- like United is currently doing. We could have also ignored requests by labor, including CWA, for seats on our board of directors. And we could have decided not to give our employees 31 percent of the stock of this company. But, instead we decided to find a way to make labor inclusive in this difficult process.
In addition, US Airways chose to find a way to preserve its network by strategically eliminating unprofitable routes and flights, but maintaining service to all but a few of the communities it previously served. And rather than simply slash service, routes and destinations, and limp along as a weakened carrier in a very competitive business the management team has built a strong business plan that relies on proven tools that will increase revenues, expand service, and position the airline for growth.
That being said, there are a number of small to medium sized communities that simply cannot support an all-mainline schedule and are the focus of the hundreds of regional jets that will be entering the US Airways system over the next several years. Let's talk Asheville, NC as an example. Today, we cannot profitably operate a full daily schedule with mainline aircraft and it has thus become an Express city. But, the morning and evening flights to CLT can clearly support a mainline trip. Assuming the CWA TA is ratified, we could fly mainline trips in the morning, Express trips through the middle of the day, and a mainline trip for the returning business travelers without raising the costs of the RJ trips. Thus, these two new mainline flights will mean added utilization flying for the mainline and more CWA hours at the hub.
Our growth domestically will also be propelled by the UA code share. This logically means more east-west flying on mainline jets from our hubs to west coast cities that we cannot profitably serve today on our own, such as Portland, OR. In addition, the increased RJ feed will also lead to the upgrade of some RJ flying to mainline jets.
So, because of the cost efficiencies and flexibility created by the new labor agreements, our mainline flying will not shrink further. And big airplanes need feed, and the RJs and the UA code share will supply that
feed. Without the passenger feed, and with our old cost structure, this added mainline flying would be a drain on the company's cash.
The tentative agreement reached with the CWA represents a compromise that was negotiated by both parties. We listened to the union on the issue of its members losing their jobs. That is why we withdrew numerous provisions that would have called for the outsourcing of CWA work. Compromises are never perfect but they reflect the input and the interests of both parties. The new management team has been hard at work since March finding a way to save a company that many experts have given up for dead and to
save the jobs of more than 30,000 loyal employees. The negotiations with all of the labor groups have been challenging and difficult, but they reflected the company's desire to work with labor to save the company. Now without offering any alternative, Mr. Root has advised his colleagues to reject the TA, and put at risk their jobs and the welfare of their families. Mr. Root believes management is bluffing. The reality is simple. If we are unable to secure the ATSB loan guarantee, our investor(RSA) will walk away. And there are no white knights waiting to invest in us. His comments represent dangerous and irresponsible recommendations..
Chris Chiames
Sr. Vice President, Corporate Affairs
 
  • Thread Starter
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  • #4
Michael, W-2 is only part of the labor expense issue. And as Chris Chimes said, "there are no white knights waiting to invest in us. His comments (Jim Roots) represent dangerous and irresponsible recommendations.

Chip

Go Ohio State Buckeyes and Cleveland Browns!
 
Is this the same Chris Chiames that said,

"US AIRWAYS has promised not to seek additional contract concessions from its labor groups and airline spokesman Chris Chiames said they will honor that promise."??????

Sorry but nobody asked you to discredit yourself.

What's Steve Wolf still doing here Chris? We must have money to burn keeping someone like that as Chairman of the Board.

At any rate, I am not shocked that you are 'tooting' the union label, oddly it is only management though.

love,
joesy
 
[blockquote]
----------------
On 1/3/2003 4:51:05 PM chipmunn wrote:

Again, a no vote is certain liquidation because Bronner will not put his money at risk for a non-competitive product.

If a person voted no and would like to change their vote to yes, there is ample time and the ability to do so.

Chip
----------------
[/blockquote]

Non-competitive product my ass. With the cuts we already had in place we were more than competive. Our payscales were already the lowest of any major. If USAirways is non-competitive, Bronner needs to look at the executive suite and ask why. All the cuts in the world won't fix the problem that we are being run by a bunch of idiots.
 
This msg is for Chris Chimes

You and Dave need to get to the ATO's, see the stress from the pax and the agents.
Because you guys cut so deep the lines are out the doors of the airports.....
Come in side stand next to us see if were worth what were get paid!
Don't whimp out and go on the ramp where bags don't talk back...
 
why is it that when managment writes, it always expresses itself by writing a book?
Hell, Seigel's letter took up 2 complete pages of bull. My question is how many times did Dave rewrite it and lower the font to make it all fit. Really, you couldn't fit one more word on his letter.

I learned a long time ago that if someone can't tell you something in a few short paragraphs then it is probably all bull. At least Wolf only wrote a page when he talked to us.

as always,

Love joesy
 
Gotta remember Chris that it was management that put U in the position it is in not the employees we will only go so far and then you " gotta do what you gatta do " My vote No is just a way of thanking Upper Management for all they have done to get us to this point of mistrust ! I guess you have as much to loose as everyone else..so we must be equals this time but we vote on this and you dont
 
Chris, I went back and read Root's statements and all you are trying to do is fabricate something he didn't say. It's a shame really that you take what he wrote and take it 'out of context' and brand it misinformation.

A rightful reading of Root's post [whoever he is] 'in context' is very consistant with other CWA leaders, even its website.

love joesy
 
Look buddy I don't hate this company
I'm telling you the job can't be done with the tools that are left...
maybe you should quit,
 
...still waiting for someone in command to take charge of marketing the product, making fares and passenger issues consumer friendly and attractive to the public. So far this is being ignored in favor of mass decimation of the hard working employees of USAIRWAYS.
 
Chip, give us all a break!

Root said it well when he said both the FA and pilots will have mainline jobs flying into whichever express station they might end up flying into. Have some respect for what Root is saying because apparently the 'mainline' ticket agents will not necessarily get the work.
The 279 jet slot isn't squat if the ground workers aren't going with it.

Besides Chip, the real problem at this point isn't Root or Chiames but your pension. How about helping your buddy Dave out and freeze your pension. Do it for Dave. Otherwise, to use your words, we just might end up like Braniff.

love joesy
 
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