Amen to That !!
What would you do if you replaced Parker?
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N965VJ
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There might be some room in Art’s hypothetical to address some of the issues such as FA reserves sitting around not flying, for example.
How much does quality of life cost?
How much does quality of life cost?
Art at ISP
Veteran
700,
You still don't get it. You are trying to ruin a good thread. It's NOT about what is real today. It is about what might have been had things been different. You need to lose the bitterness and the anger dude. It won't get you anywhere in today's world. The chip on unions' shoulders has outlived its usefullness.
That said, I do happen to agree that the execs should take a pay cut, but you know as well as I do that won't happen.
This was a WHAT IF exercise not the real world....
...and then I woke up........
You still don't get it. You are trying to ruin a good thread. It's NOT about what is real today. It is about what might have been had things been different. You need to lose the bitterness and the anger dude. It won't get you anywhere in today's world. The chip on unions' shoulders has outlived its usefullness.
That said, I do happen to agree that the execs should take a pay cut, but you know as well as I do that won't happen.
This was a WHAT IF exercise not the real world....
...and then I woke up........
Keep Avoiding the questions poised to you.
US labor costs are the lowest of the legacies, the CBAs are the most flexible.
Until you work in the industry and walk in the employee shoes your ideas or granduer dont mean a thing.
No company should make a profit out of the employees' wallets and that is what the company has done and is still doing.
This company has made almost a billion dollars in profit over the past two years and has $3 billion in cash on hand.
The only changes need for the employees is to reward them for the concessions taken in 2002, 2003, 2004 and 2005.
Apparently you dont realize US does business stupid, I will give you a prime example of how the can save a ton of money.
Before the merger US was certified to carry hazardous materials, there are a list of parts that US use to ship on their own planes all the time, Oxygen Cylinders, Batteries and fuel pumps.
Now after the merger those parts are now shipped FedEx, causing an increase of costs, and if an airplane breaks on the ground and they have get the part to the plane, they have to call an air taxi, costing thousand of dollars to get the plane back in the air, instead of sending on the next US flight.
See you dont work for US never worked for US and dont know what they employees have endured and how stupid US does Business.
The problem is not the employees, the unions, or the CBAs, the problem is US management does not know how to run an airline.
So ever gonna answer the questions about WN I poised to you?
US labor costs are the lowest of the legacies, the CBAs are the most flexible.
Until you work in the industry and walk in the employee shoes your ideas or granduer dont mean a thing.
No company should make a profit out of the employees' wallets and that is what the company has done and is still doing.
This company has made almost a billion dollars in profit over the past two years and has $3 billion in cash on hand.
The only changes need for the employees is to reward them for the concessions taken in 2002, 2003, 2004 and 2005.
Apparently you dont realize US does business stupid, I will give you a prime example of how the can save a ton of money.
Before the merger US was certified to carry hazardous materials, there are a list of parts that US use to ship on their own planes all the time, Oxygen Cylinders, Batteries and fuel pumps.
Now after the merger those parts are now shipped FedEx, causing an increase of costs, and if an airplane breaks on the ground and they have get the part to the plane, they have to call an air taxi, costing thousand of dollars to get the plane back in the air, instead of sending on the next US flight.
See you dont work for US never worked for US and dont know what they employees have endured and how stupid US does Business.
The problem is not the employees, the unions, or the CBAs, the problem is US management does not know how to run an airline.
So ever gonna answer the questions about WN I poised to you?
PITbull
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Art,
I expected a better response from you than what you posted. With this management finding a way to work together doesn't work in today's environment either. "Been there; they've done that".
There are no more exchanges...there is nothing left of work rules..its all company, about company and the employee is now a slave to for a pay check...low at that. The company got all the workrule adjustments in both bankrupcies with no "snap back" provisions.
USAirways needs a partner, cause they are mismanaged as a stand alone. That's the only solution for survival. Don't expect labor to keep bending over and over and over. For what pray tell?
The agent group is the only union group that has one contract with no division between HP/US we sat down with management to get this. Done deal
Can’t thing of any more changes to work rules for Passenger Service that hasn’t all ready been introduce and bargain with management .Any new work rules changes introduce now would have more continue negative impact on our group because all has been mauled over by the best in union busting land JG and gang
Since I posed the question, I might as well take a stab at it, though Art summed up most of my points quite nicely.
The first thing I would do is move the HQ to Charlotte. Not only would I want to live there, it would be much more central to the core of the operation. Philly would be an option, but the cost of doing business there, is probably too high.
Secondly, I'd get mobile offices set up at all the hubs, as well as DCA, BOS, LAS, LGA....then I'd get my butt out to each hub for a month straight, working on the line for at least 50% of the days, trying to understand what is working, and what is breaking down. I'd bust my arse off, to instill good ethic, and for everyone to see that I give a damn. I'd do the same, but maybe only 2 weeks at the focus cities.
Below are some specific ideas.
#1. There is a huge identity crises, and it goes well be beyond LCC vs. Legacy. The company needs to grow a pair, and say yes, we can compete with legacies, and don't need to wrestle it out in the mud. I'm not suggesting that they try to rival Asian carriers, but to offer a product that someone would willing pay a small premium over a true LCC and a product that a businessman would not be ashamed to admit he flew on at full afe. I think target pricing should be JetBlue + $20 per one-way fare. I'll get to product next.
#2. Product 🙂 I would again use JetBlue as an example. They should match them in seat-layout, leather seating, PTVs. For the extra $20 "premium", it buys a meal in coach for all trips over 2 hours, a decent size bag of chips, hot towel service, and of course the current dividend miles program, though I agree with another poster, elite status is award from "butt-in-the-seat" miles.
As part of product, I would reduce seating capacity. I think everyone can agree it has proven to be a disaster. In theory, yeilds would increase, fuel would decrease.
#3. Hubs/Focus Cities - Hubs are PHL, CLT, PHX, like them or not. There is no place else worth trying to establish a hub at this point. Focus Cities are BOS, DCA, LGA, LAS, obviously.....PIT is reduced further, sorry. I would increase LAX into a full focus city and try to establish focus city presence in Seattle. I would define focus cities as cities with non-stops to all semi-major cities in the region, all major cities (metro pop 2M+) on the respective side of the Mississippi, and to all hubs and other focus cities in the country....I believe LGA and DCA may be limited to trans-cons, so there would be a few exceptions.
#4. International Flying. Here are a list of what I consider potential new routes....get out your code cheat sheets.
SEA - ICN, KIX & PKG
LAX - KIX, PVG, AUK, Bangalore, Hyberabad
PHX - LGW & FRA
PHL - CPH, VIE, TLV, GRU, Berlin (new one once it opens)
BOS - OSL, FRA, MAN, FCO, LHR, Moscow, St. Petersburg (maybe)
CLT - LIM, EZE, BOG, SCL, PTY, CCS, GRU, GIG, ZRH, MAN, LHR, DUS, CDG, Berlin
I would sign a code-share with JetBlue to help build some of the Boston feed, but I believe most of those routes could stand on their own, especially with committed Star Alliance customers. Likewise, I might sign a code-share with Alaska to feed Seattle.
#5. I like the "swoosh", I'd keep it. I'm reluctantly happy with all Airbus and Embraer...I'd keep them.
More to come later on labor.....
The first thing I would do is move the HQ to Charlotte. Not only would I want to live there, it would be much more central to the core of the operation. Philly would be an option, but the cost of doing business there, is probably too high.
Secondly, I'd get mobile offices set up at all the hubs, as well as DCA, BOS, LAS, LGA....then I'd get my butt out to each hub for a month straight, working on the line for at least 50% of the days, trying to understand what is working, and what is breaking down. I'd bust my arse off, to instill good ethic, and for everyone to see that I give a damn. I'd do the same, but maybe only 2 weeks at the focus cities.
Below are some specific ideas.
#1. There is a huge identity crises, and it goes well be beyond LCC vs. Legacy. The company needs to grow a pair, and say yes, we can compete with legacies, and don't need to wrestle it out in the mud. I'm not suggesting that they try to rival Asian carriers, but to offer a product that someone would willing pay a small premium over a true LCC and a product that a businessman would not be ashamed to admit he flew on at full afe. I think target pricing should be JetBlue + $20 per one-way fare. I'll get to product next.
#2. Product 🙂 I would again use JetBlue as an example. They should match them in seat-layout, leather seating, PTVs. For the extra $20 "premium", it buys a meal in coach for all trips over 2 hours, a decent size bag of chips, hot towel service, and of course the current dividend miles program, though I agree with another poster, elite status is award from "butt-in-the-seat" miles.
As part of product, I would reduce seating capacity. I think everyone can agree it has proven to be a disaster. In theory, yeilds would increase, fuel would decrease.
#3. Hubs/Focus Cities - Hubs are PHL, CLT, PHX, like them or not. There is no place else worth trying to establish a hub at this point. Focus Cities are BOS, DCA, LGA, LAS, obviously.....PIT is reduced further, sorry. I would increase LAX into a full focus city and try to establish focus city presence in Seattle. I would define focus cities as cities with non-stops to all semi-major cities in the region, all major cities (metro pop 2M+) on the respective side of the Mississippi, and to all hubs and other focus cities in the country....I believe LGA and DCA may be limited to trans-cons, so there would be a few exceptions.
#4. International Flying. Here are a list of what I consider potential new routes....get out your code cheat sheets.
SEA - ICN, KIX & PKG
LAX - KIX, PVG, AUK, Bangalore, Hyberabad
PHX - LGW & FRA
PHL - CPH, VIE, TLV, GRU, Berlin (new one once it opens)
BOS - OSL, FRA, MAN, FCO, LHR, Moscow, St. Petersburg (maybe)
CLT - LIM, EZE, BOG, SCL, PTY, CCS, GRU, GIG, ZRH, MAN, LHR, DUS, CDG, Berlin
I would sign a code-share with JetBlue to help build some of the Boston feed, but I believe most of those routes could stand on their own, especially with committed Star Alliance customers. Likewise, I might sign a code-share with Alaska to feed Seattle.
#5. I like the "swoosh", I'd keep it. I'm reluctantly happy with all Airbus and Embraer...I'd keep them.
More to come later on labor.....
I would also reduce Republic flying from cities like DCA<LGA<BOS<and PHL. Many of the longer leg markets that we use Republic for could easily be replaced with ML aircraft. The number of weight restrictions we have and DBC's given out because of these restrictions is passed being ridiculous and /or outrageous. Use larger aircraft whenever feasible. If you take oversale almost everyday on a EMB , then you are not offering enough seats in that market and we are short changing ouselves. Why jam up LGA,DCA and BOS with smaller aircraft? In trans con flights to PHX and LAS , we should use nothing smaller than an A320 , but preferably 321's and 757's. What is the point of using aircraft that can't make the trip and have to fuel stop. I agree that we should re reconfigure all our aircraft back to the old east configuration. This would help with weight and flight length and most important please our passengers who would have greater opportunity for upgrades and have a more comfortable ride. I still don't understand Tempe logic when they reduced A321 FC from 26 to 16 and said that the opportunity to upgrade remained the same. and how our reduced seat pitch was "generous". I believe that the front line employees are the eyes and ears of the company , but Tempe seems to think that we are deaf and blind and they somehow know better sitting in their little cubicles with no real world experience. No one should be making operational and passenger related decisions until they have experience doing both. Unfortunately that has not been the case. The west simply has not understood the complexities of the east operation from the Shuttle to International. As long as the regional mentality persists the only direction we're going in is downhill. They need to expand and change their paradigm and think GLOBALLY.
leprechaun
Senior
There is no more blood to suck after 2 bankruptcies. Perhaps CEO of a PhotoHut is more suited for you.
Art at ISP
Veteran
Under CURRENT management I agree with you and your colleagues. Unfortunately what I posted had more to do with both sides going in trusting each other.
I guess you guys missed the part about cutting management salaries by 30% walking in the door, and giving rank and file an immediate raise plus the tools with which to do their jobs.
This was a what if exercise, NOT based on today's real world situation. I made some assumptions in my theory which do NOT apply to the current situation or today's management.
To repeat--in the current situation with today's management team, I agree with you guys completely. HOWEVER if anyone has any hope of saving this company, the labor issues MUST be fixed....and unfortunately whether you like it or not, it can't all be one sided any more.
The company is not operating efficiently today at its core competency--providing reliable air transportation. In order to keep revenue, which is declining rapidly, they come up with "schemes" like charging for status, selling ad space on tray tables, and other revenue streams which are not related to their core business. This cannot continue. This is an airline not a marketing company. If you continue to fail at your primary mission, it will eventually catch up to you.
My point was that if I were CEO (which I agree with Bob you couldn't pay me enough to take the job today), both sides would have to go into the situation with a fresh attitude and a willingness to think outside the box. There is a raise for ALL rank and file right out of the box, but you have to help me somehow get the costs down another way.
In the end, if things keep going the way they are with labor and management, however, this place is doomed. Until management realizes that they cannot succeed unless they put the employees first, customers second and shareholders third on the priority list, there is no hope.
2/3 of the airline is run operated and managed by an outside source. This by design
EXPRESS
Mike Conway drives to Parker's home, and gives him a lesson on Airline 101 😱 , then drives him to a conference call with the media and all employees: It was all a mistake! I was wrong, you all will get my bonuses for the last 2 years!!! Give the airline and throne to Bethune!! Conway would be VP.
My dream. 🙂Art at ISP
Veteran
WCT,
.....and then you woke up........... as I have been saying in my posts 🙂
.....and then you woke up........... as I have been saying in my posts 🙂
Doesn't it suck to wake up??!!
Oh my. Can't we wish?
