Part 1 of 2
Originally posted by FlyDeltasJets
---True, but I am getting pretty tired of it. My replaced status has really taken a lot of wind out of my sails. I have always enjoyed my interactions on this board, but lately they have been a lot less enjoyable. It is no fault of anyone's but OBL and our management, but let's just say I'm a little down on anything to do with Delta. If I have been a bit short in my responses lately, that's the reason.
I understand your frustration with the furlough and would like to say again that I'm very sorry this has happened to you and to all the others. I sincerely hope things will take a turn for the better and get you back to work soon.
You haven't been "replaced" FDJ. The company has temporarily laid you off because it doesn't need as many people to do what you were doing before, in the equipment you operated. They've lost a lot of business for 2 reasons. One of them you listed above (the 9/11 events), the other is and economic downturn that was coming anyway. Put the two together and we've had a 15-20% loss of passengers, a gigantic loss of revenue, sudden over capacity in one category and under capacity in the other. The loss of life on 9/11 was horrific. The economic damage that our country has sustained is exponential and long term, I know we must keep a "stiff upper lip", but it was truly a big hit.
There simply are not enough paying customers on some of the routes you were serving to justify the use of the aircraft size you were flying. That isn't your fault, it isn't our fault and it isn't management's fault. Management does not want the downsizing and the loss of revenue any more than you do. What's happened to you (and others) isn't about RJs at all, it's about loss of business.
That the RJ happens to be here and available coupled with the fact that it can operate at a profit with less that 1/2 the customers required for you to operate at a break even, is actually a blessing in disguise for the company. They didn't plan it this way to hurt you or to help us.
We were growing before all of this happened. It has always been known that the small operations would be less affected in and economic downturn. That's not a surprise. Yes, we are operating some of your sectors but only because there is not enough traffic to justify the larger equipment. When the traffic returns you will be displacing us on many routes, as it should be.
It's OK for you to be angry as long as you focus it on the right things, 1)UBL and 2) the recession.
---------The link didn't work. Perhaps you could try again. In the meantime, I'll try to search for what you meant.
The link works fine when I try it so I don't know why you're having trouble. Please try again. Its only purpose is to prove the point that ALPA is anti-RJ.
---That is a common, but incorrect, allegation. It would be more accurate to say that DALPA did not want them enough to give up enough negotiating capital to get them. I think it was a mistake.
OK, I'll restate it. You did want the RJs but you put the cart before the horse, gambled your future for few pieces of 8, satisfied the seniors at the expense of the juniors, call it whatever you prefer its really all the same. Yes, it was a huge mistake. The bad part isn't that you made a mistake, it's that you keep repeating the same mistake.
BTW, what's with this DALPA thing? Have you guys formed a new union?
----------That is incorrect. FM has nothing to do with block-hour limitations. Your would have unfettered growth right now with or without FM. It is 3 quarters of losses and our lack of foresight that allowed mgt. to shrink us while growing you. Also, I take exception with your 80 jet statement. With our scope intact, you were allowed 36% of our flying. From Jan to June DCI performed 36.82% of it. That .82% of our block hours would not equate to anywhere near 80 jets. In fact, it would not even necessitate parking one jet.
We differ. Your contract allowed first 34% for starters. Among others, FM
is a factor. Of course, if we have not exceeded the limits you imposed, then you have nothing to complain about; you got what you asked for. Do you recognize this language?
6. Excused Compliance and Negotiated Reset
a. If an event in Section 1 E. 5. a. 1), 2), or 3) excusing compliance, occurs after there has been an automatic fixed reset, there will be no second automatic fixed reset, but the Company and the Association will promptly meet and confer to reset block hour plans and planned percentages at levels appropriate to the circumstances.
b. The Company will be excused from compliance with the block hour plans and planned percentages, for all affected years, in the event a circumstance over which the Company does not have control is the cause of such non-compliance. If the Company is so excused from compliance, the Company and the Association will promptly meet and confer to reset block hour plans and planned percentages at levels appropriate to the circumstances.
It appears to me that force majeure plays some role in subparagraph 6.b. and is one of the triggers ("in the event a circumstance over which the Company does not have control is the cause of such non-compliance"). The consecutive quarters of operating at a loss is another. I think that both are currently in play, but either one pulls the trigger. Either way, you have to meet and confer to reset block hour plans and planned percentages. Key words, IMO, will be "levels appropriate to the circumstances". It will be interesting to see how appropriate to the circumstances is ultimately defined. Sounds like a negotiating nightmare.
As you point out we are already at 36.82% or .82% above the current permitted level. 80 aircraft (as we fly them) generate about 290K block hours in a year. Now throw in another 22 aircraft that Delta just added by contracting with CHQ. That's roughly another 80K block hours. Since you are not currently growing, where will the percentage be when those 102 aircraft are on line? Could I guess maybe 45%? Once we are already there just how do you expect to return it to the desired level?
The 22 CHQ airplanes are supposedly going to be up and running by the end of '03. I don't know what the fleet plans are at SKYW or ACA, but they are included too. Given the planned delivery schedule for CMR and ASA, what's that going to do to the percentage? Since we are already "over" the current limit, the only way it could be honored is if we stop all new deliveries immediately at CMR, ASA, SKYW and ACA, plus DAL cancels the new agreement with CHQ (which would get no complaints from me). That's how I got the 80 aircraft number (and I wasn't even counting CHQ). I'll grant you it is not a perfect number (it's only an estimate based on available data), but its not too far off over the next 2-3 years.
Now tell me if you can, how many narrow-body aircraft (370K block hours) would DAL have to add over the next 3 years to allow us to accept our scheduled deliveries without exceeding the 36% (later 37%) that we have already exceeded?
I'm no expert but I don't understand why the Company ever agreed to those percentages in the first place when its already scheduled RJ deliveries would obviously exceed them within the life of the contract.
Continue to Part 2