Dear Mr. Skywest CEO Jerry:

["GO AROUND"]

I'm already SKW -$1 on the 50 now. Yeah, one rate, woo hoo! That'll go over like a lead brick. This is getting old.

 

[rightrudder]

Took your flying? It wasn't yours or any other Express carrier's to
begin with, it was United's. Who decides where the Express
carriers fly to and with what equipment? United. Did you not
gain flying when ACA quit flying for United? Or did you "take"
ACA's flying? Did Skywest "take" Mesa's flying when they
lost their UA flying the first time? Was United supposed to
fly to ATW and places like that when you could not or did
not renegotiate rates with them or should they have just
discontinued the flying altogether? Whose flying did
you "take" to get all this additional flying for USAirways?

It is true, other airlines took over the flying we were doing for UAL. I'm not sure why you have an argument with that. It's just what happened.

Relax, things are really great at Skywest, so you've got nothing to be upset about, do you?

 

[Regul8r]

If you're a first year FO and you are already that unhappy, just quit now and save yourself the grief.

Agreed, shut your pie hole or quit. You knew what you were getting into Genius! And you're getting paid to fly a plane, not run the company.

 

[Morning Wood]

It is true, other airlines took over the flying we were doing for UAL. I'm not sure why you have an argument with that. It's just what happened.

Relax, things are really great at Skywest, so you've got nothing to be upset about, do you?

Took over, not took. Two different things.

 

[Rekks Inbound]

Actually, MW, not quite accurate if you know the history of AWAC. The flying out of ORD AWAC has(had) been doing for more than 20 years. Under their own banner. In fact, AWAC had the first code share (yes, with UAL), but it actually was our flying. When AWAC aquired Aspen Mtn Air, the same thing, we code shared with UAL, but it was our flying. Having UAL do the ticketing and reservations is a fairly recent developement(believe it started in '93 or '94).
Oh and by the way, we supposedly did negotiate new rates for the flying. That's the basis of the 'grievance' you hear us Willy guys talk about. Apparently, the '10 year contract' we supposedly had with UAL wasn't really in existence, it was something cooked up in ATW.

ACA decided they didn't want to play ball with UAL, don't blame them actually. But that's why we did their flying for a while. Their owners didn't want it any more, at least on UAL's terms. Just wish things were going better for them.

MESA?! They were originally let go from UAL for breach of contract: ie failure to perform. Their number were so bad at the time (and aren't that much better now) that UAL terminated their contract. They were removed from USAIR for the same reason, rumor is that AmWest is not to far off either.

Hope this explains some of the anger that some AWAC pilots feel towards UAL.

Rekks

 

[F/O]

I just read the letter. He has a punctuation problem as well as a spelling problem. Nothing like looking like a dunce because you can't write well.

 

[Hovernut]

MESA?! They were originally let go from UAL for breach of contract: ie failure to perform. Their number were so bad at the time (and aren't that much better now) that UAL terminated their contract. They were removed from USAIR for the same reason, rumor is that AmWest is not to far off either.

Rekks

Makes one wondery after their track record just why DL brought them on to water down Orlando? The Comair station even had to buy the stupid roll-away stairs for their no-stair jungle jets!

 

[Tooslow]

God danm it, ExpressJet is one word with a Capital J.

Thanks

Mr. Sky west

To: All SkyWest Airlines Pilots
From: Brad Holt
Subject: Update
Date: 11/14/05


In light of the “no” vote on the proposed pay package I believe it is important that we review the process we’ve gone through and the reality of the situation our airline and industry are in.

SkyWest Airlines is one of the few profitable airlines in our industry today. SkyWest Airlines pilots are some of the most highly compensated pilots in our industry and one of the few pilot groups in our industry that are not facing pay concessions. SkyWest management is doing everything possible to ensure that both of these statements remain true for years to come, protecting both the company and our employee’s future. We will only be able to make these statements five or ten years from now if we remain accident free, improve efficiencies quicker than our competitors, and remain financially solid which will allow us to continue our growth.

Here is our challenge: We are loosing our competitive edge. As others take pay concessions, constrict their work rules, tighten their belts, and optimize their operations (furloughs), we are able to offer fewer advantages to our major partners. We are bidding and competing for work against airlines with lower pay scales, less stringent guarantees and lower average seniority. In the past we have been able to level the playing field with our competitors by having a more productive pilot group. As Delta restructures in bankruptcy, much of the efficiency advantage we have today will disappear because our aircraft utilization is being reduced by as much as 19%. Delta is in the process of “re-peaking” their hubs which will also reduce our efficiency by increasing the ground times for our aircraft and Crewmembers. In order to stay competitive and profitable we must look at all of these variables each time we discuss pay increases or work rule changes.

I want you to understand that it is not that SkyWest does not want to give big hourly scale increases to our pilots, it is not feasible at this time. The state of our industry is volatile and unstable more now than it has ever been and we cannot stick our heads in the sand and ignore the issues hoping they will go away or that they do not affect us. Our airline seems to be isolated from the disasters going on around us but I assure you that we are not insulated. If we do not keep our costs under control and stay competitive it is a matter of time before we will be facing the financial challenges many of our peers are experiencing..

In spite of the state of our industry and knowing that we have many challenges ahead, our company elected to install a new performance rewards program and include SkyWest pilots. Our company didn’t need to include pilots in Performance Rewards and I can tell you that most companies out there wouldn’t have. Our company did this as a gesture of good faith. SkyWest has been one of the most generous companies in the industry regarding pilot pay and work rules. Our pay rates, work rules, benefits, working conditions, opportunity for advancement etc. have and continue to exceed the majority of our competitors. Add to our traditional compensation package, a Financial Rewards program that also shares a significant amount of the profit with employees. If you honestly compare your pay package to others, you have to agree that our company has treated our pilots very well. At the same time I think you will have to agree that SkyWest’s cautious approach to increasing expenses has played a major role in maintaining a financially strong balance sheet, growth, and leverage within the industry. In an industry that seems to be inverted more than not, I am glad that I work for a company that is consistently planning ahead, is prepared financially to take advantage of opportunity, and at the same time values its employees. We are a very balanced company. That approach has served our company very well over the years. Worldwide, more than 200 airlines have failed in the last 5 years (reference the chart on page 13 of this letter) and many more will fail in the next five years. Many of the failures can be attributed to mismanagement, poor planning, excessive spending, poor quality and an inability to work through challenges and tribulations. SkyWest does not plan to be one of them. SkyWest has always been committed to making this a great place to work and I’m convinced that determination and attitude will continue.

I want you to know that I understand that our crewmembers are a significant part of our airline’s success. Your willingness to go to work every day with a good attitude, treat our customer right, fly safely and at the same time get efficiencies where you can, makes SkyWest a successful company. Without this advantage we will start down the road to failure and before long we will be just like the other failures in our industry.

We have a great company and working together we will come out on top in an industry that is falling apart. I know things aren’t perfect here but if we can stick together, work as a team and eliminate the negativity that seems to be so prevalent recently, we will work for a great airline for many years to come. It really is up to us.

Comments on the recent feed back received from our pilot group:


1. Rate increase was not sufficient:

FACT: SkyWest Airlines pilot pay rates are above most comparable regional airlines. Following is a list of Regional Airlines and their current status:

• Comair Pay cuts in progress, below our rates, furloughing pilots
• AirWisky Pay cuts, loss of flying, furloughs
• Express Jet 2006 raise brings them to SkyWest pay rates
• Mesaba Furloughing, possibly will be out of business
• Mesa Pay rates significantly below SkyWest pay rates
• Chautauqua Comparable rates, no Performance Rewards
• Eagle Lower rates, no Performance Rewards
• Pinnacle Much lower rates, loosing work
• ACA/FlyI loosing aircraft, filed bankruptcy

Other considerations:

• United in bankruptcy - Substantial pay cuts, furloughs
• Delta in bankruptcy - Substantial pay cuts, furloughs, 100 seat rate lower than SkyWest’s CL-65 rate.
• Northwest in bankruptcy - Substantial pay cuts, furloughs
• US Air in bankruptcy - Substantial pay cuts, furloughs
• Oil is at an all time high - No end in sight

Please consider the following:

• How does SkyWest Airline’s base pay rates compare to the airlines we compete with?
• Do other airlines have rewards programs that share a substantial amount of the profit with their pilots?
• How does SkyWest Airlines QOL compare to other airlines?
• Are other airlines offering pay raises?
• What does the future look like at SkyWest Airlines in comparison to other airlines?
• Is it important to keep SkyWest Airlines efficient and cost competitive?
• How long does SkyWest Airlines need to stay in business for you to meet your retirement goals?
•
2. Pay Scales should include only aircraft in our fleet. 700/900 should pay more than 200.

FACT: Our current agreed upon pay scale includes aircraft we do not have in our fleet today. We have a 50 to 99 seat scale and a 100 to 159 seat scale. Many airlines have the same pay scale for “all” aircraft. Most airlines have the same pay scale for the same “type” aircraft. Most airlines that plan to stay in business will be required to simplify pay scales and will go to one pay rate in the future. A list of airlines that have this type of a pay system today is as follows:

Southwest All variants of the 737/seat ranges 122-159
Delta 757/767 pays the same
United 757/767 pays the same
Frontier All captains paid the same
Continental 757-300, 767, 777 pays the same
757-200, MD80, 737-8/900 pays the same
737-300, 737-500 pays the same
America West All captains paid the same

• SkyWest Airlines base pay rates are currently among the highest when compared to the airlines we compete with for work. In addition to base pay rates, our company is sharing the bottom line by way of Performance Rewards.
• SkyWest Airlines work rules are among the best in our industry.
• SkyWest Airlines QOL is among the best if not the best in the industry.


Finally, I am committed to work with SAPA to come up with improvements in our agreement but please consider that our company is going out on a limb to do anything in the way of pay and work rules in the current environment. We really do not know how bad this is going to get before it gets better but we must plan for the worst and hope for the best.

Thanks,

Brad Holt

 

[thelaststop41]

Agreed, shut your pie hole or quit. You knew what you were getting into Genius! And you're getting paid to fly a plane, not run the company.

Funny coming from a CFI in a 172

 

[Regul8r]

Funny coming from a CFI in a 172

What's funny about it? Without having actually seen the application, I can guarantee the company in question wasn't hiring the Pilot as a part time Executive Consultant.
- Just a Lowly 172 Pilot