Furloughs at AA, you know they are coming

[Correcting]

This sucks. The ugliness continues. More pilots on the street from the one carrier that seemed to have a hope.

I don't have a source for that info, just using common sense. Cut 12% of capacity in six months, you're gonna see furloughs.

Oh, but retirements will avoid the need for furloughs. Bull sheet. Hello age 65 rule. Exactly who's going to be retiring?

Maybe pilots will get some breathing room if AA offers buyouts to get some senior guys out of there, but I wouldn't count on it.

 

[J.Otto]

My Country, 'Tis of Thee....

 

[siucavflight]

SPECIAL EAGLEWIRE FOR MAY 21, 2008
Published Especially for the Employees of American Eagle

* * * * PLEASE POST ON ALL BULLETIN BOARDS * * * *

May 21, 2008


Eagle and Executive Employees,

At today’s annual stockholder’s meeting, AMR announced its decision to make even deeper capacity cuts for the fourth quarter of this year than previously announced. The rapid growth in jet fuel prices, combined with the weakening economy, has created very difficult conditions for airlines in the United States.

The fuel price impact from January to March was up more than $660 million dollars for AMR compared to prices paid during the same period last year. As we all know, prices for jet fuel – as well as for gasoline – have increased even further in April and May. Although AA has raised prices several times and increased various customer fees, total revenues have not kept pace with expenses. AMR’s loss of $328 million during the first quarter was alarming and the continued increase in fuel prices and signs of economic softness are further cause for concern.

Under these conditions, many of AA’s and Eagle’s routes do not generate enough revenue to pay for variable expenses such as fuel, landing fees, taxes and the salaries of our crews and other operational personnel. As a result of these facts, and to ensure that AMR has enough financial resources to weather this storm, it has decided to reduce its system-wide capacity.

While AA has not made final decisions on the specific schedule changes, it expects to cut 11 percent to 12 percent of fourth quarter domestic mainline capacity from 2007 levels and has directed Eagle to reduce our schedule by approximately the same percent. As a result of these reductions, American plans to retire 40 to 45 mainline aircraft and the regional network will be reduced by 35 to 40 regional jets, as well as some number of turbo-props.

Unfortunately these capacity reductions will result in layoffs at both American and American Eagle – and could result in facility closures or consolidations. As we get a better understanding of the new schedules and carefully evaluate our staffing requirements by work group and by location over the coming weeks, we will communicate specific changes as quickly as we can.

I am grateful for the excellent work Eagle’s people do. You are making a difference every day by ensuring that every trip and every job is performed safely, by caring for our customers and finding ways to complete our work efficiently under challenging conditions. I am confident that we will adapt to the changes announced today as well as to the outcome of the ongoing divestiture process and that Eagle will be one of the world’s safest, most reliable and successful regional airlines. Thank you for all your efforts.

Sincerely,

Peter Bowler
President and CEO

 

[airlinepilot]

Does AMR already have pilots on the street? What is the most junior FO DOH? Just curious.

 

[Poahi]

$132.50 today

 

[flyboy006]

its gonna be the same everywhere... NWA to displace 75 or so which will probably end up in furlough, DAL will probably furlough by years end, AA, UAL they all will have to do something if oil keeps going up. After the summer rush ends, who knows what will go on... How many people will get let go at each company is another story.. my .02 cents

 

[willNOTfly4free]

Does AMR already have pilots on the street?

Yes, they do. Nearly 2,000 pilots.

With CNBC saying oil is currently pushing $133/barrel, I thank my lucky stars I'm only a spectator on this segment of the industry.

 

[Rizzo]

So I bet APA is wishing they had that new flow-thru agreement with Eagle. Here's a question. You've still got flow-backs at Eagle. You also have some that have been recalled. Who gets the furlough, the guys still at Eagle, or the ones that were recalled? Was recall done in seniority order?

 

[regionalcap]

I thought they are getting 34 737's next year. Wouldn't this replace most of the MD's being parked?

 

[whatitdoing?]

Word is 200 to 250 pilots are going to be furloughed at CAL during our July system bid.........this sucks.

 

[siucavflight]

I thought they are getting 34 737's next year. Wouldn't this replace most of the MD's being parked?

They dont all magically appear at one time.

 

[conman]

So I bet APA is wishing they had that new flow-thru agreement with Eagle.

Rizzo,

I don't think so.

 

[turbinej]

source? As of now there is no intention for furloughs at CAL. This is complete rumor right now. As a P2P Alpa pilot volunteer . There has been no talks of a furlough. Management may scare up due to contract negotiations. Cal cannot afford any furloughs we are not staffed adequately. The bid is suppose to be a reduction bid to balance out the fleets with pilots.

 

[brownie]

$132.50 today

133.70
Don't forget to vote republican.

 

[Rizzo]

So I bet APA is wishing they had that new flow-thru agreement with Eagle.

Rizzo,

I don't think so.

Just figured people would rather be flying an RJ than unemployed. Guess I was wrong.

 

[rudder]

Word is 200 to 250 pilots are going to be furloughed at CAL during our July system bid.........this sucks.

What? I thought that we were 'takin it back'?

Memo to self - get a new ALPA bag sticker

 

[AAflyer]

I thought they are getting 34 737's next year. Wouldn't this replace most of the MD's being parked?

Ssssshhhhh.

Don't want to spoil all that doom and gloom. AA had already committed to dumping those planes next year. We had already committed to returning 3 A300s this year and 3-5 next year to the lessors ( by the way out of 34 27-28 are actually scheduled.

We will begin taking delivery of 3 737s a month this coming January.

The S80 has been understaffed for months, there are still pilots retiring.

Oil at $130+ and Jet Fuel in the $160s is pretty spooky but I would not say we are going to furlough just yet.

IMHO,

AAflyer


I pray for us all.

 

[cjdriver]

133.70
Don't forget to vote republican.

This must be sarcasm, or you know something I don't. Care to elaborate?

 

[Coool Hand Luke]

Ssssshhhhh.

Don't want to spoil all that doom and gloom. AA had already committed to dumping those planes next year. We had already committed to returning 3 A300s this year and 3-5 next year to the lessors ( by the way out of 34 27-28 are actually scheduled.

We will begin taking delivery of 3 737s a month this coming January.

The S80 has been understaffed for months, there are still pilots retiring.

Oil at $130+ and Jet Fuel in the $160s is pretty spooky but I would not say we are going to furlough just yet.

IMHO,

AAflyer


I pray for us all.

I get your thinking, but the RIF threat that Arpy et al are putting out there is to "grease the wheels", so to speak, in the respective labor negotiations. There's nothing like the threat of loosing your job to get you to see the light that you really need to freeze your pay and kick in some work efficiency improvements to boot. Belive me, it's going to take a bunch of grease for the wheels after all the sandpaper effect from the last round of executive compensation bonuses.

 

[densoo]

Lead story on NBC Nightly News was AA and mentioning aircraft reduction, baggage charge, and layoffs. Hope this isn't like a fare hike where all the others follow (except SWA of course).

 

[Kugelblitz]

This must be sarcasm, or you know something I don't. Care to elaborate?

I think what he means is that we are told we are fighting in a war in the middle east to protect American sovereignty from middle eastern powers but when we ask the same people to do something about oil prices the response is that there in is nothing we can do because oil prices are controlled by the middle east.

In other words, we are fighting a war against elements that we have handed over our economy and therefore control of our country too.

Hows that for an elaboration?

 

[brownie]

I think what he means is that we are told we are fighting in a war in the middle east to protect American sovereignty from middle eastern powers but when we ask the same people to do something about oil prices the response is that there in is nothing we can do because oil prices are controlled by the middle east.

In other words, we are fighting a war against elements that we have handed over our economy and therefore control of our country too.

Hows that for an elaboration?

AMEN BROTHER

 

[densoo]

...............

 

[General Lee]

its gonna be the same everywhere... NWA to displace 75 or so which will probably end up in furlough, DAL will probably furlough by years end, AA, UAL they all will have to do something if oil keeps going up. After the summer rush ends, who knows what will go on... How many people will get let go at each company is another story.. my .02 cents

DAL will furlough by years end? We will be getting 6 new 777LRs that need to be staffed, from DEC 31st to March 31st (09), and they have 19 crews each. We are also getting 6 737-700s. I doubt any furloughs will happen, but I guess anything could happen these days. If we get rid of any extra planes, it may be a "draw" with the additional planes coming.


Bye Bye--General Lee

 

[curtis46]

Just figured people would rather be flying an RJ than unemployed. Guess I was wrong.

some people would receive more money from unemployement than from flying RJ, plus time with the family.

 

[scarlet]

I will be voting for Mccain....!!!!!!!!!!!!!!!!!!!!!!!!!!

Someone that is a true blue AMERICAN!!

 

[highflying]

Thank goodness for 65.

 

[ironspud]

Furlough's at AMR? Who cares. Just TWA "K-Mart" scum. Fodder, just fodder.

 

[SpauldingSmails]

With CNBC saying oil is currently pushing $133/barrel, I thank my lucky stars I'm only a spectator on this segment of the industry.

Well arn't we special. Can I touch you?

 

[flyboy006]

DAL will furlough by years end? We will be getting 6 new 777LRs that need to be staffed, from DEC 31st to March 31st (09), and they have 19 crews each. We are also getting 6 737-700s. I doubt any furloughs will happen, but I guess anything could happen these days. If we get rid of any extra planes, it may be a "draw" with the additional planes coming.


General,

I understand you saying you will be getting 12 airplanes, 6 777 and 7 737, but it is probable that you will park some MD-88's and they mentioned some old 757's, so the 12 airplanes wont be too significant of a growth.. Plus all Delta or any other major for that matter needs is for one Major carrier to furlough due to rising oil prices and slow winters.. I would bet my money that it would cause other carriers to follow in their foot steps..But if you know they wont be any furloughs, great news..