Sticky said:
Indypilot-
I assume you fly for ACA, and I wish you guys luck with the solo venture. I have alot of respect for the ACA crews for their stand with UAL. I may be wrong, but didn't ACA say to UAL that their services were worth more then the new contract offered? Didn't UAL threaten to bring in Mesa and TSA who could do the same job as you guys for less? What ACA did to UAL is EXACTLY what I'm talking about. From an outsiders view, it appears that you feel that you're worth more then you were offered, and you fought it. However, it seems that your posts here contradict that. Am I wrong?
Your assumption is correct. Thanks for the words of encouragement, we hope all goes well. Yes, ACA did tell united that their services weren't worth more than what the contract offered, but you have to be cafeful with that one. It wasn't the pay from united that was an issue, it was the risk sharing that was. Under the new contract, the theat of replacing our flying on a moments notice to the cheaper regionals was too large, hence the birth of Independence Air. So yes you are right, We did tell united to take a hike, but the question is, what was united's response, they backfilled all of our flying with other regionals. The same way one person who says, Im not flying at those rates, gets replaced with one that does. If united had nobody else to turn to, the market would have dictated they would give us what we wanted to stay. The reason for this is because there is too much supply out there. Too much supply in regionals, and too much supply in pilots. You see the correlation?
The only thing that will fix that is to get rid of the over supply. Of course here is where it gets tricky, if say, 3 airlines go out of business because of the over capacity in the industry, it floods the market with an over supply of pilots. this will do nothing but lower wages as the over supply of pilots corrects itself in the market.
The thing to remember with the ACA situation is that we had a better option still flying airplanes. To correlate that to the labor situation, would be like saying, You have a choice at working at a regional, or an LCC, which one do you choose? The problem is that most people don't have this option when first starting out, they only have the regional option. Just like if ACA only had the regional option, they would have signed the united contract. Yes a person could hold out and wait to get hired by an LCC or a major, but at what cost. Are they going to be an instructor making 10,000 a year? well the 18,000 offered at the regionals is a much more enticing offer, espcially because the mindset right now is, I don't care because i will move up shortly.
Don't get me wrong. I'm not saying there is no end in sight. I do believe rates are too low right now. The problem is, because of the market situation right now, there is nothing anyone or any group can do about it. The only choice one has at this point is like it or get out. The only way to regain control is to have the industry rebound to a point where they have market pricing power. The only way that will happen is if a few go under, that will cause an oversupply of pilots, and a wage decrease in the short term, BUT eventually the profitablility will mean expansion which means more pilots will be needed. As long as there is a shortage of pilots because of retirements, and peoples reservation wage goes higher (by this time most that lost their jobs have other careers and it would cost too much to go back to the bottom of the list), the market will reflect a raise in pilot pay. The problem is that this might take 5,10,20 years to happen.
Hopefully that answers some of your questions.