T-handle said:
What? To see which regional can furlough the most?
Hopefully this will help you better understand how the industry works T-Handle. The airlines mentioned in previous announcements by our senior management that we need to be competitive with are, Mesa (pilots just ratified their TA), CHQ (pilots are in negotiations), and Eagle (8 year old contract with 6 more years to go?)
From the letter;
"April 14, 2003
To All ACA Employees,
I know you are aware of the fact that our company is in the midst of a total top-to-bottom cost reduction program—designed to make ACA much more competitive against other regional airlines, and to give us every possible chance of success as we move through this period of extraordinary uncertainty. We are looking at every avenue within all departments for potential cost savings, and have assigned over 40 of our managers to lead these cost reduction projects.
Unfortunately, one of the most unsettling parts of any program like this is the need to reduce our total payroll expenses—through a combination of several initiatives:
· We have reduced salaries and bonuses for senior management, department managers and most salaried employees
· We have indefinitely suspended our $hare the $uccess bonus program
· We have instituted restrictions on hiring—with job postings taking place only with the approval of senior management, and many vacant positions being left open or eliminated altogether
· A total of 96 pilots have been officially notified of a furlough process as outlined by their collective bargaining agreement—and we have notified ALPA that 101 additional pilot furloughs will be required at this point
· A number of other people throughout our entire company have also been notified that their positions are being eliminated as part of a reduction in force (RIF) program. So far, we have eliminated over 50 positions. Through job consolidations, transfers and other adjustments, the total number of people who are actually leaving the company is only about half that total.
· We are also aware that based on our reduced schedule, we have about 90 more customer service employees at IAD than we will need for the ongoing future. These positions will be eliminated as well. Although we are hoping that the majority can be accomplished as the result of voluntary leaves and unfilled open positions, at least some furloughs at Dulles are probably inevitable."