New Star Tribune Article: MESABA

[gnx99]

Here's a new article from the Star Tribune about Mesaba. I cut and pasted because their website is ridiculously slow.
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Star Tribune
http://www.startribune.com/535/story/453581.html

Mesaba, unions heading for a standoff
Mesaba Airlines and its labor unions appear to be heading for a standoff over the airline's demand for lower labor costs. Despite a bankruptcy judge's ruling, the unions say they won't accept severe cuts.

U.S. Bankruptcy Judge Gregory Kishel is not prone to hyperbole. So when he wrote last week that Mesaba Airlines and its unions must quickly come to grips with the airline's "looming operational insolvency," both sides probably took notice.
But as Mesaba bleeds cash and watches its fleet of planes grow smaller by the month, there's little sign that labor and management are ready to reach deals to save the regional carrier.

Pilot talks are expected to resume next week, but leaders of the pilots, flight attendants and mechanics unions said they will not accept the company's demands for 19.4 percent labor cuts in six-year contracts. The wage cuts and other changes would slash labor costs by $17.1 million.

"We are faced with the Hobson's choice of personal liquidation or corporate liquidation," said Tom Wychor, chairman of the Mesaba pilots union.

"If employees are forced to take 19.4 percent cutbacks over six years, it will initiate the destruction of Mesaba Airlines one way or another," said Kevin Wildermuth, lead negotiator for the Aircraft Mechanics Fraternal Association (AMFA). The carrier's demise could come from a strike or mass resignations, Wildermuth said.

According to the unions, the average salary for a Mesaba flight attendant is $21,000, while the average mechanic salary is $32,000 and a pilot is at $45,000, with starting wages much lower than the averages.

Under the airline's proposal, a first-year Mesaba flight attendant with employee-only health insurance would earn less than $11,000 a year.

"We are not going to allow any unionized employees at Mesaba to make poverty wages," said Tim Evenson, president of the Mesaba branch of the Association of Flight Attendants.

Evenson was among 250 Mesaba employees and family members who gathered Tuesday night outside the Metrodome for a Mesaba Labor Coalition picnic. Evenson said the level of cooperation among the flight attendants, pilots and mechanics has been "unprecedented."

The inability of management to strike a deal with its workers is costing Mesaba cash, and possibly more planes.

"We had hoped to have labor concessions in place by April, and the fact that they're not in place yet is continuing to place pressure on our cash position," Mesaba spokeswoman Elizabeth Costello said Wednesday. The airline declined to release a current cash balance figure.

Without outside financing, Mesaba said it could run out of cash by late August, Kishel noted in his ruling.

Mesaba, which had 100 planes in the fall of 2005, has lost one-fourth of its fleet and the pilots union said 22 Avro jets still in the fleet are scheduled to be removed by Northwest Airlines by year's end. A few days ago, the union notified Mesaba pilots that some Avros will depart Mesaba starting in June and be flown to a carrier in Ireland that is a subsidiary of Air France.

Mesaba flies regional flights exclusively for Northwest and was essentially thrust into bankruptcy shortly after Northwest sought protection from its creditors in September. Last fall, Northwest stopped making flight service payments to Mesaba and notified the regional carrier that it would cut its fleet in half.

Northwest asked for proposals in December for new regional jets. Mesaba and seven other airlines submitted bids in January, but Northwest has not announced its decision.

Lacking a commitment from Northwest, Mesaba management presented its union negotiators with a business plan that is based on the airline operating only 49 Saab turboprops for Northwest.

In a letter to employees, Mesaba President John Spanjers indicated that he believes that the 49-plane business model also can't work without the wage cuts the company seeks. "If we cannot finalize the cost reductions, we cannot secure the core Saab business. If we cannot secure the core Saab business, we cannot compete for jets," he wrote last week.

The airline has been meeting with potential lenders and hopes to finalize debtor-in-possession (DIP) financing in 30 to 45 days, Costello said.

In his recent 98-page ruling that denied the airline's motion to void its labor contracts, Kishel noted that banks are likely to be hesitant to lend to Mesaba until labor terms are resolved. "A failure to reach resolution on labor cost issues might deter any prospective DIP lender from making a commitment" to Mesaba, he wrote.

The unions have argued that Mesaba should develop alternative business models that its negotiators can review. And they've stressed that the new contracts should include rewards for employees if the carrier succeeds in expanding.

Ultimately, the judge could be Mesaba's trump card.

When he considered Mesaba's motion to nullify its contracts, the carrier met most of the criteria that judges must apply. However, it had not provided the unions with a key financial model needed to evaluate its concessionary requests.

In denying the company's request, the judge said that if Mesaba cannot reach new deals he would permit management to "make a renewed motion which would be heard promptly." More important, Kishel wrote that Mesaba had provided sufficient evidence "that it will not survive as an operating airline if it does not get the total reduction of 19.4 percent."

Many employees don't seem to be persuaded, though, and said they are ready to vote with their feet.

Sarah and Jeril Metzger of Eagan might be hurt the worst if Mesaba imposes contract terms or goes out of business. Both are pilots, and their combined income was about $89,000 last year. If Mesaba downsizes to 49 Saabs, Sarah would lose her job and Jeril would drop from captain to first officer. The couple's income from Mesaba would plummet by two-thirds.

"There's an amount of money that we are willing to work for, and an amount we are not willing to work for," Jeril Metzger said, adding he is ready to apply to other airlines. Sarah Metzger said she might leave aviation.

Todd Germain, a Saab captain from St. Paul, said he and many other employees are skeptical about the competence of Mesaba management.

His wife, Melissa, had been planning to be a stay-at-home mother for their son Henry, who was born two weeks after the Mesaba bankruptcy filing. But she quickly returned to work as a substitute English teacher. The couple have slashed expenses, and "saved as much money as we can," Todd said.

If the Mesaba standoff ends badly, Todd has a backup plan: He's thinking about teaching or law enforcement.

Liz Fedor • 612-673-7709

www.startribune.com

 

[Terrain Terrain]

good luck guys!!!

May NWA and Mesaba managment burn in hell!!

 

[arthompson]

We'll take you guys at Pinnacle. I know it's not the best option, but it's a good alternative to unemployment

 

[Sig]

Go Todd, Sarah, Jeril and the rest of XJ! I've posted other threads on here regarding their professionalism, I've always been floored by their attitude, and their situation is a crucible for ALPA to put up or just die already.

I hope the pink fleet is here to stay, and I'm proud of all of you.

 

[WAZUP]

hang in there aaron!!!!!!!

 

[mavdog]

We'll take you guys at Pinnacle. I know it's not the best option, but it's a good alternative to unemployment

Are you serious?? Mesaba may be hurting now, but Pinnacle is next... I'd get as far away from that Red Tail shadow as I could!

 

[D'Angelo]

May the employees do whats best for them and hopefully the union wont destroy another great company :beer:

 

[CubanSmoker]

God I love the ignore feature!

 

[gnx99]

If you read that $11,000 figure the company wants, I guarantee it's not the unions who will destroy the company.

 

[JTrain]

If you read that $11,000 figure the company wants, I guarantee it's not the unions who will destroy the company.

Amen to that.

Sadly, this reminds me a bit of what happened to us at ACA a few years ago.

 

[kmox29]

If you read that $11,000 figure the company wants, I guarantee it's not the unions who will destroy the company.

Ahhh, but you don't understand. For D'Angelo (his name is the only place you'll see an apostrophe) he has to blame the evil unions. It's in his genetic makeup. He has no need for a union contract...he's living it up (see NUMEROUS posts about his lifstyle under his various rants).

Anyhow, I'm very proud of our unions here at Mesaba. I know the ruling was a small victory, but a victory nontheless. I'm a short timer at XJ now, and it saddens me that I will be leaving such a great group of people. Keep up the fight.

We can save this profession from Managements and D'Angelos.

 

[D'Angelo]

Ahhh, but you don't understand. For D'Angelo (his name is the only place you'll see an apostrophe) he has to blame the evil unions. It's in his genetic makeup. He has no need for a union contract...he's living it up (see NUMEROUS posts about his lifstyle under his various rants).

Anyhow, I'm very proud of our unions here at Mesaba. I know the ruling was a small victory, but a victory nontheless. I'm a short timer at XJ now, and it saddens me that I will be leaving such a great group of people. Keep up the fight.

We can save this profession from Managements and D'Angelos.

Actually at first I was quite neutral on the subject of unions. I saw what type of contract I got at comair and thought maybe they arent all that bad. Then I started doing reasearch into the many corrupt unions that exist in the US. From their tireless compaign of forced unionism to wanting to do violence on anyone who disagrees with with etc. They hide under the cloak of keeping wages up and safety however its easy to see through their agenda. They are all about control and fear and money.

They really do have you all fearing that without a union your totally helpless and those management bullies would just walk over everyone for no reason. They want to control their members. They dont like it when someone speaks out against the union. It started out as just having some differing opinions then I saw how angry and belligerent union members become if you even dare question anything the union does. So its been building for a long time. Trust me hardcore unionism actually makes people want to vote opposite how the union wants you to if they get too vocal. Example at comair. Some guys would get soo vocal and soo angry anytime someone would just talk about voting yes to save their job. Eventually people started voting yes one to save their job and two to stick it to the union guys. First and foremost it was to save their jobs but it was extra sweet telling the vocal union where to shove it. Anger fear and lies will no longer work.

 

[D'Angelo]

I wonder if ALPO has a contest to see who makes the prettiest picket sign. Maybe they hang them up at a denny's restaurant and try to collect money.

 

[punkpilot48]

I bet D'angelo is still lookin for Jimmy Hoffa too.

 

[737 Pylt]

Actually at first I was quite neutral on the subject of unions. I saw what type of contract I got at comair and thought maybe they arent all that bad. Then I started doing reasearch into the many corrupt unions that exist in the US. From their tireless compaign of forced unionism to wanting to do violence on anyone who disagrees with with etc. They hide under the cloak of keeping wages up and safety however its easy to see through their agenda. They are all about control and fear and money.

They really do have you all fearing that without a union your totally helpless and those management bullies would just walk over everyone for no reason. They want to control their members. They dont like it when someone speaks out against the union. It started out as just having some differing opinions then I saw how angry and belligerent union members become if you even dare question anything the union does. So its been building for a long time. Trust me hardcore unionism actually makes people want to vote opposite how the union wants you to if they get too vocal. Example at comair. Some guys would get soo vocal and soo angry anytime someone would just talk about voting yes to save their job. Eventually people started voting yes one to save their job and two to stick it to the union guys. First and foremost it was to save their jobs but it was extra sweet telling the vocal union where to shove it. Anger fear and lies will no longer work.

With all your experience, people should really listen to you. You are a really smart person when it comes to giving advice, especially in the arena of unionism.
How are you doing with your replacement training for flight attendants?
737

 

[D'Angelo]

With all your experience, people should really listen to you. You are a really smart person when it comes to giving advice, especially in the arena of unionism.
How are you doing with your replacement training for flight attendants?
737

Thanks for the kind words its good to see people are starting to think for themselves and outside of the unionism box!! Wouldnt know about FA training never been through it and dont plan on being one. Not that they arent easily replaceable but they will be dealt with in time. The only mistake comair made is not having some replacements ready to go.

 

[D'Angelo]

I bet D'angelo is still lookin for Jimmy Hoffa too.

Hey man have you tried getting someone that you or your captain denied a jumpseat to hit with trespassing for having an ID-90. hahahah thatd be fun to watch. I wish I could be the one testing it out.

 

[punkpilot48]

Nope.

 

[YourPilotFriend]

No that this thread is hijacked, lets get back on topic. Compass airlines is to operate on Flyi's routes and not on XJ/9E/NWA routes.

 

[xjhawk]

i know that judge ruled in our favor, but he seriously thinks that Mesaba management's business proposal was on the up and up? Could he not see through the fact that our money has and is being sucked out of our pockets by MAIR holdings? This guy is a tool to say the least, the only positive thing that came of this entire ruling is a couple more paychecks at full pay. OH and maybe even being able to strike. Cause if he rules agian, i beeleive he will rule for the company, even though company's like comair skywest airwisconsin etc, can make money and pay their people more than us???

So lets all ask Mr smart a$$ judge, how can other airlines survive when they pay better than mesaba? How jerkoff?????????? does anyone know how i can join his fan club? Does this guy know whats its like to be a "professional" and never make over 30 grand a year after being in this industry for years???????DAm i want my voice heard.

 

[whaleroast]

i know that judge ruled in our favor, but he seriously thinks that Mesaba management's business proposal was on the up and up? Could he not see through the fact that our money has and is being sucked out of our pockets by MAIR holdings? This guy is a tool to say the least, the only positive thing that came of this entire ruling is a couple more paychecks at full pay. OH and maybe even being able to strike. Cause if he rules agian, i beeleive he will rule for the company, even though company's like comair skywest airwisconsin etc, can make money and pay their people more than us???

So lets all ask Mr smart a$$ judge, how can other airlines survive when they pay better than mesaba? How jerkoff?????????? does anyone know how i can join his fan club? Does this guy know whats its like to be a "professional" and never make over 30 grand a year after being in this industry for years???????DAm i want my voice heard.

I bet if a bunch of us poor FO's light ourselves on fire on the two-lane road in front of the training center in Eagen, like the monks in Saigon in '67, people might take notice, but only because we shut off a lane of traffic and stopped them from getting their lunch at Burger King in a timely manner. Plus I can't afford a gallon of gas anyway...nevermind...go gophers baseball.

 

[Terrain Terrain]

Thanks for the kind words its good to see people are starting to think for themselves and outside of the unionism box!! Wouldnt know about FA training never been through it and dont plan on being one. Not that they arent easily replaceable but they will be dealt with in time. The only mistake comair made is not having some replacements ready to go.

Man,

You are such a dirtbag, Mesaba has been through hell and held together, passed up jets for better pay, and told managment to go to hell. You should be ashamed for even posting on this thread. We ALL know why you got your job in the first place, so dont be so c0cky, because you never deserved it, and I feel bad for the CA that have to babby sit you because you never put your time in anywhere else. And I can say that, because I KNOW WHO YOU ARE, and I know what CA say that have flow with you. enjoy d1ckhead

 

[D'Angelo]

Man,

You are such a dirtbag, Mesaba has been through hell and held together, passed up jets for better pay, and told managment to go to hell. You should be ashamed for even posting on this thread. We ALL know why you got your job in the first place, so dont be so c0cky, because you never deserved it, and I feel bad for the CA that have to babby sit you because you never put your time in anywhere else. And I can say that, because I KNOW WHO YOU ARE, and I know what CA say that have flow with you. enjoy d1ckhead

ALPO is just as much to blame for this situation. Instead of trying to help think of ways to save the airline they were too busy making posters. No one has to babysit me I pull my own weight here at cmr

 

[schmitty340]

Kmox29

Where you going? you can't leave me here, this place sucks!

"I'm a short timer at XJ now, and it saddens me that I will be leaving such a great group of people. Keep up the fight."

 

[Sig]

Does the judge's ruling mean MAIR can reapply to reject the contracts in the future?

 

[WMUSIGPI]

Everything except the scope clause (everything over 19 seats by a carrier under Mair holdings must be by Mesaba seniority list) is able to be recontested in court. And it's likely to be real soon.

 

[Smarta$$]

i know that judge ruled in our favor, but he seriously thinks that Mesaba management's business proposal was on the up and up? Could he not see through the fact that our money has and is being sucked out of our pockets by MAIR holdings? This guy is a tool to say the least, the only positive thing that came of this entire ruling is a couple more paychecks at full pay. OH and maybe even being able to strike. Cause if he rules agian, i beeleive he will rule for the company, even though company's like comair skywest airwisconsin etc, can make money and pay their people more than us???

So lets all ask Mr smart a$$ judge, how can other airlines survive when they pay better than mesaba? How jerkoff?????????? does anyone know how i can join his fan club? Does this guy know whats its like to be a "professional" and never make over 30 grand a year after being in this industry for years???????DAm i want my voice heard.

absolutely..........

Hey D'fagelo, what is your responce to this? still think the mesaba pilots should take it in the a$$? Should they just take their consessions because they make too much?

 

[YourPilotFriend]

absolutely..........

Hey D'fagelo, what is your responce to this? still think the mesaba pilots should take it in the a$$? Should they just take their consessions because they make too much?

It's a unit cost issue, an airline with more airplanes can pay its pilots more and cost less. That's why i've been saying NWA put you guys in almost impossible situation, even if you liquidate you won't save pay or work rules for yourself or others.

 

[coolyokeluke]

They really do have you all fearing that without a union your totally helpless and those management bullies would just walk over everyone for no reason.

D'Angelo that IS absolutely the case. Do you think mgmt would pay you a nickel over minimum wage-just because they like their employees? Their objective is to get the lowest cost labor they can so they can be as competitive as possible, post the highest profits they can, and collect big corporate bonuses. The only reason a union works is because the employees stick together when they need to. You undermine the objective of a union, the goals of which are to obtain better work rules, higher salaries, and better safetey for their employees. D'Angelo you are such a dogmatic person that you will never see past the downsides of unions and look at what they've done for you and your coworkers. I'm sure you've never read Flying the Line, or Hard Landing. Or if you did your hard core anti labor attitude filtered out the lessons there in.
You will never change, you will never reason, and therefore you aren't worth debating or talking to. You are a scab in the making, and you're hereafter on my ignore feature.

 

[D'Angelo]

Union paranoia really has crept in everywhere. The simple fact is that wages get to a certain point people wont work for them. Until they do the market sets it union or not. The days of unions keeping wages artificially high are over. Sorry but thats life