New Virgin Pay Rates

[anewunion]

wow. that's a lot of time behind a computer.

 

[Kalifornia]

So tell me, what is your point? To flame? So you can brag and feel good about yourself if at some point in the future VX does go under? What is it?

PS- The other airlines that are making money are not growing at 35% or more per year,

I think your answer is right there,, while the established carriers have exercised capacity restraint to price the ticket with reduced supply of seats that actually reflects the expenses with profit of transporting someone from sea to shining sea, it is quite frustrating to see new a carrier come in and grow like wildfire with reduced fares which seem to be partly funded by reduced wages and investors who have enough play money for a real life game of Aerobiz.

 

[NEDude]

I think your answer is right there,, while the established carriers have exercised capacity restraint to price the ticket with reduced supply of seats that actually reflects the expenses with profit of transporting someone from sea to shining sea, it is quite frustrating to see new a carrier come in and grow like wildfire with reduced fares which seem to be partly funded by reduced wages and investors who have enough play money for a real life game of Aerobiz.

Name an airline that is not guilty of reducing fares and fighting for lower wages to expand market share. Name an airline that has not undercut other carriers, even to the point of unprofitability, to maintain or gain market share. Even mighty Southwest used low wages and low fares to grow. Alaska actively lobbied for de-regulation so it could expand by undercutting. EVERY airline is guilty of doing that at one point in their history. Don't come on here acting holier than thou when your company is guilty of doing the same thing. There have only been brief periods of time since de-regulation when the airline industry has reported profits. Massive losses are the norm, not the exception. Which means managers at Delta, or United or any other airline have not suddenly figured out the correct formula, they have just caught a brief period of profitability - think of the blind squirrel and nut analogy.

 

[Kalifornia]

Name an airline that is not guilty of reducing fares and fighting for lower wages to expand market share.

You are correct along with the rest of your paragraph omitting though that pilots at a present day well established carriers fight back at lower wages, not always successfully, but at least there's an effort.
With now 30 years since regulation, quite a bit more established history to wish/prompt/voice that the merry-go-round of competition and start-ups subside....one can only hope.....stability would be nice

Maybe you could take a trip to Great Britian and talk to these guys about Richard's Koolaid??...

http://www.guardian.co.uk/business/2011/aug/09/virgin-atlantic-pilots-call-off-strike-threat

 

[jayme]

I am pretty sure RASM at VA is finally at industry average. We are not undercutting anybody.