Pay Cuts at Skywest ?

[eaglefly]

Just read an article on how Skywest says the UAL situation will hurt them and that managment will be seeking pay cuts from employees to "help" United.

Since the pilots are non-union and can be bent over at will, it seems that the UAL situation will be hurting some of their feeders as well.

Curious as to any info what Skywest management is saying to its pilots.

 

[chperplt]

Not that I have a clue about the situation over there... but would it be a shocker if US Airways tried to work a deal for some of the resources of a Skywest and or an Air Wisconsin?? I read an article recently that they wanted to get some Express flying out west.

 

[Extender]

Debt owed by UAL

Yes, this is a bit disturbing as a Skywest new hire. I mean, I'll only be making $1,600 a month and I'd hate to see a pay reduction from that. Jeez!

Also, SW has a total debt due from UAL of $13.5 million. I'm sure SW will eventually be paid, but I'm hoping it won't be delayed significantly by the bankrupcy judge. See that story here: Skywest discusses UAL Bankruptcy Protection

BTW, I'm still planning to go to Skywest. They haven't furloughed a pilot in their 30 year history.

 

[Capt.SpongeBob]

Knock on wood.

Past performance is not an indicator of future results.

 

[C-5 MEM]

This pay cut has me wondering. How would a pay cut from a regional airline help out UAL. Reason being is that Skywest and Air whiskey and ACA are not owned by UAL. We our seperate companies. Yes, UAL has contracts with several companies, but having employees taking a paycut, I dont see the connection.

 

[Flydaplane]

Pay cut for what?

The paycut being mentioned at Skywest is not to help United it is to help Skywest who is not being paid by United. However, if I was still at Skywest I would be pissed if management proposed a pay cut. What is the need? Skywest has plenty of cash and has posted profits most of the year haven't they? Why would one bad quarter be cause for a pay cut. They may argue that because UAL wil be paying them less in the future they have to reduce wages, I'd expect to see management do the same if this is the case and there is real need. However, I doubt they need the wage cuts, they've been making money for years. It's too bad that the schedule sucks so bad at Skywest now, most my buddies fly 4 and 5 day trips. Hope things improve for you Skywest guys.

 

[Andy Neill]

I think we have started with a faulty premise and have added some really bad info on top of it. The notion that SkyWest pilots are being asked for pay cuts is faulty. United is asking for a specified percentage reduction in the fee that SkyWest is paid by United for flights. SkyWest intends to meet this with improvements in efficiency, delayed capital projects and non-operational hiring, and other cost containment measures but I have not heard the mention of pay cuts. I know Mesa employees have been asked for volutary pay cuts of 5% in exchange for the hope of a bonus of twice that amount.

I thought it interesting that in the Brankruptcy papers that were filed listed ACA as being due $4.6 million or so but SkyWest was not among the top 10 creditors with the 10th largest being $2.3 million. I have not heard that United is not paying SkyWest in accordance with their contract and the article previously cited shows that United has made a payment to SkyWest since the filing.

 

[Extender]

Agreed about the pay cut. Regardless, I'm sure that the reason Skywest employees have never voted to be unionized is that management seems to take care of the employees. It's too early to know what's really going on, but I'm hopeful Skywest will reduce costs without having to cut pay.

Knock on wood....

 

[skyhogg]

I have to agree with Andy here. It's dangerous to take a blanket statement like "management will be looking hard at ways to cut costs in the coming months" (not an actual quote) and interpret it as meaning that a pay cut is in the works.

I have heard nothing regarding potential pay cuts and nothing in any press releases that I have seen has stated anything on that subject.

 

[Frac Daddy]

Andy and skyhogg,

If pay cuts are not in the works at Skywest, then what do you think Mr. Rich meant by, "We are targeting agressive cost-reduction alternatives with the help of our employees"? Interesting times we live in.

 

[AAsRedHeadedbro]

Based on his posts of the last few years I think Mr. Neill is probably Skywest's greatest cheerleader and can't possibly imagine that anything negative could happen at his company.

 

[Andy Neill]

Frac Daddy asked:

If pay cuts are not in the works at Skywest, then what do you think Mr. Rich meant by, "We are targeting agressive cost-reduction alternatives with the help of our employees"?

I think he meant that by working more smartly and taking every opportunity we can in making the SkyWest product more efficient while maintaining quality for the customer, the savings necessary to meet United needs can be realized.

AAsRedHeadedbro provided:

Based on his posts of the last few years I think Mr. Neill is probably Skywest's greatest cheerleader

Thanks....

and can't possibly imagine that anything negative could happen at his company.

While I recognize that tendency among people at their respective companies, I tell you that I am trying to give my best assessment of what I see going on. There are some VERY good reasons for being optimistic at SkyWest. I guess time will tell whether that optimism is misplaced or if your skepticism was.

 

[KFFA]

Intresting that I have NEVER seen anyone representing
Eagle
ACA
ASA
Comair
COEX
TSA
Piedmont
Colgan
Mesaba
AirWisky

Do I need to say anything more about this point? Come set up to the plate and represent your company then by hear-say only.

 

[skyhogg]

In response to Frac Daddy...

There are many ways that we as employees of Skywest can have a hand in saving the company substantial amounts of money without necessarily taking a pay cut. Some examples may include: Not starting up an APU until needed or at the gate. Taxi out and in on one engine whenever possible. Eliminate waste wherever found. Come up with new ideas and solutions rather than expect the worst.

When you think about it, a motivated employee can be a company's greatest cost cutting asset. I for one will jump on any bandwagon and do what I can to save Skywest money. As for my previous post, I only meant that as of this point, there has been no specific mention about asking us to take a pay cut. I don't profess to know what the future will bring, but I won't speculate on what the news stories and press releases are supposed to "mean".

And by the way, I for one am thrilled to have someone like Andy keeping an eye on these boards. Perhaps if there were others like him, morale at other companies could be kept higher and misinformation and rumors kept to a minimum.

peace...

 

[Saabslime]

Intresting that I have NEVER seen anyone representing ......Mesaba

I fly for Mesaba.....we suck....don't come here.....furloughing more every month....have a nice day

 

[Morning Wood]

Re: Pay cut for what?

The paycut being mentioned at Skywest is not to help United it is to help Skywest who is not being paid by United. However, if I was still at Skywest I would be pissed if management proposed a pay cut. What is the need? Skywest has plenty of cash and has posted profits most of the year haven't they? Why would one bad quarter be cause for a pay cut. They may argue that because UAL wil be paying them less in the future they have to reduce wages, I'd expect to see management do the same if this is the case and there is real need. However, I doubt they need the wage cuts, they've been making money for years. It's too bad that the schedule sucks so bad at Skywest now, most my buddies fly 4 and 5 day trips. Hope things improve for you Skywest guys.

What sucks more? 4 and 5 day trips or having 14 years at USAir
and being on the street? Or being sent to active status with
the military for a year in the Middle East? Let's put things
into perspective folks.

 

[Splert]

They all suck.

Byyyyyye-Bye.

 

[maddog805]

Mesaba

I fly for Mesaba.....we suck....don't come here.....furloughing more every month....have a nice day

BAAAAHAHAHAHAHA!!!!