The future of netjets.

[scubabri]

Being an ex-computer guy, I've worked for a lot of companies that have had rapid growth and hiring only to, a few years later, lay off a vast majority of those workers.

Netjets, from what I understand is operating at a loss, and the amount that they are hiring.. something has to give.

What is everyone's opinion on the overall health of the company and the, for lack of a better word, security of being a low seniority number there.

sb

 

[RNObased]

What is everyone's opinion on the overall health of the company and the, for lack of a better word, security of being a low seniority number there.

sb

I think the company will be fine if they ever get scheduling under control. If they don't, then who knows.

As for being a low senority number, I would say you are pretty safe. Now if you are middle manager in charge of paper towels, then you could be in trouble if the rumors coming out of CMH are even half true.

 

[TORCH67]

I'm sure you already know that aviation is a big crap shoot at best! When it comes to airline management and the future of the airline world, I would pick a fractional job every time. NJA doesn't have to show a profit to keep in business, they just have to cover expenses. Do a search on this subject and you will see hours of reading on how they hide profits.

 

[charley varrick]

Unless you have a job offer from either Fedex or UPS, I would say it is a risk worth taking . . . as far as aviation goes, that is.

 

[Hogprint]

Scubabri posted:

Netjets, from what I understand is operating at a loss, and the amount that they are hiring.. something has to give.

Don't believe everything you read or hear about these numbers. It is quite a few of our opinions these numbers were, let's say, manipulated for negotiation reasons at worst. At best they reflect the companies penchant for shuffling funds to other wings of the company, read NJE, NJ China, NJ Space program (I jest, but you get the point) to gobble up market share.

It is my opinion that the genie is out of the bottle. The folks we cater to are NOT going back to the airlines, and probably not going back to outright ownership, although we had a few jump back last year (negotiation anomaly) and this frax model is going to be around in one way shape or form for at least our careers. The name may not be the same, but the game will be the same.

 

[netjetwife]

Now I understand why guys like Griz and Gunfyter tell others to do a search when they ask a question that has been covered a lot already. ....sigh

NJA is part of a worldwide company, NJ Inc, and has the ability to easily shuffle the money around. They admitted to the pilots that profit from NJA was used to subsidize expansion, especially in Europe. None of the NJ pilots are worried and they still plan to hire a few hundred more this year. It isn't just NJA. Business aviation is in high demand.

The anti-union group would, no doubt, answer you differently.
NJW

PS Add Torch to my list at the top. He posted while I was typing.

 

[WrknStff]

Don't forget that if I understand it properly, hiring was artificially low during the contract negotiations and now they have to make up for lost time to get back to where they should be. Costs should go down with proper manning because one of the biggest expenses at a fractional is chartering flights. If they have to charter fewer flights because of proper manning, that saves the company a lot of bank.

 

[netjetwife]

True. Additionally, as has been pointed out before, the company also spent a lot of money buying up vendor time in anticipation of a strike. It seems to me that they could have saved everyone a lot of time and money if they had just used those dollars to help make the first TA acceptable.

 

[gunfyter]

Not having enough pilots = money loser. Selling off trips to Charter is an expensive alternative to not hiring enough pilots.

Scheduling has been very efficient in scheduling me. 220 hrs in 3 months... very little sitting around. They have adjusted to 91K. This is a hard business to do with a very complex set of variables.

As time dragged on for yrs without settling a new contract... Pilots tend to become demotivated. To assist in tackling the Complex and fluid variables in scheduling... one needs a HIGHLY motivated pilot force.

We are seeing this now. Also profits were made in US operations in prior yrs according to WB in annual reports to Berkshire Hathaway. These profits were more than consummed by the cost of expansion in Europe and other areas. However it is reported that these other operations are turning the corner. We are told not to expect profits in 2006. However, it will be interesting to see the CHANGE, and improvement 2006 should bring. A large correction toward Profitability would be a very good sign IMO.

 

[FLYLOW22]

Being an ex-computer guy, I've worked for a lot of companies that have had rapid growth and hiring only to, a few years later, lay off a vast majority of those workers.

Netjets, from what I understand is operating at a loss, and the amount that they are hiring.. something has to give.

What is everyone's opinion on the overall health of the company and the, for lack of a better word, security of being a low seniority number there.

sb

Huge differences BTW NJA and Brand X 121 carrier.

NJA makes the lion's share of money from sales. Operations (flying planes) is just icing on the cake. All NJA needs to do is raise prices the next time Owner contracts come due to offset expenses.

121... flies people who buy tickets from the man.

NJA... flies the man.

The type of customers NJA caters to aren't interested in $99 coast to coast nor is NJA pinned against the wall from competition offering $98 coast to coast.

Our Owners fly us becasue they want to fly specifically on NetJets.