Arbitration
#81
Gets Weekends Off
Joined APC: Jan 2011
Posts: 784
This merger presents such a big opportunity for Alaska to reinvent itself, create a brand identity outside of PNW and be a great airline that shines. They have somewhat of a blank canvas and can do anything...and they choose very little growth, pushing loyal passenger away, and labor tensions.
#82
This merger presents such a big opportunity for Alaska to reinvent itself, create a brand identity outside of PNW and be a great airline that shines. They have somewhat of a blank canvas and can do anything...and they choose very little growth, pushing loyal passenger away, and labor tensions.
Just look at their arguments about how "we've done things this way for 85 years". That's what I've ever heard since I've been here. "We've never done that before."
They are just managers with no vision. This has been mentioned on here by others who have had the pleasure of working for AAG. They are comfortable pinching pennies and fighting the labor groups.
Anyway, it's going to catch up with them. It's not just pilot morale that's low. It's the FAs, mechanics, CSAs, etc. The company has been squeezing every work group for more, while paying less. On top of that, the company doesn't provide the work groups with what the employees have been asking for to do their jobs more effectively.
Angle Lake needs to wake up, but I'm not holding my breath. They are going to run this company into the ground with the toxic environment they have created. I guess it doesn't matter to the execs and the BOD as they laugh all the way to the bank. If things get really bad, then that's when they cash out and throw us at the mercy of whatever legacy they eventually sell us off to.
Alaska Airlines may not be around in 5 years if things keep going the way they are.
#83
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Joined APC: Dec 2005
Posts: 8,927
It's a leverage issue. Yes it's a robust pattern bargaining environment but how much are we really going to get? Looking at it from their perspective, why should they pay a penny more than what they are proposing? Ultimately, the only threat that exists is the issue of retention and attraction of pilots. AAG didn't throw money at Horizon out of the goodness of their hearts, they threw money at them because they had issues of retention and attraction, and those numbers were off the charts! Those two issues led to massive cancellations, loss of revenue, and hurt customer service. The story at AS/VX is entirely different.
We can try and sell the idea of retention issues and how people can go to other airlines, but the reality is there won't be a mass exodus. Mgt directly called us out by laying out actual attrition numbers since the merger closed. Only 20 AS and 5 VX guys have left out of ~2700. That's 0.7% attrition in almost one year. Worse case maybe the number jumps to 1-2% tops. You can't get younger and the average age of pilots at the combined company is easily in the 40s. It's not easy to start over, and most people have too much skin vested into this combined company to start over in a seniority-driven industry. So the retention issue isn't an issue - it'll be a non-event. The 2020 decade may be a different story once the 800-900+ retirements per legacy hits, but we're not there yet. This contract is a 2017-2020 contract and by then it'll be a new cycle of negotiations.
The next aspect is attraction for pilots to want to come work here. Even if we get the worst case Alaska pay proposal, there are still enough pilots who like the PNW, Alaska, or the west coast in general that they will come here. Just like they are coming to Spirit right now at $38.50/hr even though their quick upgrades are gone and their growth won't make them CAs for 7-8 years. As far as AS goes, it still doesn't change the fact that pilots from all over the place (regionals, corporate, military) will come to a LCC or a semi-legacy. Some will make a career here, some will try and use it as a springboard to a real legacy airline. Alaska will throw money at us when there is a problem. From the AAG standpoint, AS/VX do not have a problem. Horizon does, but not us.
We can try and sell the idea of retention issues and how people can go to other airlines, but the reality is there won't be a mass exodus. Mgt directly called us out by laying out actual attrition numbers since the merger closed. Only 20 AS and 5 VX guys have left out of ~2700. That's 0.7% attrition in almost one year. Worse case maybe the number jumps to 1-2% tops. You can't get younger and the average age of pilots at the combined company is easily in the 40s. It's not easy to start over, and most people have too much skin vested into this combined company to start over in a seniority-driven industry. So the retention issue isn't an issue - it'll be a non-event. The 2020 decade may be a different story once the 800-900+ retirements per legacy hits, but we're not there yet. This contract is a 2017-2020 contract and by then it'll be a new cycle of negotiations.
The next aspect is attraction for pilots to want to come work here. Even if we get the worst case Alaska pay proposal, there are still enough pilots who like the PNW, Alaska, or the west coast in general that they will come here. Just like they are coming to Spirit right now at $38.50/hr even though their quick upgrades are gone and their growth won't make them CAs for 7-8 years. As far as AS goes, it still doesn't change the fact that pilots from all over the place (regionals, corporate, military) will come to a LCC or a semi-legacy. Some will make a career here, some will try and use it as a springboard to a real legacy airline. Alaska will throw money at us when there is a problem. From the AAG standpoint, AS/VX do not have a problem. Horizon does, but not us.
Last edited by ShyGuy; 10-26-2017 at 02:44 PM.
#85
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Joined APC: Dec 2005
Posts: 8,927
It’s the same pool of pilots. A guy who has his app in at Spirit probably has his app in at Alaska and the 3 legacies as well. Regardless, currently there is no shortage of pilots applying to any of the big 5 airlines.
#86
Gets Weekends Off
Joined APC: Feb 2007
Posts: 1,286
I do agree that if you stay here for a bit and get some seniority under your belt that you may decide it’s not worth it to move on, and my seniority has not moved much in the last year so attrition is not a problem here.
#87
Line Holder
Joined APC: Feb 2009
Posts: 78
Empty patronizing rhetoric coupled with low compensation and little flexibility is management 101 for how to demoralize your work group.
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