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Old 02-19-2012, 08:52 PM
  #89741  
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Originally Posted by clancy
Bill L. Bag fees are not some sort of new discovered revenue that goes straight to the bottom line. Delta may have had to lower fares to get on the first page of Expedia, and used the bag fee to recapture lost revenue. I'd guess the part of bag fees that makes it to the profit line is the amount Delta saves in taxes.

Southwest management hasn't asked their employees for a pay cut. Yet.

We should get a bigger up front pay raise than 10%. That's too low.
I wanted to see the full deal, and no, I don't think 10% upfront is enough, but if 15% for each additional year (next three) was offered after the first 10%, due to debt payments being paid off by 2013, I would consider that. The pay needs to go way up. And those bag fees were never really a profit maker until a couple years ago, when any bag that was checked had a fee. Two years ago there was an extra $952 million in one year, which I would call significant. Since then, 10 fare hikes occurred last year, and so far 2 this year, which has made up for a lot of the lost revenue. Throw in $2 billion a year in debt payments paid, and I would say the last couple years have been very good. That SHOULD help our cause, unless we are "managed" to think otherwise.
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Old 02-19-2012, 09:01 PM
  #89742  
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30% total package, + scope, is my minimum yes. Nevertheless, I think it's wrong to shout someone down when he opines that a lower number is more reasonable. Fight him on the numbers, sure. But a simple dismissal robs us of the opportunity to consider his point.
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Old 02-19-2012, 09:16 PM
  #89743  
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Originally Posted by FrankCobretti
30% total package, + scope, is my minimum yes. Nevertheless, I think it's wrong to shout someone down when he opines that a lower number is more reasonable. Fight him on the numbers, sure. But a simple dismissal robs us of the opportunity to consider his point.
We're right in line. I'll sign yes on 30% with a significant scope gain.

30% without? Notta chance.
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Old 02-19-2012, 09:49 PM
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Originally Posted by FrankCobretti
30% total package, + scope, is my minimum yes. Nevertheless, I think it's wrong to shout someone down when he opines that a lower number is more reasonable. Fight him on the numbers, sure. But a simple dismissal robs us of the opportunity to consider his point.
I see what you mean, but he never did give good reasons. We all see the financials, and comparing us to US/AA is exactly what management and ALPA as of late has done. SWA hasn't asked for concessions either. Looking at current financials for THIS company, your own wishes should be a minimum.
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Old 02-20-2012, 04:27 AM
  #89745  
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Originally Posted by BigGuns
Let us do some simple yet liberal math and understand the economies of scale here at Delta... Delta operates 800,000+ flights annually (not counting DCI).


$35,000 /yr raise
x12,000 pilots 1
------------------------
$420,000,000
/800,000 flts per year 2
------------------------
$525 per flight
/ 75 1st seats sold 3
------------------

$7.00 a ticket on 1st 75 seats sold to cover the pay increase 4
  1. 12,000 is more than the acuatlly number that would get the raise. (driving the cost lower)
  2. 800,000 does not including the DCI flights. (driving the cost lower)
  3. Delta has 710 aircraft with an averaged seat count of 174 seats. So with 80+% load factors Delta could easly spread that cost out over even more seats. (driving the cost lower)
  4. Without even including DCI in ticket sales cost can be spread out further:
  • $52.5 on 1st 10 seats sold,
  • $10 on 1st 53 seats sold,
  • $5.25 per ticket on 1st 100 seats sold,
  • $4.20 on 1st 120 seats sold, the more sold the lower and lower the cost.
These numbers are higher than the real cost when you add in DCI tickets, and real number of pilots on the payroll. Cargo and other ancillary revenue could also drive this cost even lower.

Delta Air Lines can afford a big pay raise, and ALPA needs to be communicating this type of info to its membership!!!
You're managing expectations upwards.



Disclaimer... public math about to happen:

BTW, $35K raise is pretty good but the 401K on top of that will add more. Unless we're willing to go with less 401K contribution? I don't know if I am. But that'd be a 22K raise if it was done that way.

So I say 35K plus 14% or $40K gross plus I'd guess another 15% in FICA, medicare and other taxes so $46K per pilot x 11,000 (say 1K are on mil leave or NBC) and it comes to $500K or so cost to the airline and $35K in our pocket.

Say a typical 7 year NB FO on the 738, at min pay they'd make $133K and $158/hr. We'd best FedEx NB pay for same years by $14k and SWA by $3K and increase costs here by $500K.

So I guess that's a 32% raise to get $35k in base pay? 32% is in the range of that DPA survey of 1,000 or so pilots so may be it's a good sampling of what was demanded by the pilots in the ALPA survey.

All in favor say Don't Kill Cats for Money.
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Old 02-20-2012, 04:31 AM
  #89746  
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Originally Posted by 80ktsClamp
We're not here to manage your expectations, slow... only you ours.
That's funny.
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Old 02-20-2012, 04:58 AM
  #89747  
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Originally Posted by Jesse
Another tactic that works well in the effort to lower expectations. Not on your behalf, but on the one who "leaked" it.
Make an effort to call your reps and perhaps the reps from several different bases. Unless they are all great liars which means were in deep trouble anyway you will find they are very consistent on where the surveys came in. Their numbers also match most of the guys I fly with. They are not going to tell you exact numbers but will give you a good idea. The one thing that surprised me is the numbers matched up well with a earlier phone survey. I thought that with the bigger profits since then the numbers would go up.
As I have said on here many times the companies opener is going to stun pilots. At best it will be cost neutral and may even be concessionary. RA feels that we are paid about right at the moment and has no plans for a major raise.
As far as some of the posts on the NMB they are all ready heavily involved in our contract and openers have not even been exchanged. You can view the powerpoint presentation they gave the MEC in JAN on the DALPA website. They understand that the Delta contract is a watershed contract for the industry. They are going to stay closely involved even before it gets officially remanded to them. As I mentioned in other posts this contract will be won or lost behind the scenes in Washington DC and the ATA and Company have more money to buy influence. That is why DPA would be a utter failure. They would have zero influence and it takes years to even decades to build that up. The fact ALPA was able to push through a expensive piece of special interest legislation in Jan gives me some hope however!
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Old 02-20-2012, 05:08 AM
  #89748  
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.............
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Old 02-20-2012, 05:28 AM
  #89749  
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Sailingfun,

Any "color" on scope, either from the Company, or our MEC's, perspective?
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Old 02-20-2012, 05:41 AM
  #89750  
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Originally Posted by FrankCobretti
Y'ever notice that when anyone opines that we may have to settle for less than 100% raises, corvettes, and comfort visits from Bastian's girlfriend, he gets accused of "managing expectations?"
There's a big difference between 100% and that mysterious number that's unknown but rumored to be low.

Speaking of, since DALPA loves printing out "Rumor Control" papers for my v-file that tell me ALPA's losing a class action law suit wasn't really a loss in the real sense, and by the way ALPA would never do anything other than put every pilot's interest first and foremost even if it means less power for ALPA, then why not one for something about the survey? Rumor Control: DALPA will not reveal the survey results, but through leaks we believe we can get you to accept they're what we hint they're close to, which if you're a reasonable individual you'll accept that a pilot is happy working for what he makes now plus a cola increase.
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