Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
1) If you have no money, it doesn't make sense at all. I don't even understand how it is possible.
2) They may win the battle with the unions, but AA problems won't be over with or without unionized workforce.
3) One point nobody seems to address is why AA is that big? Why were all the acquisitions and mergers over the years permitted? What sense does it make for a struggling company to buy others and become so big it can't fail?
1) They have arranged financing.
2) They certainly have not won the battle with the unions as evidenced by yesterday's bankruptcy filing.
3) AA is the third largest US airline. There have been a bunch of mergers involving other airlines recently, but not American.
Not when they already had a contract and it's simply been amended over and over again. It's not like they have gotten the opportunity to just start from scratch in a long time - until now.
I don't see how anyone could defend these unions...
American Airlines' unions will learn the hard way | Mitchell Schnurman | Dallas Business... (http://www.star-telegram.com/2011/11/29/3559159/now-american-airlines-unions-will.html - broken link)
"A couple of times in the past two months, a deal appeared to be close. Once, it got sidetracked after a new demand that traveling pilots be guaranteed hotel rooms away from ice machines."
God forbid the pilot actually sleep and be well rested before a full day of flying. That provision wouldn't cost the airline anything, yet they choose to fight it why?
Southwest's pilots are the highest-paid in the industry since they've never filed a BK, and they've carried more passengers domestically than any other airline for four consecutive years.
American may need a merger partner, and US Airways is the only one left.
American's cost per mile flown are far higher than Southwest, due to onerous outdated work rules. BK was the way to go; Board per NY Times made their move when latest offer was not allowed by union execs to go up for a vote. All the other old-time hub/spoke airlines have gone through BK<,most are stronger than before it. This is American's only chance.
American Airlines... an excellent example set by corporate America for all the wrong reasons. It is why I chose not to book my international flights this weekend on American Airlines, but British Airways even though it was slight more expensive and the flight is actually operated by American Airlines... only to escape the nuisance that is AA management.
Once again, it is the UNIONS that have bankrupted another company. Labor costs are just too dang high to be competitive.
That's it! Who provides financing of such magnitude to a failing company? Don't they have enough bad loans? Someone had to chime in to veto that!
Quote:
2) They certainly have not won the battle with the unions as evidenced by yesterday's bankruptcy filing.
Now they are trying to do exactly that through the bankruptcy process. But again, their troubles are so big that it won't solve the root problem. AA should reorganize, cut all unprofitable flights and exit all airports that are too expensive to operate from. Their size is the reason they are so hard to fix.
Once again, it is the UNIONS that have bankrupted another company. Labor costs are just too dang high to be competitive.
Maybe you and the other Conservatives are right... maybe... so... given that.... what are "competitive" wages do you think... go for it... throw out a ballpark figure for pilots, cabin staff, baggage handlers and mechanics...
Maybe you and the other Conservatives are right... maybe... so... given that.... what are "competitive" wages do you think... go for it... throw out a ballpark figure for pilots, cabin staff, baggage handlers and mechanics...
H
Bottom line is that we can't compete in the world market. We must either accept starvation wages and drop nearly every regulation or adopt protectionism. All this in-between nonsense is just that.
Around here certified aircraft mechanics start at $8 per hour and top out (I think) around $20. Who, in their right mind, is going to pay for all the training and take all the responsibility for that pittance?
American airlines base problem is they bought up equally decrepit airlines instead of upgrading their fleet as more efficient aircraft became available. Workforce costs were not that much greater than any other airline but their fuel and maintenance costs broker their bank. That was a management, not a labor, failure.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
