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Aviation Industry News

Aviation Industry Updates: July 5, 2020

By Industry News

Airline Recovery Slower Than Expected | Who’s Winning? Who’s Losing?

KEY POINTS:

  • “The recent uptick in coronavirus cases in the U.S. has many wondering about the economic impact of the continuing pandemic, especially how it plays out for the travel industry.”
  • “Goldman Sachs now expects the recovery in air travel to take at least an extra year — to 2023 instead of 2022 — to return to 2019 levels, according to the latest update to the firm’s COVID-19 recovery forecast”

Read More

Aviation Industry Updates: June 28, 2020

By Industry News

Delta Preparing to WARN 2,558 Pilots | Just Another Negotiating Tactic?

This past Friday (June 26) Delta Air Lines and DAL ALPA released LOA #20-02, “2020 Voluntary Early Out Program (VEOP)” to “incentivize pilots to retire in lieu of a possible involuntary reduction in pilots.”

In a separate memo from Director of Flight Operations, John Laughter, he reiterates his message from previous communications “early retirements alone likely won’t be enough to avoid pilot furloughs altogether.” Read More

Aviation Industry Updates: June 14, 2020

By Industry News

American Publishes Preliminary Displacement | Why So Different Than United & Delta?

The Preliminary American Airlines Displacement award for the September 2020 vacancy run has been published and it affects approximately 2,291 pilots. The final award is expected to be published on June 18th with an effective date of August 31, 2020. We will continue to monitor the airline and Allied Pilots Association union (APA) communications, as well as input from our clients, to provide you with accurate final results.

Bottom line, if you’re an airline, military, or corporate pilot looking for work, American’s displacement bid is optimistic news for you. While American may very well furlough enough pilots to significantly increase competition they may still furlough less than United and Delta. We will find out more as their bid process progresses. Read More

Aviation Industry Updates: June 7, 2020

By Industry News

United Publishes Second Displacement Bid | Management’s Math Inconsistent

Disclaimer: Our writers have spent the past week painstakingly verifying all information contained below and recognize a few limitations in United’s data. United does not publish dates of hire, only seniority numbers on their seniority list. Because of previous mergers, seniority numbers don’t easily correlate to dates of hire. Additionally, United’s bidding system is very complex which leads to constantly changing information. As such, we commit to keeping you updated as information changes and recognize some information may become inaccurate as bidding progresses.

United published their 2nd Pilot Displacement Bid on June 4, 2020 uprooting approximately 1,591 pilots. According to a memo published by United Airlines ALPA “this displacement was reduced more than 50 percent from what was originally planned only hours ago.” This comes on the heels of United’s first bid which occurred on May 2, 2020 and displaced over 4,700 pilots, as part of the company’s plan to cut the airline by 30%. Read More

Aviation Industry Updates: June 2, 2020

By Industry News

Delta Publishes 7,000+ Pilot Displacement Bid | What Does This Mean for Furlough?

KEY POINTS & HISTORICAL CONTEXT:

  • This displacement will affect 7,096 pilots of which 6,633 of those pilots will be displaced by force, not choice. This equates to over 47% of the Delta seniority list.
  • Anyone hired after December 2016, within the past 2 years and 3 months, will not be assigned an aircraft. This means approximately 2,327, 16% of their pilots, are in severe danger of possible furlough.
  • For historical comparison, post 9/11, airlines saw a 30% traffic decline, similar to the projections airline executives are currently making for the Covid-19 recovery.
  • Prior to 9/11, if you were to combine their seniority lists, Northwest and Delta employed 13,753 pilots. Post 9/11 they furloughed a combined 1,988 pilots which was 15% of their seniority list.
  • Currently, the most junior Captain at Delta was hired in mid-2018. After displacements and furloughs are complete, a junior Captain will be around a February 2001 hire date.

BOTTOM LINE: Read More

Aviation Industry Updates: May 24, 2020

By Industry News

Leisure Travel on the Rebound? | ULCC’s Show Signs of Recovery

If you’ve been fortunate enough to fly in the past few days I am sure you noticed what I have, the seats are starting to fill up again. It seems one sector is starting to tick toward profitability, or at least toward a halt of cash burn. Many are saying that the recovery in air travel will be led with domestic leisure travel; are Low Cost Carriers going to lead the way to recovery? Read More

Aviation Industry Updates: May 17, 2020

By Industry News

Delta Publishes Displacement Bid | What Does This Mean For Furloughs?

Editorial Disclaimer:

The below post references numerous facts and figures sited by Delta in their recent May 2020 Advance Entitlement/Surplus Bid Posting. When reading the bullets from the Delta memo, you will notice the numbers published are confusing at times. For instance, Delta has stated in an open company memo that they are overstaffed by 7,000 pilots come this fall, yet in this recent bid posting they go on to say that by Q3 2021, they will be overstaffed by between 2,500 and 3,500 pilots. Please read carefully and if you have any questions, don’t hesitate to reach out. Read More

Aviation Industry Updates: May 10, 2020

By Industry News

United Reduces Pilot Displacement Numbers | How Will This Affect Furloughs?

This week saw a reversal in United Airlines initial displacement award according to comments from our clients. Last week United Airlines and the UAL ALPA MEC published memos to their pilot group outlining plans to displace 5,007 pilots. The pandemic of COVID-19 has resulted in a massive drop in demand for the airline industry. Read More

Aviation Industry Updates: May 3, 2020

By Industry News

United Publishes 5,000+ Pilot Displacement Bid | What Does This Mean For Other Majors?

KEY POINTS:

  • United has announced the largest displacement in its history which will impact all pilots in one way or another.
  • The displacement notice stated this is likely the first in a series of changes to pilot staffing that will ultimately be driven by demand.
  • More than 5,007 total pilots were named in displacement letters. Read More