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Aviation Industry Updates: March 14, 2023

James Onieal : Mar 14, 2023 8:54:47 AM

Industry News Export

American Airlines Pilots Union To Take Strike Authorization Vote

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Last week, the Board of Directors reaffirmed a message from President CA Ed Sicher and Vice President CA Chris Torres. The board unanimously voted to employ the total resources of the APA to open a strike center and conduct a membership strike authorization vote.
The Allied Pilots Association plans to establish a strike center immediately and conduct a strike authorization vote in April. The vote will be concluded on April 30. The APA said in a statement;
"While our Negotiating Committee reports good progress, we remain steadfast and focused that now is the time to reach an agreement with American Airlines. Management must understand that they need to demonstrate the same level of commitment to bargaining that other airline management teams have shown in recent months. APA must also ensure it utilizes all its legal processes for contract resolution and improvement."
The association is cautiously optimistic about management's commitments and presence at the table. The APA remains committed to reaching an agreement with American Airlines management soon but reminds its pilots to understand that "actions speak louder than words" and must prepare for any eventuality.

We Just Got A Pilot With FOUR 121 Checkride Failures Hired At A Legacy

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Are Huge Pilot Pay Raises Sustainable For Airlines?

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Airline pilots at the legacy airlines have long been well paid professionals. However, that’s currently being taken to the next level. Recently Delta pilots ratified an unprecedented new contract. Now
American’s CEO has signaled that the airline plans to match this offer, and that senior captains at the airline will be making $590K per year.
With Delta and American agreeing on similar rates, United will certainly need to match as well. Soon enough, you can expect that senior captains at the major US airlines will be making over $500K per year, while senior first officers will be making over $300K per year.
Obviously airlines feel they have no choice but to offer these kinds of pay rates, both due to the pilot shortage, and due to the competitive landscape.
Pilots have a great opportunity at the moment to negotiate lucrative contracts. We’ve seen Delta pilots ratify a new contract that’s unlike anything we’ve seen before in the airline industry, and now we can expect that American and United will have to match.
However, at some point you have to wonder how sustainable these pay increases are. The incremental annual pay is more than American’s net annual profit prior to the pandemic. In the case of Delta, it’s worth nearly half of the company’s net profits pre-pandemic.
If you take a best case scenario look at this situation and hope there’s never another downturn, maybe this will all work out. And without the ability to easily adjust pay down going forward, one has to wonder for how long this will all last. Never mind that other work groups will now likely be looking for similar pay increases (though perhaps with less success).

One Mile At A Time

We Just Got A Pilot With A Gear Up Landing Hired At A Major

I don’t know why you haven’t gotten an interview yet… But, if you book a call, we’ve got the resources to figure it out and help you get one ASAP.

Pilot Union Warns NetJets Execs on Need To Up Pay Scale

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The NetJets Association of Shared Aircraft Pilots (NJASAP) warned that unless NetJets take more aggressive steps to attract and retain pilots, the fractional ownership provider faces the prospect of the operation becoming a stepping stone to airline employment. The warning comes as NJASAP is in the midst of midterm contract negotiations with the NetJets management team.
It also comes, however, as Delta Air Lines recently reached an agreement with its pilots on a contract that would up their pay by roughly 34 percent, with salaries reaching nearly $600,000 for widebody captains and $475,000 for narrowbodies. American Airlines has offered to match this.
NJASAP expressed concern that the management team is not taking proactive steps to preserve its workforce and pointed to a member survey indicating that 22 percent of NetJets pilots plan to leave within a year if contract negotiations are not satisfactory. "We are watching management teams across the industry—from legacy carriers to ultra-low-cost carriers—take bold steps to reinforce their competitive footing for top pilot talent," NJASAP president Pedro Leroux said. "We fear NetJets's intransigence on this industry-shaping moment will have very serious consequences for the brand's ability to deliver the unparalleled safety and service product for which our customers pay a premium."
NJASAP pointed out that its pilots provide service to more than 5,000 airports while legacy carriers provide service, on average, to 262 destinations. "NetJets stands alone here," Leroux said. "The unsurpassed number and location of the airports we service—many of which are uncontrolled fields in remote locations with unique risks—leaves zero doubt that NetJets requires a pilot force with unmatched experience and proficiency."

Aviation International News

Avelo Airlines Announces Three New Nonstop Routes

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The budget carrier, which was started in 2021, said it would fly into and out of underutilized airports nationwide.
Avelo has announced that it will begin service to Mobile, Alabama as well as Greenville-Spartanburg, South Carolina this spring. Both flights will originate from Orlando International Airport in Florida.
Both flights will run twice weekly, starting in late May. Avelo is celebrating the new routes with introductory one-way fares from $29.
Avelo will also fly between Greenville-Spartanburg and New Haven, Connecticut beginning June 22 with twice weekly flights on Thursdays and Sundays.
"We are excited to introduce South Carolina's Upcountry and Mobile, Alabama to Avelo's low fares, industry-leading reliability, and caring service. Travel is now more convenient than ever with the addition of these two small, fast and easy hometown airports. We look forward to welcoming aboard our new Mobile and Greenville-Spartanburg Customers," Avelo Airlines Chairman and CEO Andrew Levy said.

Travel Pulse

We Just Got A Pilot With 2200 Hours Hired At A Legacy

I don’t know why you haven’t gotten an interview yet… But, if you book a call, we’ve got the resources to figure it out and help you get one ASAP.