". . .But if we all agree that age and ability are unrelated, then let's get rid of the seniority system in a hurry and compete amongst ourselves for the jobs and salaries that are out there."
Seniority [date of hire] is based on length of service and has nothing to do with age and ability. In fact, many airlines have very senior "permanent F/Os" who could not qualify for the left seat. But these F/Os are still "senior" to junior F/Os.
It's not a matter of competing for jobs, it's about a privilege of bidding for base assignments, for vacation and for rostering.