xyz_pilot. Again the short answer of course is no, I would not be happy to go bottom of any list. But that is but one of the choices we are talking about in this case.
This is not a new thought for us at KLM. It has been part of our landscape for a long time. Consolidation is something that will probably happen. Don’t know if your time frame of five years is as hard as you state. A lot is involved before we can get to that point. For some reason aviation is still not treated as a “normal” business. Otherwise consolidation would have occurred many years ago. National sentiments, bi-laterals, and a host of other complicated issues hold this consolidation back. Even the bastion of free enterprise is helping out its airlines with unheard of amounts of dollars.
In my fifteen years at KLM I can’t remember a government cash infusion into KLM, of course we have not yet found ourselves in such dire straits. The American carriers need this cash to survive, but it shows that aviation is somehow different.
At KLM we are acutely aware of our vulnerability. We are too small on our own. At the moment the scene is in motion with our North American partner Northwest Airlines (and codeshare partner Continental Airlines) making overtures with Delta Airlines, and Skyteam. I am far from certain whether the DOJ or DOT or whatever DO will allow this cooperation to go forward as planned. Let along the pilot unions involved (they have veto rights I believe). IF it does go through, it has implications for Europe beyond KLM. Will Air France/Alitalia and KLM find common ground? All good airlines, but management culture is quite different.
If they did, it would put BA in an awkward position. KLM is the only mid-size airline still in play. SWISS is closest to KLM in size but has got more problems than you can shake a stick at right now. It does not represent the same added value as KLM does. KLM brings with it a hugely attractive asset in the form of Schiphol Airport (lots of room to grow). Open skies with the US (antitrust with Northwest Airlines), we are fully part of the EU. It is a “rich” airline (if there is such a thing) in the form of large cash reserves. And at worst we are in a break even year (barring unforeseen circumstances). We can’t be bought out without the consent of our government. They own less than 25% of KLM, but hold a golden share which allows veto rights over certain decisions (like a take-over). Can BA afford to let Air France and Lufthansa walk away with mainland Europe? It would make BA’s future pretty limiting I would think, an open skies deal between Britain and the States is only a matter of time. Sorry for going off topic here.
It will certainly be possible that under the right circumstances KLM will be bought out by someone. The position of us employees at KLM will be part of that negotiation. And yes it is possible that we would have to join the bottom of a new list. It would be messy whatever the solution. I would not like it if I was told to begin anew at the bottom of a large BA list or Air France list.
But I have been trying to say that in the case of KLM UK pilots this is not the only option. If my choice was bottom of the list at BA or Air France or remain with a new KLM in which over time all pilots would retire of leave some other way or join a new company with different T & C’s but set up to grow, I don’t know how I would feel. We all have enough change in our lives without the company throwing a monkey wrench into it. But at least there is a choice here, let BALPA fight over the details that is what they are there for.
From the emails being sent to me, and from Capt. Prest post, I understand that BA is handling the situation a little different with their regional pilots. Certainly not any better to say the least.
Regards, O.
Last edited by Otterman; 8th October 2002 at 09:17.