PPRuNe Forums - View Single Post - Virgin takes full control of Tigerair
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Old 20th Oct 2014, 23:29
  #54 (permalink)  
Open Descent
 
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A slightly different take on this.

Virgin has now effectively had it's flight operations split down the middle. Half the fleet and its crew are VA the other half (approx) known as VAI. VA crew only operate VA aircraft to VA destinations except Bali.
VAI crew will only operate VAI aircraft but still service most destinations (not all) in the Virgin network including Bali.
At every stage we were told this process was not the preferred option of the company, was going to cost a bomb to set up and manage due to the inefficiencies of having crew unable to operate designated aircraft in the fleet and the resultant inefficiencies that would create.
It was originally envisaged that 5-7 aircraft would be dedicated to VAI. That number is now going to be closer to 30.

Would the company go to all the trouble of this JUST to retain the ability to service DPS?
Personally, I don't think so.

We know Virgin has a complicated company structure that allows it legitimate access to foreign investment through what can be best described as loopholes in the system. Could this be yet another layer in the company structure that allows JB to do or have access to something he wants that his competitor can't?

Interestingly the QF/J* comparison to VA/TT is a little bit skewed. TT terms and conditions, whilst well ahead of J*, aren't as worse off when compared to VA as J* is when compared to QF. The VA/VAI operation is covered by the same EBA so no cost savings there. The VANZ integration into VAI (operationally) remains a mystery so will be interesting to see how that pans out.

I guess what I'm suggesting is I don't believe the real reason behind the VA/VAI setup has revealed itself yet, nor has the reason behind the tiger decision.
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