Billy,
you are saying:
"I'm not judging anyone, merely recognizing that having pilots on property doing the same job for less hurts us."
Give me ONE example where introduction of C did hurt you! One proof, one piece of evidence, one example, ONE!
you are saying:
"Pilot cost is approximately 5% of any airline's total cost; fuel being the highest at 50%. The company pissed away over a billion USD on fuel hedging and was still profitable. Can you explain how CX would lose money/shareholders based on this evidence?"
You don't understand the business, with all respect. It doesn't matter if department A loses/spends more, management will always look to optimise cost in EVERY department ( and they should!). It is totally illogical to say : these guys in the fuel dept lost money, so we want to spend more as well. If there is any consequence from the hedging loss, then the opposite!
Also you don't understand what makes profit a good return on investment. The absolute figure is totally irrelevant! It is the ratio to the invested capital that is important, it is relevant what the average ratio in the industry is, what the ratio is at our competitors.
Imagine you would say to Apple sharesholders, guys, good news, we made 1 Billion profit in 2016. You understand???
Fun fact: all pilots on B would cost the company an extra 1-2 Billion per year. A third of an already meagre profit.
What is it that you don't understand???
Last edited by Sam Ting Wong; 9th Aug 2016 at 01:34.