View Full Version : More info from DALPA (Delta Airlines)

26th Apr 2001, 04:33
The thing about this is that there is a sence around the lounge this might not pass. A lot of people (Senior Capt’s) are pissed that DAL Express still exists and that they added 737-700's to the allowed equipment. Add that to the 70 seat RJ on order getting grandfathered and a totally different scheduling section (which I really like... a 12 hour report time on reserve and a few extra days off/month ...

Ah well.

Update on DAL and the TA

Here’s my latest email from DALPA:

* Delta Connection Permitted Small Jets
* Limited to 50 certificated seats/65,000 pounds
Exception for up to 57 RJ-70s (current orders), plus one RJ-70, up to a
maximum of 75, for each 10,000 Delta block hours above the contractual block
hour plan in the contract (10,000 hours are equivalent to approximately
three mainline jets)
* Delta Connection Operations
* At least 85% of Delta Connection flight segments under 900 statute miles
* At least 90% of Delta Connection flight segments to operate to or from
* No more than 6% of Delta Connection flight segments between hubs
(exception in certain Florida operations)
* New limits on size of aircraft operated by non-affiliate Delta Connection
carriers for non-Delta Connection operations
* Delta Connection Growth Limits
* Delta Connection flying, as percentage of combined Delta Connection and
Company flying, may not be planned to exceed 34% (2002), 36% (2003), 37%
(2004 and after)
* Penalty for noncompliance on Delta Connection percentage: reduction in
planned percentage in following year; applicable percentage may not be
exceeded for any two consecutive years. Example: If the actual percentage
of Delta Connection flying in 2002 exceeds the planned 34% level by one
percentage point, then in 2003 the percentage limit of 36% is reduced to
* Permitted reset to increase permitted percentages if financial performance
tests or U.S. growth rate tests are not met. The reset would increase the
planned Delta Connection percentage to 35% in 2002, 37% in 2003, and 39% in
2004 and after.
These tests are: Company's operating margin for any two consecutive quarters
falls below 95% of the combined operating margin in the same two quarters
for United, American, Northwest, and Continental; or the Company has an
operating loss (excluding the effect of the retroactive costs of the PWA) in
any two consecutive quarters commencing with the first full quarter after
the date of signing of the PWA; or 3) the United States gross domestic
product (GDP) growth rate falls more than 25% below the Company's GDP growth
rate assumptions as set forth in the chart below:
(see web site for chart)
* Codifies company block hour plans of no less than 2,212,000 block
hours(2001), 2,267,000 block hours (2002), 2,346,000 block hours(2003),
2,443,000 block hours (2004 and after). These numbers are Delta Company
Flying, not including Delta Connection
* If Company does not achieve block hour plans, there will be a penalty for
noncompliance of one, two, or three percent of earnings to each pilot on
active payroll status of December 31 of year of noncompliance, depending
upon extent of noncompliance from greater than 0 up to 10%
* Permitted reset of block hour planned growth if financial performance
tests or U.S. growth rate test not met (same tests as for Delta Connection
percentages). The reset reduces the Company's block hour requirements to
2001: 2,099,000; 2002: 2,173,000; 2003: 2,256,000; 2004 and thereafter:
* International Flying
* Growth test for Company International Widebody Flying from 20,000 (present
contract: 15,500) monthly block hours (2001) to 24,500 monthly hours (2004)
* Penalties for noncompliance include restrictions on international partner
growth and limit on international flex cap
* Growth targets are subject to exception for"force majeure" (circumstances
beyond company's control) (same as present contract). Example: grounding of
a fleet by government agency. Force majeure specifically does not include
economic or financial circumstances, state of the economy, Company
profitability or unprofitability.
* Company to oppose change in cabotage laws
* Company cannot place its code on foreign carrier picking up passengers or
cargo within U.S. with U.S. destination
* Profit/loss sharing agreement with international partners
* Limited to carriers whose home countries are also served by Company
* No reduction in Company flying between the two countries compared to
period before profit/loss sharing agreement, subject to existing force
* Pilot base outside U.S. must be covered by contract Railway Labor Act
without regard to visa or immigration requirements
* Furlough Protection
* Protects all pilots on seniority list as of Date of Signing of contract
(subject to existing force majeure clause, same as above under International
* Fragmentation Protection
* Applies in transaction in which company disposes of aircraft, route
authority or slots (net of acquisitions) that produce at least 22.5% of
operating revenue, block hours or ASMs
* Transfer opportunity for Delta pilots to acquiring carrier, with seniority
integration rights
* Change in Control/Successor/Affiliate
* Control level reduced to 30 percent ownership (increased to 49% for
company interest in a foreign carrier)
* Delta pilot block hours not subject to reduction during period between
acquisition and operational merger, subject to force majeure or government
* In case of acquisition of control over Company, ALPA can serve a Section 6
notice or extend agreement for up to three years with 3% increases each year
* Maintain seniority integration rights under present contract
* Labor dispute involving code-sharing partner
* Company and affiliates cannot train pilots to scab the partner's
operations, except affiliate can train for its own operation
* Pilot Board member:
* Remains at status quo
* Remedies
* Timetable for expedited system board decisions under Section One

Compensation (see link below)


* Rates represent 1% more than UAL on all aircraft for the entire duration
of the contract
* Rates on 5/1/04 vary from 24% to 39% over present book on the mainline and
63% at Express (note: 4/22/01 code-a-phone message contained typo regarding
pay rates; incorrectly stated range was 24% to 34% rather than 39%)
* Increased first year pay from $36.03 to $48 ($50/52/54/56 in 01/02/03/04
* Increase new-hire pilots training pay from $2000 to $2,750 per month

* Full retroactivity on wages back to 5/1/00
* Mainline B-737-200 retro pay based on B-737-300 pay rate
* Full retroactivity on International override back to 5/1/00
* ALL RETRO PAY IS PENSIONABLE ( any pilot who retired on or after May 2,
2000 or later will receive a retro check and have his retirement pay

* B-757, B-767-200 and B-767-300 combined at B-767-300ER rates
* MD90 rate matches B-727 rate
* International override increased from $6.50 to $8.00. Override applied IAW
present rules
* Night pay of $15/$10/$5 per hour for Capt/FO/SO for all ops between 2300
and 0559 airport of last departure time

Section 3F (New Aircraft Models)
* Company to notify ALPA of intent to acquire new aircraft model
* Meetings to negotiate pay and work rules to start within 15 days, to last
no more than 90 days
* If no agreement, either side may submit issues to five-member system board
of adjustment
* Board must render decision within 60 days
* Board to give controlling weight to aircraft mission, rates of pay and
work rules of most closely comparable aircraft models in terms of speed,
passenger capacity, range, fuel economy and gross weight and at the three
other largest domestic air carriers
* Company can establish pay and work rules for training and flying pending
outcome of negotiations or arbitration
* Agreement or award retroactive to date of first conversion

Delta Express
* Some differences from the mainline still exist but are now reflected in
each contract section where appropriate. To compensate for the pay
differential, there is a five hour thirty minute duty period average for
Delta Express enabling a pilot to be credited with more flying per duty day.
* Provide 62.9% pay raise over three years for pilots in Delta Express
categories as follows:

Current Rate 5/1/00 5/1/01 5/1/02
5/1/03 5/1/04
126.95 148.19 161.08 175.27
190.42 206.79

* Allow the introduction of B-737-700 aircraft to be used on Delta Express
system with pay as follows:

Current Rate 5/1/00 5/1/01 5/1/02
5/1/03 5/1/04
N/A N/A 178.89 194.65
211.47 229.67
* Establish Designated Monthly Maximum (Cap) of 75-85 hours
* Pay guarantees as follows:
o 75:00 reserve guarantee
o 5:30 Duty Period Average for rotation and line construction resulting in:
* 15 days max for 85 hour cap
* 13 days max for 75 hour cap
o 5:30 DPA "look back" for regular line holders raised from 4:30
o 5:30 DPA "look back" for reserve line holders
* 14 duty periods breaks guarantee
* 15 duty periods = 82:30
* Pilots rerouted to mainline paid as follows and mainline work rules apply:
o B-737-200 pilots paid mainline B-737-300 rates
o B-737-700 pilots paid B-737-800 rates
Premium pay increased from 1.5 to 2 times hourly rate
* Eliminate reserve system differences (DEX same as new mainline rules)
* Elimination of X-day proration for training
* Daily/weekly/monthly/quarterly flying limits eliminated (cap now in place)
* Provide re-bid mechanism to ensure proper seniority of pilots in DEX
category in consideration of higher pay and improved work rules

* Effective 4/1/01 Vacation Bank increased from 3:30 per day to 3:45 per day

* 401K company contribution increased from 2 to 3% (up to the salary cap) -
no pilot contribution required (this increase will be reflected in your
retro check)

* Bank and Bow-wave paid after retirement now added back for FAE calculation
(applies retroactively)

* All payments IAW with old Profit Sharing Plan now included in retirement
FAE (applies retroactively)

* No MPP off-set to Company provided life insurance

* Elimination of Pre Retirement Survivor Benefit charges

* Social Security offset reduced to $259 for all pilots hired after 1982

* Improved benefits for survivors

* Eliminated PAA/WAL disability reduction

* Eliminated potential gap between short-term and long-term disability

* Added contingent annuitant option to retirement plan benefit

* Brokerage Link available for mutual funds through Fidelity

* Special exception for pilots who die after age 60 and prior to their
annuity start date

* Established Benefit Review Board to hear retirement and insurance disputes

* Amendable 5/1/05
* Implementation schedule for various issues