NetJets US furloughing ?

[JimJoness]

Heard that NJ US is furloughing around 500 Pilots. Someone knows if there is any truth in that ?

[merlinxx]

Maybe WB is gonna relocate them to his railroad:ugh: Tis a not very nice situ in the US right now, and it's going to get allot more hurtful:( Just talk to anybody that was in MCO for the big bast last month, loads of "we're at the end, no more recession", total load of tosh:mad:

Hope all the folks find something very, very soon:ok:

[JimJoness]

Wondering what will be going on in NetJets Europe then ? Sounds unlikely to me that they reduce workforce in their "home country" and leave the european part untouched :rolleyes:

Tough times though, and winter approaching which is probably the rather calm season in this business:confused:

[CaptainProp]

Question of reducing work force in Europe vs US operation is irrelevant as EU pilots cannot work in US and vice verse.

CP

[Flintstone]

Don't see your point Capt Prop. If NJA are suffering and NJE are are suffering they will lay off crew if they have to.

JimJoness is right. How could an (ostensibly) american company lay off people at home and not abroad? Only if there were very extenuating circumstances like the european arm performing very well but we know that's not the case.

[PPRuNeUser0215]

Not saying that it is a fact but more a personal observation. So when the European target to reduce its workforce was 30% and the US 20%...
And when the Europeans achieve that target and the US did not... Unless they included parts of the company (NJI etc)) which weren't orginally included.

Or maybe, NJE will go down that road too... Spring will tell.

[Flintstone]

Hmmmmm. So did NJA get away with not meeting their target because there was a little home team favouritism or might the union have had something to do with it? Wasn't the 20% figure agreed with the union before it went ahead?

Home team syndrome then?

[mseyfang]

500 to be laid off, "most" in US. NetJets plans to lay off nearly 500 pilots | The Columbus Dispatch (http://www.dispatch.com/live/content/business/stories/2009/11/05/netjets_layoffs.html?sid=101)

[V12]

500 aircrew = 100 parked jets?

And the announcement comes just 24 hours before Berkshire announce their 3rd qtr results, due Friday.

[CaptainProp]

Flintstone - Correct. But just because NJA would be showing negative figures, NJE would not start letting people go, unless they too showed negative figures.

So....

Wondering what will be going on in NetJets Europe then ? Sounds unlikely to me that they reduce workforce in their "home country" and leave the european part untouched

No, reducing work force in US has nothing to do with reducing or not in EU. If they need to reduce in US they will, same for Europe.

CP

[jetopa]

Hasn't NJE already done so in the past many months? Am I missing something?

[south coast]

I believe NJ will have a bright future, however, that may mean some more pain in the short term, but I think our new leader is and will make sound decisions based on what is good for the company and it's future and not the farcical management style adopted previously which has appeared to concentrate on short term bonuses. (almost identical to the banking management style).

I am positive about a new NJ!

[JimJoness]

how comes you are positive about it south coast ?
I've got no doubt that Mr Sokol is a very wise manager. Maybe one of the best guys you can get. But still, for the time beeing its just a pitty.

What makes you think so positive about their future despite the fact that you work for them and you like the company ?

[Flintstone]

CP

Thanks. Er, I think. It was this bit that threw me. as EU pilots cannot work in US and vice verse I think everyone knows that so thought you were alluding to something else.

More a problem with reception than transmission I think ;)

[PPRuNeUser0215]

One can be positive about the company... Or postive for its employees.

Not necessarily the same thing these days. At least for a good portion of employees.

[Damianik]

The thing is, nowdays the only thing that companies have the guts to do is reduce basic workforce instead of starting with managment own expenses.
So he is positive because 500 pilots have been laid off for the time being and so the company is lighter by a quarter of its flyboys and can now recover.
the thing is, do the 500 guys are ok with being the reason for the recovery, but also being left out of it for at least 3 years?
I am in NJE with a voluntary option already since 4 months...if they lay me off now it would be double damnation...laid off and also with half salary for the past 4...just like they did with the yankees? (cancellation of voluntary programs, i wonder, did they get back the full salary that they gave away before getting kicked out?)
Small talk i know, but what is left for us small boys to do?
D

[south coast]

Thanks for trying to explain why I am positive Damianik, but the reason I am positive is because some serious planning issues have been identified and I believe will be rectified to allow NJ to move ahead profitably and efficeintly into the future.

As many have said for some time now, they didnt believe the company was being run or managed correctly, thats a matter of opinion, but it appears that we now have a leader who is capable and serious about 'sorting' out NJ.

I am positive about the future, but that doesnt mean I dont think there could be futher lay-offs, and for someone who is naturally cynical, I am positive about NJ.

[JimJoness]

Damianik, put the numbers straight. You get 60% of you Salary, not 50% !

[crjcrj]

In my jobshare off year I get about 47%...
Full net Salary was incl. average Per Diems €4500,- and now I get €2110,- net. It's crap but still a lot better than being sacked/furloughed in the current market conditions. I don't understand why they can't come with a deal like this in the US. Maybe it's because of the new Management....

[Damianik]

i get 50% of my last year's pay at my old airline, job that i left because netjets said "we need you, you cannot turn us down" in november 2008. you guys know the story.
South sorry if i sounded pissed at your comment, i tend to agree with you on the company future and i am happy for that, as when i hear of the 600 mln Ryanair is making a year, also i am happy for my ex collegues, it is a matter of being proud of your own company as well.
Anyways lets move on,
D

[Hankers]

3rd Quarter results from berkshirehathaway.com published 6th November.
In 2009, NetJets’ revenues declined $471 million (41%) for the third quarter and $1,495 million (42%) for the first nine months as compared to 2008. The declines reflected a 79% decline in aircraft sales as well as lower flight operations revenues primarily due to a 24% decline in flight revenue hours. NetJets produced pre-tax losses in 2009 of $183 million for the third quarter and $531 million for the first nine months. The pre-tax losses in 2009 included asset writedowns and other downsizing costs of $181 million for the third quarter and $436 million for the first nine months. NetJets owns more planes than is required for its present level of operations and further downsizing costs will be incurred in the fourth quarter. However, management believes that NetJets is likely to operate at a modest profit in 2010, absent any further deterioration in the U.S. economy or negative actions directed at the ownership of private aircraft.
Staggering numbers :eek:, however they seem confident about turning a profit next year.

[ericthepilot]

NetJets To Furlough Nearly 500 Pilots
Fractional provider NetJets late last week announced that it will furlough up to 495 pilots from its North American fractional operations, mostly from NetJets Aviation but also a “small number” from NetJets International, the division that flies Gulfstreams. The furloughs will take effect on January 15. “This difficult decision resulted from a comprehensive analysis of current and projected flight demand,” said NetJets chairman and CEO David Sokol. During an October 26 CNBC Squawk Box episode (http://www.cfmediaview.com/click/click.aspx?db=8&obid=11899951&msgid=501&linkid=9&redir=http://www.cnbc.com/id/33491407), Sokol said that NetJets “customer usage is off 15 to 20 percent. What we’ve had to do is get the cost structure in line with today’s economy and the needs of the owners. Our aircraft have to be revalued to current market values, and in many cases they’re down as much as 40 percent.” A spokeswoman for NJASAP (NetJets Association of Shared Aircraft Pilots) said the union is providing resources for affected pilots, including a dedicated Web site with furlough information and a list of unemployment benefits, as well as weekly teleconference calls for affected employees and their spouses. NJASAP president Mark Luthi said that NetJets is phasing out its Cessna Encore and Ultra fleets as they come off customer contracts. “How quickly they do that, I don’t know,” he told AIN.

link to the interview

Sokol to CNBC: Last 18 Months May Be Buffett's 'Most Successful' Period Ever - Warren Buffett Watch - CNBC.com (http://www.cnbc.com/id/33491407)

may the force be with you ...