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Pilots who went on strike let go by PHI

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Old 18th Oct 2006, 08:57
  #341 (permalink)  
 
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I have allways had to look out for myself so I guess I'm just not the union "type". I don't personally have anything against them but they really are not going to have much effect on my choices and there are plenty of people like me in this part of the world.
Fortunately for you and all the people like you, you all get the benefits from the union raising the industry standars without having to make an effort yourselves. Hopefully one day all of you get a wakeup call like the one Bob Barbanes describes so well on his last post, and I truly believe that will happen, because wisdom often comes with age..

Of course, your support to the union right now would mean that the terms and conditions would improve al lot faster, not only in GOM, but also worldwide, but Rome wasn't built on one day..
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Old 18th Oct 2006, 10:57
  #342 (permalink)  
 
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B Sousa said, "Perfect answer to the Helicopter Industry. Owners/Operators need pilots like parts and they are the easiest part to replace."

True of every job in every industry, frankly. Funny how the "free market" kinda sucks when you are one of the cabbages on the store shelf, huh. Strikes work when the cabbage supply is controlled by one side of the economic balance, and they fail when they are controlled by another.

It is interesting how pink you and SASless get to sounding when it affects you directly!! I had always wondered how hard-working pickup truck drivers got to be such rabid conservatives, and then I realized that Ron Reagan got you all to see the world through rockerfeller-colored glasses, a political miracle. Those glasses are only just now starting to chafe. I heard a shop worker talking about the "death tax" once and laughed as I told him there was no inheritance tax on the first 3 million he left his kids, so his anger at the "death tax" made me need to ask him if I could borrow ten thousand or so! He was surprised, but still turned me down.

Welcome to the real world, Bert! Next you will be posting for a higher minimum wage, I will bet. I will send you the link to the Democratic National web site.
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Old 18th Oct 2006, 14:27
  #343 (permalink)  
 
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Isn't that one of the really great ironies of the Gulf's unionized pilots. It probably woundn't be a stretch to say that 90% of the pilots are conservative if not downright Republicans. Mention gun control, for example, and be prepared to run. Unionization had nothing to do with politics and everything to do with no pay raises for years - actually a decade - while the companies made record profits. So, with no hope of the situation getting better, the pilots did what any good free market believers would do - they got together and raised their price.
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Old 18th Oct 2006, 14:52
  #344 (permalink)  
 
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Call it a confederation instead of a union to make all the NRA guys happy then
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Old 18th Oct 2006, 16:56
  #345 (permalink)  
 
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Med Trans, PHI?

Hey folks!
Pardon the noobie question:
Is Med Trans owned by PHI?
If I apply for a job there, am I crossing the picket line?
I won't do that so I need to know...
Thanks!
Beez
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Old 19th Oct 2006, 00:45
  #346 (permalink)  
 
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Most of the pilots I know think Bill O'Reilly is the Lord, and when they die they're going to Fox Central. But they still support the union. Go figger. Treat conservatives with disrespect long enough, and they will act a little more liberally.
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Old 19th Oct 2006, 01:42
  #347 (permalink)  
 
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Originally Posted by SASless
RJ,
What is wrong with the silent treatment? Nothing illegal about that at all. Don't be naive.....one does not have to be overt in displaying unhappiness with someone. Just fecking ignore them completely.
SAS:
"Don't wrestle with swine, they just love it and you only get dirty."

Chas A
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Old 19th Oct 2006, 11:02
  #348 (permalink)  
 
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Bob,
All I will say is that our paths have crossed – more from afar then near.

And since you are coming clean on the past …. curiosity has gotten me … what would you have done –

if you were still on the committee and you are at the final hour of super mediation, would you have ended the conversations or what??? And what would you have done after that??? Don’t fudge….

Northsea,
Yes, I think this can be “the” wake up call for our industry, however, unless the negative comments and acts happening now – and unfortunately getting more out of hand – you can forget about making it past this action.

Js0987,
You are right as to the original reason the union was brought in – and I want to emphasize ORIGINAL. Since PHI was sold the salaries have gone up a lot. Because of the union, yes - because we became a viable business – also yes). Everybody received annual step raises and a few bonuses. After the pilot contract term ended in 2004, we (maint, support, etc) continued to receive annual raises, which were also offered to the union but declined (this is the retro pay). This continued right up to Super Mediation. The day after super mediation, PHI voluntarily implemented the company pay proposal for all pilots, which I believe can be seen online and compared with other company payscales. I think it is dauphinpilot.com (?). PHI also sent out copies of the entire company proposal for all to see – which for many was the first time to review it. However, this action was met with union cries of trying to “sway” and “trick” the pilots in breaking the union. It must be noted that PHI could not implement the new payscale or send out the proposal until AFTER they were released for self help at the end of august. To keep everything in line, the strike was called about 3 weeks later.

Nick,
You are right about the “free market” example. And I think if you compare the financials between Suggs Era and the AL Era you will see how the picture changed from an “operation at any cost” to a business. And to use your analogy, if we offered a few courses in Business 101 to the cabbages on the shelf, they may understand a little better why they are on the shelf in the first place and how they fit into the “food chain”.

I’m not into discussing politics on a large scale, and hopefully this thread will not drift, but just to interject a phrase from a very old and respected friend of mine (feel free to spin it like you want)…

“It seems to me that republicans mostly work for a living…while democrats mostly live off the working…”

W1
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Old 19th Oct 2006, 11:41
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Perhaps the answer to "what would you have done" is best illustrated by what happened at Air Log.
After about a year and a half of negotiatons, the company put forth a proposal they just new, they were certain, that the pilots would go for it and insisted on a vote. So, even though the bargaining committee said it wouldn't pass, they put it up for a vote and it was voted down by something like 94%.
When super mediation was down to the wire, the committee once again offered to put up the company's proposal for a vote, knowing it would be overwhelmingly rejected. Once the vote would have been counted, and the clock having run out, there would have been a strike.
On the suggestion that since AG took over from CS, PHI has become a "business," last weeks SEC filing begs to differ. Being so deeply in debt that interest on outstanding loans will have to be paid from operating income is not exactly the stuff that makes Warren Buffett take notice.
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Old 19th Oct 2006, 12:29
  #350 (permalink)  
 
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Hey Wrench1, nice bait, but I cannot bite. For me to comment on the current situation would be like influencing an unsequesterd jury. You know I can't do that. Nor will I second-guess Steve. I haven't been with PHI since 2001 and have very little first-hand knowledge of what's transpired since then.

But knowing the guys as I do, I believe that Steve and the EC did their absolute level best to avoid this mess, and would have if they could have. I do not believe that they made the decision to strike impulsively, impetuously, or uncautiously.

However! As I watch friends withholding their services from PHI - maybe permanently - the question "What would I have done?" weighs heavily and is one I have mused, pondered and even agonized over. When all is said and done I will add my two cents. Until then, it's probably best if I keep certain opinions to myself. Hope you understand.
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Old 19th Oct 2006, 15:26
  #351 (permalink)  
 
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Bob,
I just had to ask.

js,
The main difference between your air dog example is that the 108 committee declined to put it to a membership vote. I strongly believe that if they had put the proposal out to vote, we would be discussing other topics here today. I get this right from the proverbial horse’s mouth.

Actually I believe you are 180 out on the business comment. Just for reference, if you review the majority of large aviation based corporations, to include our competition, you will find they all maintain a healthy debt ratio and their statements contain the same type of comments.

As for Warren Buffet comment – the PROCESS of what AG is doing is exactly the same that made Warren Buffet who he is! Just look at the “debt”! Simply the ability to obtain the 600+ million in financing (on a “bad” company) is business at its best. Remember someone tendered the notes and bought the stock!!! I don’t think we are over the hump, but definitely out of the mud.
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Old 19th Oct 2006, 16:43
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Perhaps your right about the pilots accepting the contract. What was the retroactive offered - half of what Air Log got? What was the fix for the mandatory workover? At Air Log, workover is currently at 1.75 with 2.0 for working over your opposites hitch. Not to mention bonuses for certain jobs etc. etc.
Anyway. As far as PHI being like all the other companies - don't think so. Debts? Their own recent SEC S4 filing talks about "substantial indebtedness" and "a highly leveraged company." A debt to equity ratio of .51 to 1 stinks. Ems was losing money even before the strike.
As far as selling notes, near as I can tell the company is just swaping registered notes for unregistered ones. Those were the notes tendered in the spring to replace the 9 3/8% junk bond notes. Back then, with oil over $70 and oil service stocks at record highs - not a real hard sell.
A year from now, it will be interesting to see what kind of company PHI is.
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Old 19th Oct 2006, 19:48
  #353 (permalink)  
 
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js,
I've heard several versions but my understanding on the retro pay is the offer was the difference between the old pilot payscale and the annual raises received by the rest of the company for 2004 - 2006. Each previous year PHI offered and the union declined but I had heard there was a time limit on accepting it. So this would amounted to X number of dollars. The union offer was to utilize the new payscale and pro-rated, in addition to a daily "un-signed contract" charge from 2004 till new contract signed. This figure amounted to XXXXXX number of dollars. The first offer seemed fair - but to factor a daily offset into the mix????

Mandatory overtime fix? Recommend to the union not to include this paragraph in their NEXT contract. Article 24 of the old contract ratified by the membership (same guys making an issue over it)

You need to go back a little more in time when PHI was in a hole and see where we are now. Next year will be even better. While me or you wouldn't touch PHI with a ten foot pole as an investor, there are banks and institutions that will and do. Example: (see sec.gov)
  • 2000 most of the fleet was outdated and leased, revolving credit full, and very limited assests
  • AG makes some changes and obtains 200 mil in notes @ 9 3/8 % to buy back the fleet and new 30 mil revolving credit note
  • 2003 starts fleet replacement 200 mil and raising in cost
  • 2005 & 2006 sells total of 8.2 million shares of NON-voting stock with no dividends payed
  • 2006 trades in 9 3/8 notes for 7 1/4 notes
It took me a long time to understand "big business" strategy but the real key is when nobody will tender new notes, buy the stock or accept a REDUCED rate. Like I said were not over the hump - but you should have seen us before...
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Old 19th Oct 2006, 22:43
  #354 (permalink)  
 
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Your absolutly right about PHI being better off now than when the Sugg's were running things. I could never quite understand how Air Log could make 4 times the profit on 1/3 the revenues of PHI in the 90's. Only thing that made sense was money was being skimmed off the top. Paying exorbitant rates to ONI - etc.
That was then, this is now. Getting "over the hump" is going to be tough if your 200 pilots short. Sooner or later, somethings got to give. Oh - By the way - without the union, what's to prevent the "original" reason it was voted in from rearing its ugly head once again?
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Old 20th Oct 2006, 00:38
  #355 (permalink)  
 
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Personally, I think "skimmed" is a nice way to put it!

ONI - now that is a blast from the past. I completely forgot about that.

173 and dropping... don't bet on red...

Original reason: for the next 15 to 20 years - ownership, market, industry requirements, and common sense. After that who knows - maybe the industry will get overpopulated again and oil hits $10 a barrel one more time. But me thinks since you remember ONI - it will be a mute issue for us and we will be popping a top on the porch watching the morning news....

I hope the next generation will do a little better.

W1
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Old 20th Oct 2006, 10:52
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Insider,
Couldn't quite figure out the claims AG was bankrupting the company with the big bonuses and OT rate. With over half the gross profits going to salary & benefits at PHI, you could see - with a little math figuring - the additional money available with a third of the pilots out - especially the upper end. I wouldn't be surprised if there was actually a surplus.

My only wish is that a select number of the ones that did walk - for what I believe were more honorable reasons - will come back. It's one thing to lose a good driver to the competition - but to lose them because of this....
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Old 20th Oct 2006, 11:08
  #357 (permalink)  
 
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In the current market, one things for sure, pilots will be needed - if not at PHI - then somewhere. Wrench, I hope your right about the next decade or so and how PHI will fare with no unionized pilots. Remember, AG is responsible to no one, not his board and not the stockholders. Air Log's CEO back in the 90's lost his job because he lost control of the labor situation. Accountability is a wonderful thing.
Also keep in mind that history does not bode well for a strong oil economy translating into better wages and benefits. The 90's proved that. The reason both Air Log and PHI voted unions in, was no pay raises even though profits were booming.
It was downright comical when JC - Air Log's CEO - came around to the bases and tried to tell the pilots they were well paid. One or two step raises of $50 a month in the preceeding decade - well lets just say that he had a hard sell. To keep things in perspective, this was the time when Air Log (Off Log to be correct) shelled out over $300 million to buy Bristow.
At PHI, I understand that CS made all kinds of promises if the union was voted down. It was, and those promises drifted on the wind. So much for trusting a benevolent boss. Fool me once - shame on you, fool me twice - shame on me.
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Old 20th Oct 2006, 17:47
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I just received a notice from our union representatives dated yesterday (Thursday October 19) stating, "The National Mediation Board faxed an invitation today, to both OPEIU and PHI to resume public interest conferences." I'm very hopeful both sides will agree to meet.

Wrench1,

Retroactive pay. I'm not fully versed on all the proposals that were offered for retro pay, but here's what seems fair to me. It should simply be the difference between what we were actually paid in salary and bonuses since the end of the previous contract, and what we would have been paid for that same service had a new contract been ratified and implemented on the amendable date. This removes the incentive for the company to drag out negotiations in order to receive our services at reduced rates.

Mandatory workover. As I recall, this was an innocuous little item the company slipped into the contract to allow them to continue to operate in emergencies or other unusual situations. It was never intended to allow the company to conduct normal levels of operation in normal times with a continuing shortage of personnel. Rule 1: If you don't have enough people to voluntarily fill all the seats, reduce the number of seats you commit to filling.

Industry Insider,

To focus on the money saved in salaries for the most senior pilots is extremely short-sighted. PHI spent a ton of money training these guys and for the most part, they would have planned to stay several more years, providing professional service as well as training the up and coming generation, despite a number of them being near or over the age of 60. Their learning curve was steep and not without difficulty. Do you really consider it to be in PHI's best interest to go back now and re-invent that wheel?

Wrench1 and Industry Insider,

I don't have a recent count so lets use your number of 173 striking pilots. Assume the company now has the ability to begin approaching normal levels of operation. Without the services of those 173 they are still having to stretch things very thin, and they're using assets that are temporary in nature (Sikorsky and Flight Safety pilots for example). Al Gonsoulin may be a great businessman, and I have no doubt he can ultimately weather this storm. But, if he hopes to provide his customers the same level of service and safety after this strike as we provided before, he'll have to come to some sort of terms with the striking pilots. There's just no way around it.

-Stan-
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Old 21st Oct 2006, 00:17
  #359 (permalink)  
 
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Stan,

What is a “public interest conference”? Is it a general get-together or more formal?? I hope we can move forward .

Retro pay: While I could agree with you in principal on your proposal – where is the incentive for the union NOT to delay the negotiations? It think it is a two way road on this item. What puzzles me more is why the union refused the annual raises offered by the company? A number of our compadres, to include myself, have been unable to come up with a reasonable strategy on that one – money is money. Might mean a smaller increase with the new contract, but what else?

Mandatory OT: I had heard that PHI had used that item as a bargain chip, however, after reading the article several times it does not state “for emergency only – break glass”. It is a systematic procedure to ensure aircraft are covered – and in my opinion is geared more to ensuring those who want OT will get it?!?!?

It also reminds me of when I bought a set of tires – expensive tires – that came with a FREE road assistance warranty. On the way home one night / morning caught a nail and tire blew out – time to use the warranty. Unfortunately, I had not read the fine print – “excluding punctures from road debris”. Regardless, of how it got in there, I just can’t agree with you on that one.

Numbers: As best as I know it, 138 O&G and 35 EMS. First, I think we are at the same level of safety as before – maybe even a pinch more attentive due to circumstances -experienced guys have been know to screw the pooch also. As for spreading things thin – only in several types – that is where the Sikorsky and FS guys are. As you know we can’t just check I guy out and you’re a 76 PIC. Also keep in mind we were flying a bunch of specials before, so that must be kept in mind when discussing contracted aircraft requirements and ad hoc requirements.

But what has been interesting, is the times of the new hires – average 2000hrs. I asked several why they are here – 60% said they were just waiting for the new payscale to come out. Others are saying they see an opportunity to advance their career. I know you can put a spin on that and I’m sure others will – but I can not fault someone for Carpe Diem – not under the current circumstances.

Stan, maybe you can answer this for me – why the negative and irresponsible comments and actions from the union membership?? I know you can’t prevent everything but the name calling and just plain BS is very puzzling - and hurting not just the union but everyone associated with PHI. I thought that crap went out in the 70’s. The other side of the coin is the atmosphere at the field bases now. I can’t put my finger on it, but it reminds me of a time long gone where we ALL wanted to be here and enjoyed the job??!!! Bottom line, I’m getting tired of hearing the general public make comments about the type of people who work at PHI, based on what they see and hear from the pilots / union.

W1
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Old 21st Oct 2006, 16:11
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Wrench - If your tired of the invective, better hope there is a settlement. Then it becomes an internal family matter. If AG wins, then he won with SCAB pilots. That effects everybody in the industry. Don't expect sweetness and light.
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