Cathay Pacific - Strike?
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Cathay Pacific - Strike?
Reutres reports that:
"Cathay Pacific Airways Ltd said on Monday that it remains hopeful for a peaceful settlement of a pay dispute with pilots, but warned that pilot industrial action would cause damage to its staff and Hong Kong.
"Pilot industrial action will cause a great deal of disruption to almost everyone," Cathay Pacific Personnel Director William Chau said in a statement to pilots. "This would be damaging for all our staff, our customers, the Hong Kong public and Hong Kong's international status. We will do our best to prevent this from happening."
Chau, speaking at a "conciliation meeting" between Cathay management, the pilots' union and the Hong Kong government's Labour Department, said the company remains "willing to negotiate around the clock if necessary to reach a sensible agreement."
He said such an agreement "not only addresses the competitiveness of the airline, but is also practical within the Hong Kong social and economic environment."
Cathay says pilots are seeking pay hikes of up to 32 percent, but the union says it merely wants the airline to cancel a final round of pay cuts agreed under a cost reduction plan in 1999. The cuts are scheduled to take effect in July.
The Hong Kong Aircrew Officers Association, which represents about 1,200 of Cathay's 1,400 pilots, will hold a vote on Wednesday on a motion to take "limited industrial action" from July 1 if the dispute cannot be resolved.
The group has not specified the action, but in the past, such actions have involved "sick-outs" and work-to-rule slowdowns that have disrupted flight schedules and required additional aircraft and crews to be chartered.
This could disrupt travel plans for thousands of travellers at the start of the busy summer vacation season.
Pilots also want to resolve a long-standing dispute over the airline's rostering system, which they say is inefficient because it limits their flying time.
Talks between the airline and the pilots over the cost cutting programme broke down in April. Industrial action was only averted in December after a last minute agreement to resume rostering talks.
Cathay says cost cuts are vital to keeping its competitive edge, but pilots question this, particularly after Cathay earned a record HK$5 billion (US$641 million) in 2000.
In June 1999, after a lengthy pilot sick-out, Cathay settled a pay dispute with senior pilots after most crew accepted cuts of up to 22 percent over three years. The pay package was intended to save the airline HK$1.4 billion over 10 years.
Cathay is 25.5 percent owned by CITIC Pacific Ltd and 45.3 percent-owned by Swire Pacific Ltd. Its shares ended unchanged at HK$10.15 in Hong Kong trade on Monday.
"Cathay Pacific Airways Ltd said on Monday that it remains hopeful for a peaceful settlement of a pay dispute with pilots, but warned that pilot industrial action would cause damage to its staff and Hong Kong.
"Pilot industrial action will cause a great deal of disruption to almost everyone," Cathay Pacific Personnel Director William Chau said in a statement to pilots. "This would be damaging for all our staff, our customers, the Hong Kong public and Hong Kong's international status. We will do our best to prevent this from happening."
Chau, speaking at a "conciliation meeting" between Cathay management, the pilots' union and the Hong Kong government's Labour Department, said the company remains "willing to negotiate around the clock if necessary to reach a sensible agreement."
He said such an agreement "not only addresses the competitiveness of the airline, but is also practical within the Hong Kong social and economic environment."
Cathay says pilots are seeking pay hikes of up to 32 percent, but the union says it merely wants the airline to cancel a final round of pay cuts agreed under a cost reduction plan in 1999. The cuts are scheduled to take effect in July.
The Hong Kong Aircrew Officers Association, which represents about 1,200 of Cathay's 1,400 pilots, will hold a vote on Wednesday on a motion to take "limited industrial action" from July 1 if the dispute cannot be resolved.
The group has not specified the action, but in the past, such actions have involved "sick-outs" and work-to-rule slowdowns that have disrupted flight schedules and required additional aircraft and crews to be chartered.
This could disrupt travel plans for thousands of travellers at the start of the busy summer vacation season.
Pilots also want to resolve a long-standing dispute over the airline's rostering system, which they say is inefficient because it limits their flying time.
Talks between the airline and the pilots over the cost cutting programme broke down in April. Industrial action was only averted in December after a last minute agreement to resume rostering talks.
Cathay says cost cuts are vital to keeping its competitive edge, but pilots question this, particularly after Cathay earned a record HK$5 billion (US$641 million) in 2000.
In June 1999, after a lengthy pilot sick-out, Cathay settled a pay dispute with senior pilots after most crew accepted cuts of up to 22 percent over three years. The pay package was intended to save the airline HK$1.4 billion over 10 years.
Cathay is 25.5 percent owned by CITIC Pacific Ltd and 45.3 percent-owned by Swire Pacific Ltd. Its shares ended unchanged at HK$10.15 in Hong Kong trade on Monday.
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.....hmmm, didn't the CX share price, prior to the dispute in 99 (pilots off 'sick' for over 3 weeks, due threat of termination if they didn't sign new contract with up to 35%pay cuts...!) was around 17 HKD a share. Now it languishes at around 10......very nice return for the shareholders! Perhaps if CX managment stopped attacking their employees, and started attacking the competition it would inch it's way back up towards the 'high teens' again. The myth about how 'well managed' CX is as an airline is one of the sicker jokes about working for this shambles of a company. The two airlines in the US who treat their employees with respect, consideration , high pay and benefits ALSO have the best financial performance..... Of course, our managers would rather put that down to 'co-incidence' than admit that their arrogant and vindictive policies are to blame for our comparatively dismal state of affairs. One has to wonder what it will take to obtain a Board of Directors who will actually START directing....? Pity the long-suffering shareholders.....not to mention the employees. Our managers are pitifull.
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One of our pilots left Cathay a few years ago (has the 744 and 777 type ratings, but has no desire to convert them to US ratings). He told me that some of the remarks about Cathay on Pprune were the opposite of what happens over there.
This can apply to any other topics on Pprune, as stated at the bottom of the website.
This can apply to any other topics on Pprune, as stated at the bottom of the website.
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Ignition,
You don't say!!! A truly earth-shattering post. You mean not all posts on Pprune are 100% accurate? This is such shocking news, I must go and lie down.
Thank you for your wonderful insight. I shall now endeavour to track down the rest of your 359 posts just in case I have missed something.
Nah!! On second thoughts it might be more enjoyable to watch paint dry.
You don't say!!! A truly earth-shattering post. You mean not all posts on Pprune are 100% accurate? This is such shocking news, I must go and lie down.
Thank you for your wonderful insight. I shall now endeavour to track down the rest of your 359 posts just in case I have missed something.
Nah!! On second thoughts it might be more enjoyable to watch paint dry.
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....sorry about that. The two airlines who are recognised as being leaders in enlightened employee management are Southwest and Continental. The Southwest group in particular have always been treated with utmost consideration by their management, resulting in employees who go the extra mile when required to get the job done. Interestingly, even though their pilot contract has another 2 or 3 years left to run, in light of the recent dramatic raises in pilot salaries at other carriers, the management of Southwest has agreed to amend the present payscales to attain parity. On another similar note, Frontier Airlines out of Denver just agreed to increase their pilot pay by 36% (!) mid-contract in recognition that the goalposts have moved. At CX, the management seem to think that, with these sort of examples around, implementing the third of three paycuts on July 1st (totalling on average 30%) is a good idea. Can't understand why they seem to suffer from such appalling employee relations......? Oh, incidentally, I have a total of four (yes, 4!) guaranteed days off on my July roster. Makes for good family planning doesn't it. I wonder how I voted yesterday....???
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Updated news now available. Please continue on the link below.
http://www.pprune.org/ubb/NonCGI/For...ML/014392.html
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http://www.pprune.org/ubb/NonCGI/For...ML/014392.html
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PPRuNe Radar
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