United Airlines says it will lay off 950 pilots
Mon Jun 23, 2008 3:48pm EDT
CHICAGO (Reuters) - UAL Corp, parent of United Airlines, said on Monday it plans to lay off 950 of its pilots. A UAL spokeswoman said the No. 2 U.S. carrier informed the employees of its intentions on Monday. http://www.reuters.com/article/busin...rpc=23&sp=true http://moneynews.newsmax.com/compani...23/106888.html |
What is wrong in the US, with that kneejerk laying off people.
Very sad to hear this; all the best of luck to all involved. |
:sad: what is the airline industry coming too?.
i guess it's been sad for many years. :( |
Subject: United Furlough Numbers
This is Keith Rimer, system chief pilot, with a message for United pilots on Monday, June 23. We announced on June 4 that we would be removing a total of 100 aircraft from our mainline fleet in response to record high oil prices and a softening economy. These reductions will begin in September, continue through the end of 2008 and well into 2009. If you follow the industry, you know that other airlines are taking similar actions. At last count, U.S. network carriers had announced plans to remove nearly 300 mainline aircraft from their fleets by the end of 2009, in order to reduce industry capacity. Reducing our schedule to get back on the path to profitability in light of dramatically higher fuel costs inevitably involves reducing the number of people we have to run the operation. Reductions in salaried and management staffs have already begun in a number of areas. In flight operations, layoffs of salaried and management employees are expected to begin in mid-July. In total, the number of salaried and management positions at United will be reduced by 1400-1600 people. With regard to reductions in pilot manpower, our scheduling group is finalizing details of the initial round of reductions for the fall, beginning in September. As a result, we will begin the related process of distributing furlough notices. The first notices will go out in mid-July to furlough approximately 100 pilots for the September flying month. The furlough process will be facilitated through our domiciles and follow contractual procedures. Overall, our fleet reduction plans include our entire fleet of 94 B737 aircraft as well as six B747s. This will take time to accomplish – well into 2009 before it is complete. We expect that, as we reduce our fleet by these 100 aircraft, we will furlough approximately 950 active pilots by the end of 2009. Due to the number of pilots on military and personal leaves, we currently anticipate that approximately 1450 furlough notices will be distributed over time in order to reduce our active pilot ranks by 950. We have had ongoing discussions with ALPA concerning ways to mitigate the number of involuntary furloughs. The outcome of these discussions could reduce the number of involuntary furloughs. As always, we will keep you informed as decisions are made that could affect you. We hope to have more detail on the furlough mitigation actions to share with you as soon as they are finalized with ALPA. Details on the first furloughs for the September flying month will be available in a few weeks. At the appropriate time, your domicile will work with you during this process. Furloughs are an unfortunate and difficult reality of the airline industry. It's common to find long-tenured pilots who have been affected by furloughs in their careers. We plan to the best extent possible not to be in a situation that requires pilots to be furloughed. However, circumstances unforeseen just several months ago in the case of unprecedented fuel prices are now causing us to adjust our flying and related manpower. As we move forward through this process, we will treat everyone in a respectful manner, understanding the personal impacts that these actions can have. Clearly, this is a difficult time for us to operate through. However, safety, of course, must remain first and foremost when we fly. While business decisions are being made in response to the circumstances we are faced with as a company, I know that, as pilots, you recognize the importance of a single focus in the cockpit. Thank you. |
And how much $$$ are the top executives going to get?
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Irrelevant - executives are paid by returns to equity, not returns to the labour force.
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What is wrong in the US, with that kneejerk laying off people. The Gulf states are expanding their economies and can affords to use their own oil at any price. T Boone Pickens has said that thats it, oil supply has peaked. The world is going to have a hard future. |
$9 per (USA) gallon in UK.
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migration
It seems like our folks will have to migrate overseas specially to Middle East and Asia.
Shenzen Air has received more than 200 applications just this month for its 737 fleet, Emirates over 500 in 2008. CNN its just broacasting that Qantas pilots are on strike! New world crisis on the way AGAIN? :sad::( |
"In 10 years, we will have exported close to $10 trillion out of the country if we continue on the same basis we're going now. It is the greatest transfer of wealth in the history of mankind," ****ed, we are. |
Not really. Oil may have peaked but it will be a gradual decrease. Politicians need to address these issues by straight talking. More nuclear power for starters, otherwise the prettiest countryside in the UK will be blighted by wind farms. Go with what works, go nuclear.
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"In 10 years, we will have exported close to $10 trillion out of the country if we continue on the same basis we're going now. It is the greatest transfer of wealth in the history of mankind," |
What rubbish. The oil is productively used (hopefully) to further generate profits and wealth of US companies. Does this commentator suppose that the US should not pay for resources it consumes in the business of wealth generation, or is he just plucking an extortionate-sounding figure from the air for political gain...?! Total current US expenditure on oil is $1.05 Trillion dollars per year (21million barrels per day), over ten years you get the 10Trillion dollar figure. Its about 7.6% of GDP. US currently imports 13millions barrels per day. At $137 thats $650billion per year extracted from the US economy. US production is declining and demand increasing. US oil consumption per head of population is twice that of the EU countries. |
Irrelevant - executives are paid by returns to equity, not returns to the labour force. |
The only way I see it for the US economy to save it self is to become less dependent on outside oil. Take a look at europe.
- Build new nuclear powerplats instead of oil and gas - Introduce E85 as a fuel to replace normal 95 and 98 octane fuel. - Focus a lot on wind and wave power. - Solarpower Try flying over the neatherlands, denmark or sweden without seeing one single windpower generator... not happening =) If they can reduce the amount of oil used by the normal population, the price of oil for aircrafts might drop... |
UAL
At one time 1988-90, This pioneer of aircraft construction and transportation decided to stretch out into rental cars and Hotels. Hertz and Hilton. At various times, this legacy carrier has had multi-tiered pay scales for identical work, hat requirements and various exercises in areas unrelated to its core business, originally A/C building, then transport when forced to divest of the building part.
Oil is part of the reason, but not the only one. Not the only aging fleet of midrange A/C, United has some 100 runout airframes, as does American. What serendipity!! A reason that makes "sense" to the shareholders, furloughees, and other line staff. Don't need hundreds of pilots if clapped out Boeings are headed to D/M. Same MD-80. Is UAL and its Board creating a new 100M slush fund for executive benefits, incentives and golf money? Standby. When the line had 10 managers in Flight Ops, it had dozens and dozens of "VP'S" SYSTEM WIDE. She'll land on her feet. Not having to shell out 3.5B for new Boeings and sustain an overloaded staff works wonders for the available execapital to cushion the fall of those admins who had to worry until they came up with the perfect move (s). $6/share?? Hmmmmmm....... |
Irrelevant - executives are paid by returns to equity, not returns to the labour force. |
PJ2
Very well said.
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"CNN its just broacasting that Qantas pilots are on strike!"
Desert storm. It's the engineers that are on strike (sort of, 4 hour rolling stoppages). Not the pilots. |
United Airlines sheds 950 pilots
BBC NEWS | Business | United Airlines sheds 950 pilots
US carrier United Airlines has said 950 - about 14% - of its pilots will lose their jobs as spiralling fuel costs and weak consumer spending hit earnings. |
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