Southwest looking for a codeshare partner?

[meritflyer]

Well, since this has been a hot topic "elsewhere", I thought I'd bring it to the attention of JC'ers.

The idea is Southwest may need a regional partner. Some have suggested Skywest would be possibly the main partner. Many have eluded that this may be in response to the dent ExpressJet has put in SWA's west coast business, although the rumor of a Southwest/ExpressJet codeshare was even addressed by XJT's VP during my newhire class.

However, it's only a rumor or idea until you see the press release.

Here is the recent TA language from SWAPA.

EXECUTIVE SUMMARY: SECTION 1 – PURPOSE OF AGREEMENT

The Negotiating Committee and the Company recently reached a Tentative Agreement (TA) on Section 1, Purpose of Agreement. Last week, during a three day session, the Negotiating Committee briefed the SWAPA Board of Directors in great detail and answered all questions regarding the agreement on Section 1. The Board concluded that Section 1 objectives had been met and unanimously endorsed the agreement.

Section 1 language was strengthened in virtually every area. Specifically, the agreement contains significant improvements and protections for the pilot group in the event the Company wishes to expand its network through codeshare and/or marketing agreements. Several improvements to merger, acquisition and successorship language were also realized.

Tentatively Negotiated Changes to Section 1


Scope
Expanded the overall scope of the contract to capture all of the work done by pilots on the seniority list

Preserved the positive public association with the valuable SWA brand by allowing only SWAPA pilots to fly SWA aircraft


Recognition
Protected pilot job security in the event of any transfer of control – voluntary or involuntary

Received commitment from SWA to make this Collective Bargaining Agreement a condition of any sale in order to protect pilot jobs and wages as negotiated


Merger
Protected pilot jobs in the event of a merger

Protected SWAPA pilots’ seniority through a fair and equitable pilot seniority integration system in the event of a merger that includes new pilots

Removed ambiguity in current language so no successor has leverage to change terms of employment previously negotiated by SWAPA

Prohibited creation of an affiliate, new airline or subsidiary, or acquisition of a controlling interest in any carrier unless all flying is performed by SWAPA pilots (i.e. avoided creation alter-ego carrier)

Required reasonable, advance notice and details of any material agreements to SWAPA



Sub-Contracting
Prohibited SWA from sub-contracting revenue flying.

Protected against wet-leases


Purchase or Acquisition of Another Company

Required reasonable, advance notice and details of any material agreements to SWAPA

Protected pay rates, rules and working conditions from being renegotiated in the event of a purchase

If pilots are acquired through the purchase of another airline, empowered SWAPA to integrate pilots into the seniority list


Codesharing
Verified and expanded terms of SWA’s commitment to grow the airline and the Pilot Seniority List

Expanded Side Letter 32 protections to properly coordinate with remainder of new Scope proposals

Clearly defined purpose of codesharing; specifically focused on SWA growth and feeder operations

Defined codeshare transaction to always include at least one flight segment on SWA

Protected SWA brand identity in relation to codeshare relationships

Secured Regional Jet (RJ) codeshare protections


Cabotage
Incorporated cabotage language in CBA, to avoid leaving protections solely to federal regulations

Prohibited use of SWA code on flights of foreign carriers carrying local revenue passengers or cargo traffic between airports within the U.S.


Foreign Domiciles
Addressed conditions surrounding foreign domiciles in relation to bidding, relocation expenses and other working conditions

Re-Opener
Updated language to specify and limit terms for which this CBA may be reopened

Amendments to Agreement

Future amendments to the agreement will be automatically integrated into an electronic version of the Collective Bargaining Agreement

Definitions
Added definitions to clarify terms specific to Section 1 of the CBA

Discuss..

[Doug Taylor]

I'll betchya a dollar it's not domestic but international.

Remember Sierra Expressway?

[meritflyer]

Originally Posted by Doug Taylor

I'll betchya a dollar it's not domestic but international.

Remember Sierra Expressway?

With regional jets?

[Doug Taylor]

No, the much more inexpensive Jetstream.

[meritflyer]

Originally Posted by Doug Taylor

No, the much more inexpensive Jetstream.

Ha!

But really, you honestly believe they'd put "RJ" language in their TA for international ops?

[Doug Taylor]

You GOT me.

It's Trans States, woo hoo! Here comes the flowthru!

[meritflyer]

Douglas,

Lay off the sauce so early.

Signed,

A concerned fellow Phoenixite.

[ComplexHiAv8r]

Originally Posted by meritflyer

Douglas,

Lay off the sauce so early.

Signed,

A concerned fellow Phoenixite.

Is it time to start drinking? I can do that!

[mtsu_av8er]

They already codeshare with ATA.

[wheelsup]

Originally Posted by meritflyer

Ha!

But really, you honestly believe they'd put "RJ" language in their TA for international ops?

Expressjet flies to mexico and canada

[Velocipede]

Or you could highlight different parts and insinuate its preparing for a merger/acquisition.

EXECUTIVE SUMMARY: SECTION 1 – PURPOSE OF AGREEMENT

The Negotiating Committee and the Company recently reached a Tentative Agreement (TA) on Section 1, Purpose of Agreement. Last week, during a three day session, the Negotiating Committee briefed the SWAPA Board of Directors in great detail and answered all questions regarding the agreement on Section 1. The Board concluded that Section 1 objectives had been met and unanimously endorsed the agreement.

Section 1 language was strengthened in virtually every area. Specifically, the agreement contains significant improvements and protections for the pilot group in the event the Company wishes to expand its network through codeshare and/or marketing agreements. Several improvements to merger, acquisition and successorship language were also realized.

Tentatively Negotiated Changes to Section 1


Scope
Expanded the overall scope of the contract to capture all of the work done by pilots on the seniority list

Preserved the positive public association with the valuable SWA brand by allowing only SWAPA pilots to fly SWA aircraft


Recognition
Protected pilot job security in the event of any transfer of control – voluntary or involuntary

Received commitment from SWA to make this Collective Bargaining Agreement a condition of any sale in order to protect pilot jobs and wages as negotiated


Merger
Protected pilot jobs in the event of a merger

Protected SWAPA pilots’ seniority through a fair and equitable pilot seniority integration system in the event of a merger that includes new pilots

Removed ambiguity in current language so no successor has leverage to change terms of employment previously negotiated by SWAPA

Prohibited creation of an affiliate, new airline or subsidiary, or acquisition of a controlling interest in any carrier unless all flying is performed by SWAPA pilots (i.e. avoided creation alter-ego carrier)

Required reasonable, advance notice and details of any material agreements to SWAPA



Sub-Contracting
Prohibited SWA from sub-contracting revenue flying.

Protected against wet-leases


Purchase or Acquisition of Another Company

Required reasonable, advance notice and details of any material agreements to SWAPA

Protected pay rates, rules and working conditions from being renegotiated in the event of a purchase

If pilots are acquired through the purchase of another airline, empowered SWAPA to integrate pilots into the seniority list


Codesharing
Verified and expanded terms of SWA’s commitment to grow the airline and the Pilot Seniority List

Expanded Side Letter 32 protections to properly coordinate with remainder of new Scope proposals

Clearly defined purpose of codesharing; specifically focused on SWA growth and feeder operations

Defined codeshare transaction to always include at least one flight segment on SWA

Protected SWA brand identity in relation to codeshare relationships

Secured Regional Jet (RJ) codeshare protections


Cabotage
Incorporated cabotage language in CBA, to avoid leaving protections solely to federal regulations

Prohibited use of SWA code on flights of foreign carriers carrying local revenue passengers or cargo traffic between airports within the U.S.


Foreign Domiciles
Addressed conditions surrounding foreign domiciles in relation to bidding, relocation expenses and other working conditions

Re-Opener
Updated language to specify and limit terms for which this CBA may be reopened

Amendments to Agreement

Future amendments to the agreement will be automatically integrated into an electronic version of the Collective Bargaining Agreement

Definitions
Added definitions to clarify terms specific to Section 1 of the CBA

Just looking at the red vs. black it appears to me the SWA pilots are more concerned about merger/acquisition than they are about codeshare.

[meritflyer]

Originally Posted by mtsu_av8er

They already codeshare with ATA.

Not exactly with respect to domestic flying.

John Dennison, former SWA CFO and ATA CEO, pulled ATA out of every city that SWA served presumably because it either didn't make money or was in conflict with SWA's Scope which ultimately crushed ATA as a domestic partner.

[Doug Taylor]

I'm thinking international codeshare, especially with the softness of the US dollar which is going to eventually take a meaty bite out of the thigh of leisure travel.

I'll tell you this, planes are JAM PACKED with European tourists because the US, more or less, is cheap like a dusty village south of the border to most Europeans. Sadly, I haven't flown a whole lot of Americans taking that two-week European family adventure like I saw a few years ago.

Without any exposure to that traveling segment, it might be a challenge to continue to make a profit, with high fuel prices and softening demand.

This is armchair CEO'ing and I'm probably wrong like cheese and mushrooms on a skillet of beef fajitas. But I'd be looking at hooking up with a trans-Atlantic "LCC" to move passengers from JFK, LAX, etc to points within the US in the SWA system. That way you keep your domestic network full and hedge your bets with the hot international markets.

Like I said, I might be out to lunch. Speaking of lunch...

[jtrain609]

I'm thinking we'll be seeing EWR to London here in the 145XXXR that EMB is making for Express here in the coming months. And to think, I can do it all for $22.59 an hour!!!!!

Just the latest donkey punch to CAL's scope clause.

[Doug Taylor]

I explained what a "DP" was to my shocked flight crew on arrival to CDG. The captain wanted more details, the FO starting rifling around for his rosary beads!

[jtrain609]

Did you show em a picture of what a DP looks like in action?

[Doug Taylor]

At least there's "Express" on the side!

[jtrain609]

I love you

[Doug Taylor]

You won't spoon.

[jtrain609]

You and your wife gonna sneak up to Salt Lake sometime this winter so I can prove you wrong?

[kellwolf]

Sorry to rain on the Skywest people's parade, but I just don't see it happening with SWA. Like everyone else, my bet is SWA is going with something international. They're codeshare with ATA opens up Hawaii and a few other destinations they don't go to, but the main driving force behind that was gate space in MDW. If they could hook up with a partner that would give them multiple destinations in Mexico and the Carribean, it could be a huge gain for them financially.