What someone besides greedy pilots laid off ?

danielsexton

danielsexton

Well-Known Member
[ QUOTE ]
Forbes Business News Bulletin
More Airline Jobs Axed
Tara Murphy, 09.02.04, 5:15 PM ET

NEW YORK - In the headlines this afternoon, Continental Airlines says it's cutting 425 jobs in a move to lower its costs to help keep the airline in business.

Continental says the managerial and clerical job cuts will add up to $200 million in annual cost savings by 2007 for the airline, which is aiming to save $1 billion per year without concessions from its union.

[/ QUOTE ]
 
425 jobs = $200 million in annual cost savings by 2007 (which equates to an "Average" salary of $156,862 [per year for three years])

But pilots are "overpaid." /ubbthreads/images/graemlins/rolleyes.gif
 
Hello 602,

That's $200 million is ANNUALLY, so it comes out to nearly $471,000 per employee (3 times what you calculated). Obviously, they forgot to tell us the whole financially reality.

Regards,

JR
 
Yeah you're right but it's "by" 2007 so it's probably a staggered cut ... either figure is still more than the average pilot makes.
 
The announced figure likely includes savings in salary, benefits, overhead and possibly structural savings from eliminating entire functions. Can't just line it up against avg. pilot salaries and make any meaningful comparison.

MF
 
Plus when they say "managerial and clerical" it's probably some poor secratary whose getting laid off instead of an executive VP. 'Course now that guy has to get his own coffee......
 
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