Jazz Negots

[passport]

Negotiations are in turmoil, both sides are not even close. Strike action possible in June. How would a strike effect the CPA? Anyone?.

[J.O.]

Even though they won't be flying for their newest customer yet, a strike would not be viewed fondly at all at TCCI.

[FA@AC]

How would a strike effect the CPA? Anyone?.

I imagine that AC would try to deploy extra capacity of its own, and that it would use other operators, where possible (Porter????), for the rest.

On what points are Jazz and its Pilots deadlocked, and has there been mediation yet?

[airbum99]

Nothing is in Turmoil. Just par for the course. Nothing will get done until a week or so before the strike is announced. Same old, same old.

[John S.]

Negotiations are in turmoil, both sides are not even close. Strike action possible in June. How would a strike effect the CPA? Anyone?.

This is your first post so perhaps we ought to give you the benefit of the doubt.

But it would appear that you are either (1) ill-informed as to the negotiation process or (2) are just trying and hoping to stir things up a bit.

If it's the latter: Good luck, most of the pilots on this board (not just Jazz) have been through several negotiations and 'turmoil' doesn't start until about week three of picketing.

As to wondering about the CPA - again, look at the history books for one answer.

PS how about introducing yourself?

[passport]

This is your first post so perhaps we ought to give you the benefit of the doubt.

But it would appear that you are either (1) ill-informed as to the negotiation process or (2) are just trying and hoping to stir things up a bit.

If it's the latter: Good luck, most of the pilots on this board (not just Jazz) have been through several negotiations and 'turmoil' doesn't start until about week three of picketing.

As to wondering about the CPA - again, look at the history books for one answer.

PS how about introducing yourself?

Not trying to stir the pot. Our talks have hit an impasse. I was curious if anyone knew, what specific langauge if any, regarding the CPA with AC if there was a lengthy strike.

[CD]

On the cabin crew side of the house...

May 7, 2010

URGENT NEGOTIATIONS UPDATE

Dear colleagues:

Negotiations toward our new collective agreement have broken off until after your union completes a membership-wide strike vote. Your negotiating committee will be visiting all bases over the next two weeks to conduct the vote. More information on dates, times and locations will arrive shortly.

Your negotiating team has received a clear message from management that they will not bargain seriously on your main concerns until they know you are serious about acting on them. A new round of talks has been requested by the company after the vote is complete.

They have not adequately addressed the B-scale wage rate. Their last position demanded a continuation of the present B scale, with no merging into the A scale.

Major issues that you have identified as priorities are still outstanding job security, wages, benefits, pension, work rules, language issues and per-diem increases and will remain so until you demonstrate that you are willing to fight for your rights.

A strike vote is the best and only way we can demonstrate our determination and solidarity at this point in the process. It is vitally important that we get a clear strike mandate from you, the members. Without a strong mandate, we will be forced to accept an inferior contract. We must show the company that we are serious.

You, the members, have already expressed determined support for our bargaining goals. Now is the time to show that support with a powerful strike mandate. You will receive more information about the schedule and location of the strike vote shortly.

In Solidarity

Your CFAU Negotiating Committee

CFAU News

[chris]

CD,

That's for the FA's, not the pilots.

[CD]

CD,

That's for the FA's, not the pilots.

Yup, that's who cabin crew are all right...

[conehead]

On the cabin crew side of the house...

Chris, he mentioned that here. You must've missed it...

[chris]

I didn't notice your comment at the top of the post CD, sorry!

[Rookie]

Negotiations are in turmoil, both sides are not even close. Strike action possible in June. How would a strike effect the CPA? Anyone?.

My understanding is that a 75% reduction in service for 7 consecutive days, or a 50% reduction in service for 21 consecutive days will nullify the CPA.

I hear from a friend concilliation talks have broken off, and after the mandatory cool-off period the next step is a 72 hour strike vote?

[chris]

My understanding is that a 75% reduction in service for 7 consecutive days, or a 50% reduction in service for 21 consecutive days will nullify the CPA.

I hear from a friend concilliation talks have broken off, and after the mandatory cool-off period the next step is a 72 hour strike vote?

We're going thru the strike vote as we speak. Polls close later in the month I believe. Earliest we can strike is mid-June. Hopefully things work out for the best

[AME]

A co-worker once said to me that he always voted NO on ratification votes.... the reason was "If the company agreed to it, it wasn't enough". I never voted yes again (advise if you do get a settlement)

[FA@AC]

I hear from a friend concilliation talks have broken off, and after the mandatory cool-off period the next step is a 72 hour strike vote?

Mandatory cool-off period? I thought that was something peculiar to U.S. airline unions that are required to negotiate under the Railway and Something-or-Other Act. Is there such a thing under Canadian employment law also?

What are the sticky points in the Jazz negots? Good luck.

[airbum99]

Mandatory cool-off period? I thought that was something peculiar to U.S. airline unions that are required to negotiate under the Railway and Something-or-Other Act. Is there such a thing under Canadian employment law also?

What are the sticky points in the Jazz negots? Good luck.

After the 60 day concilliation process is over there is a mandatory 21 day cooling off period in Canada. After that is over you can strike or get locked out after 72 hours notice is given by either party.

[CD]

Union leader predicts Jazz pilots will vote for strike; talks to go down to wire

By: LuAnn LaSalle, The Canadian Press

14/05/2010 1:48 PM

MONTREAL - Regional airline Jazz Air is facing a strike vote by its pilots who could be off the job as early as mid-June, potentially disrupting travellers' summer vacation plans.

Negotiations are expected to go right down to the wire, Brian Shury of the Air Line Pilots Association said Friday.

"We're hoping for the best and planning for the worst," said Shury, who is chairman of the union's master executive council for Jazz pilots.

No strike deadline has been set, however the mandatory cooling-off period will expire at midnight on June 12.

"We fully anticipate that there will negotiations with the company after that time period and right up to the potential deadline," Shury said from Toronto.

Halifax-based Jazz Air Income Fund (TSX:JAZ.UN) said it has reached deals with some of its unions, but it's still negotiating with several others, including the pilots.

"Our dispatchers ratified their new collective agreement and the process continues with our pilots, flight attendants and crew schedulers," Jazz CEO Joseph Randell told a conference call with analysts on Friday.

Shury predicted the pilots' vote will be highly in favour of a strike once the results are counted on May 27, adding that will put pressure on Jazz to bargain "meaningfully."

"The strike vote is a normal part of the bargaining process and we feel it's going to bring the proper amount of pressure on all of the parties to find a tentative agreement before a work disruption takes place," he said.

Analyst Michael Mills said the strike threat can't be dismissed.

"I think it has to be taken seriously," said Mills of Halifax-based Beacon Securities.

"These guys have been without a contract since the end of June last year, and certainly the negotiations with both the pilots and flight attendants have taken much longer than I was expecting and longer than most people were expecting."

Mills noted that Jazz has pointed it out during the conference call that it has put money aside for its labour agreements.

"The fact that we're more than 10 months since the last contract and it hasn't been resolved yet would indicate that there's still some kind of gap between the two sides."

Shury said despite a drop in fist-quarter profit for income trust Jazz, it still paid out $18.5 million to its unit holders.

The pilots association says Jazz Air LP has made nearly $600 million in profits since it was spun off as an independent company in September 2004 as part of the court-supervised restructuring of Air Canada.

"Yet, over the course of more than 50 days of face-to-face meetings and three weeks of federal conciliation, Jazz Air has offered its pilots nothing whatsoever at the bargaining table," the association said.

In its first-quarter results, Jazz said its first-quarter profit dropped nearly 70 per cent amid a 2.7 per cent reduction in departures and higher fuel prices.

The income fund, which was created to hold an interest in the Jazz airline, said late Thursday it earned $6.5 million, down nearly 70 per cent from $21.1 million a year earlier amid higher fuel costs and increased interest costs.

Revenue was $355.4 million, compared with $369.4 million in the first quarter of 2009.

Jazz said it will announce a dividend policy later this year and added it's confident the level of 60 cents per unit is sustainable after it converts from an income trust in response to tax rule changes that take effect in January.

By: LuAnn LaSalle, The Canadian Press

14/05/2010 1:48 PM | Comments: 2

MONTREAL - Regional airline Jazz Air is facing a strike vote by its pilots who could be off the job as early as mid-June, potentially disrupting travellers' summer vacation plans.

Negotiations are expected to go right down to the wire, Brian Shury of the Air Line Pilots Association said Friday.

"We're hoping for the best and planning for the worst," said Shury, who is chairman of the union's master executive council for Jazz pilots.

No strike deadline has been set, however the mandatory cooling-off period will expire at midnight on June 12.

"We fully anticipate that there will negotiations with the company after that time period and right up to the potential deadline," Shury said from Toronto.

Halifax-based Jazz Air Income Fund (TSX:JAZ.UN) said it has reached deals with some of its unions, but it's still negotiating with several others, including the pilots.

"Our dispatchers ratified their new collective agreement and the process continues with our pilots, flight attendants and crew schedulers," Jazz CEO Joseph Randell told a conference call with analysts on Friday.

Shury predicted the pilots' vote will be highly in favour of a strike once the results are counted on May 27, adding that will put pressure on Jazz to bargain "meaningfully."

"The strike vote is a normal part of the bargaining process and we feel it's going to bring the proper amount of pressure on all of the parties to find a tentative agreement before a work disruption takes place," he said.

Analyst Michael Mills said the strike threat can't be dismissed.

"I think it has to be taken seriously," said Mills of Halifax-based Beacon Securities.

"These guys have been without a contract since the end of June last year, and certainly the negotiations with both the pilots and flight attendants have taken much longer than I was expecting and longer than most people were expecting."

Mills noted that Jazz has pointed it out during the conference call that it has put money aside for its labour agreements.

"The fact that we're more than 10 months since the last contract and it hasn't been resolved yet would indicate that there's still some kind of gap between the two sides."

Shury said despite a drop in fist-quarter profit for income trust Jazz, it still paid out $18.5 million to its unit holders.

The pilots association says Jazz Air LP has made nearly $600 million in profits since it was spun off as an independent company in September 2004 as part of the court-supervised restructuring of Air Canada.

"Yet, over the course of more than 50 days of face-to-face meetings and three weeks of federal conciliation, Jazz Air has offered its pilots nothing whatsoever at the bargaining table," the association said.

In its first-quarter results, Jazz said its first-quarter profit dropped nearly 70 per cent amid a 2.7 per cent reduction in departures and higher fuel prices.

The income fund, which was created to hold an interest in the Jazz airline, said late Thursday it earned $6.5 million, down nearly 70 per cent from $21.1 million a year earlier amid higher fuel costs and increased interest costs.

Revenue was $355.4 million, compared with $369.4 million in the first quarter of 2009.

Jazz said it will announce a dividend policy later this year and added it's confident the level of 60 cents per unit is sustainable after it converts from an income trust in response to tax rule changes that take effect in January.

Full article here...

[Seeker]

"In its first-quarter results, Jazz said its first-quarter profit dropped nearly 70 per cent amid a 2.7 per cent reduction in departures and higher fuel prices."

This is a line of BS from the company right? I thought Air Canada paid for the fuel Jazz uses as part of the CPA.

[rudder]

In an Income Trust, there is a huge difference between 'profit' (or alternatively Net Income) and cash available for distribution. The Jazz Income Trust still distributed $18.5M to unitholders in the same quarter that it declared a net income of just $6.2M.

[dagger]

In an Income Trust, there is a huge difference between 'profit' (or alternatively Net Income) and cash available for distribution. The Jazz Income Trust still distributed $18.5M to unitholders in the same quarter that it declared a net income of just $6.2M.

Except the cash available for distribution will be impacted by the application of corporate income tax no later than next Jan 1 for Jazz when the Trust concept is abolished by law.

[rudder]

Finally, a word on the subject that matters most: the size of your distributions and dividends. Once the taxman reappears, companies will have about 30% less income left over to pay out to investors. But if you own your shares outside a tax-exempt account, you may not be much worse off because of the favourable tax treatment of dividend income. Canaccord Adams says that a $1 dividend could net you the same amount after tax as a trust distribution of $1.22 to $1.43.

Corporations and corporate taxes may not be that bad after all.

http://www.theglobeandmail.com/report-on-business/rob-magazine/the-perils-of-income-trust-conversions/article1548733/