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What Could/Should the Government Do ?


Guest MikePapaKIlo

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Guest MikePapaKIlo

Looks like Air Canada has said no thanks to government money. Today, Clive was apparently in high gear on Parliament Hill lobbying against money for Air Canada. What is good for one better be good for all. The YYR/YQX thing. ;) A proposed new/revised airport act is available for viewing on the TC website.

What should the government do?

Lower/eliminate rent charged to airport authorities, and see /insist that savings accrue to the airlines and other operators such as charters and corporates ?

Control airport authorities spending ? Have an oversight groupo to ensure no more delusions of Taj Mahal monuments and million dollar art exhibits.

Re-federalize NavCan ? Transport Canada beaurocrats did it far, far cheaper, and every controller was an essential service encumbered person. People situated as high as Assistant Deputy Minister never saw the compensation packages that go around the executive suite at Navcan. It is interesting to see a filing under the securities act indicating the Navcan CEO's total compensation package was over $875,000 for 2002, an increase of over $300K over 2001.

Reduce/repeal the fuel tax ? COPA,CBAA and others have been lobbying for that for years, saying the fuel tax and navcan fees are double taxation.

So, what could be / should be on the table ??

What say you ?

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What does it say about Clive that he can't give up even when he's won? He's got to ensure that there is no chance AC can get up off the mat. Even when the Feds try to undo some of their own knots, he's there to make sure that doesn't happen.

The trouble is, he might succeed. What he might just learn, too late, is that government knives are sharp, and they don't stay pointed the same way very long. When Nav Can (among many others) turns to Westjet, as they did to AC after Canada 3000 failed, Clive's knife-twisting might well land him, and his employees, in over their heads. AC was once too proud and too arrogant. Ah, but that was different.....

Clive, it's time to show a little class. It's just good business sense. Aviation is an incredibly small world, and your good run cannot last forever.

But of course, this will fall on deaf ears. This has all the earmarkings of a personal fight, and we all know how those go....

Just my opinion
Vs

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Guest BigSkyGuy

As far as our CEO's compensation package you couldn't possibly be as disgusted as we, NavCan employees, are. However, suggesting that the ANS return to government hands suggests that you like just about everyone outside of the service providers is missing the point. For starters, how do NavCan user fees affect an airlines viability? They represent 1% of AC's expenses and flow right through to the passenger in the form of the surcharge.

For starters, one of the things required is actual regulation as opposed to the lip service that the Minister of Transport pays to the process. NavCan is able to do whatever they want because there is no effective regulation. Why are you so hot-to-trot to have controllers designated as essential services? We haven't diminished levels of service one iota even though we have been working without a contract for 2 years now with no end in sight.

What is really required is for people to actually start listening to the controllers who are the only ones who know how to improve the system. It's all about efficiency, and resources. Better training, more controllers, and a progressive service-provider/management relationship would work for starters. The bottom line is if you want to improve the system, it's going to cost a lot of money, but the savings to your blocktimes will by far offset the required increase in user fees.

Speaking for myself, I make decent money. Naturally I, like anyone would like to make more. However, like many of my fellow controllers, what provides me with the greatest amount of frustration is working every day in a system that falls far short of the mark in terms of providing the best service possible. Every single unit, every single sector, every single body of procedures has ample room for improvement. The training system for controllers is a joke. Procedures are full of holes. However, management repeatedly ignores our suggestions for improving the system. They 'know best'. It used to bother me tremendously. It feels good that I have stopped beating my head against the wall. Now, their continued bufoonery just amuses me.

I provide the best service that I can in spite of the system. Imagine what could be accomplished if the system actually supported our efforts, instead of obstruct them?

As far as my little corner of the world, the government should take a real hard look at NavCanada's business practices, and then clean house. Bring in some management and leadership that understands how to empower employees, and how to listen. Start regulating the ANS. Oh ya, one other thing. Get airline representatives off of our BoD. They don't know squat about running an ANS. They're the ones approving the compensation package for our CEO.

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What would you suggest Clive do? All he has done is make sure that what's 'good for the goose is good for the gander' Reduce/eliminate fuel and airport taxes, AIF's that are not etc. If AC is going to get a bailout then so should all, donch'a think? With the exception of the last point, all these would benefit AC more than the rest of the industry combined, so what is your problem? Clive is up on capital hill and this is undoubtedly not endearing him to the feds, a potentially risky strategy but I don't see any other CEO's standing up with him, maybe if they were???
JMO

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Guest Labtec

Only 1%? The very best airlines in the world run on about a 10% margin. THE VERY BEST. Air Canada has not even come close. An MP a few weeks ago said that the fees and taxes charged on the industry only amount to 3-5%. Do these people realize that our margin at the best of times has been about 5-8%? The annual revenue of Air Canada is about 10Billion these little percentages people bandy around represent a massive amount of money. ANS is there for us not the other way around. You are support services and support services can't exist without the people they support. Let's not forget that.


Labtec

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I don't think Clive is trying sewer AC. But he certainly doesn't want WJ to take it on the chin if Mr. Collenette were to give AC a pile of cash. Given RM's track record, if the feds gave him a him $500 million cash, I'm thinking he would burn it up with more "initiatives", like the $37 seat sale between YYC-YWG, or the $125 Tango YYZ-YYC fares. The taxpayer shouldn't have to fund that kind of mischief.

You might do well to remember that it was Clive Beddoe who kept the ever-rising fees, which are nothing but a punitive tax grab, in the public eye when Robert Milton wouldn't say a word. Maybe if RM had been a little more pro-active a year ago, we would all be better off.

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Guest kevenv

Where do you get your info? You really should try to collect accurate facts before posting here. NavCanada fees are 30 percent lower than what the Feds used to charge. NavCanada has invested huge amounts of money in new equipment that the Feds refused to do. AirCanada's fees DROPPED 8% in 2002. NavCanada and airport fees are paid directly by the passenger. When NavCAnada gave millions of dollars back to the airlines, where did the money go?

As for executive compensation, the airline industry controls our Board of Directors. They approve the compensation packages. I'm with you on this one. Pure hipocrisy and greed to receive that much and then claim they are broke.

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Guest kevenv

Where do you get your info? You really should try to collect accurate facts before posting here. NavCanada fees are 30 percent lower than what the Feds used to charge. NavCanada has invested huge amounts of money in new equipment that the Feds refused to do. NavCanada and airport fees are paid directly by the passenger, be it WJ or AC. When NavCanada gave millions of dollars back to the airlines, where did the money go?

As for executive compensation, the airline industry controls our Board of Directors. They approve the compensation packages. I'm with you on this one. Pure hipocrisy and greed to receive that much and then claim they are broke.

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