“MAYDAY MAYDAY MAYDAY”

This is a new message from the APA Strike and Tactical Operations Planning Committee.

The results of the Strike Authorization Vote will be posted early on May 1. Voting closes at 2359 Central on April 30. If you have not voted, click here to make your voice heard. Now is your time to make a direct impact on the outcome of these ongoing contract negotiations. GO VOTE!

Last week, the STOP Committee sent out a message called “The Management Playbook: How to Counter It” to set expectations for what might come during the final stretch of bargaining. We also covered this topic in the latest episode of APA’s “Positive Rate” podcast. We must continue to stand together as a strong and unified pilot group to ensure we have the industry-leading contract we deserve and have worked so hard to obtain. We may be close, but not close enough. Therefore, we must continue to act in parallel with our Negotiating Committee and send a strong message to management.

On May 1 – “MAYDAY” – we ask ALL pilots who are off work (including probationary and LTD pilots) to join us on the picket lines in any of our 10 domiciles. The picketing will happen between 1100 and 1300, regardless of time zone. If you are waiting at the company’s mercy with sit time, come picket. The bottom line: We will send a single unified message to management on Monday.

These RSVP links include more details about each picket location.

Spouses are welcome to attend as volunteers to help hand out water and assist with coordination. They should contact CA Andrea Hoover at ahoover@alliedpilots.org to RSVP.

APA leadership is urging “Maximum Membership Participation.”

If you still have questions or concerns, please reach out to your Domicile Officers or call the Strike Center at 855-AP-STRIK (855-277-8745).

AAL Reports Record 1Q Revenue and Free Cash Flow

The following are excerpts from AAL’s press release and investor update regarding first-quarter earnings and results:

Record first-quarter revenue of $12.2 billion, which represents a 37% increase year over year on 9.2% more capacity. The strong revenue performance was driven by the continued strength of the demand environment.
Generated record operating cash flow of $3.3 billion and record free cash flow of $3.0 billion in the first quarter.
Excluding net special items, first-quarter net income of $33 million.
Ended the quarter with $14.4 billion of total available liquidity.
Reiterating full-year 2023 adjusted earnings per diluted share target of $2.50 to $3.50.
The company is approximately 60% of the way to its goal of reducing total debt by $15 billion by the end of 2025. As of March 31, 2023, American had reduced its total debt by more than $9 billion from peak levels in the second quarter of 2021.
The company ended the quarter with approximately $14.4 billion of total available liquidity, comprised of cash and short-term investments plus undrawn capacity under revolving and other short-term credit facilities.

AAL guide going forward:

Capacity - The Company expects its second-quarter capacity to be up approximately 3.5% to 5.5% versus the second quarter of 2022. Based on current assumptions, the Company continues to expect its full-year capacity to be up approximately 5% to 8% year over year.
CASM-ex fuel - The Company expects its second quarter CASM-ex to be up approximately 3.5% to 5.5% versus the second quarter of 2022. The Company’s forecast includes the estimated impact of a new pilot agreement in the second quarter and other open labor agreements in the second half of the year. Anticipated new labor agreements are estimated to have a full-year 2023 impact of approximately 3 points of CASM-ex.
Adjusted Earnings Per Share (EPS) - The Company presently expects its second quarter adjusted earnings per diluted share to be between approximately $1.20 and $1.40. The Company continues to expect its full-year adjusted earnings per diluted share to be between $2.50 and $3.50, based on current assumptions.

Analyst Inquires About Impending Pilot Contract

During AAL’s earning call with analysts and the media on Thursday, JP Morgan airlines analyst Jamie Baker asked for more details on our impending contract.

Jamie Baker: “Devon, just a quick question on the labor cost accruals. I want to make sure I understand correctly. Those accruals – well, do the accruals include any changes in profit-sharing formulas anywhere else in the P&L? Or is it simply a wage-based accrual? Given your answer to Mike’s question, I think that’s the right answer. It’s just a wage-based exercise.”

CFO Devon May: “For what’s in the second quarter, based on where we’re at in negotiations and an assumption that we actually reached a tentative agreement this quarter, what we have in our guidance is an assumption that we will be at higher wages for our pilot workgroup for the quarter. Other workgroups, we expect to reach tentative agreements later in the year. So there’s no impact from those groups in the second quarter.

“And as for profit sharing, no expected profit sharing changes this quarter, but we do have an expectation for a change in profit sharing for those workgroups in the back half year.”

CEO Robert Isom: “Jamie, let me add on here, too. I know that that was a question about real P&L items. But at the end of the day, we’re going to end up with a contract that not only takes care of our pilots from a compensation perspective, but also quality of life. But the good news on that front is that, look, I think that we’re going to be in a position where the changes that we’re making are going to benefit not only our pilots, but the airline as well. So I look to changes that are being made as something that we’ll be able to accommodate over time without a lot of impact to productivity.”

Profit-Sharing Update – AAL Pilots 1.3%, DAL Pilots 5.57%

In tandem with AAL’s 1Q results, management disclosed (via Jetnet) that profit sharing for pilots will be 1.3% of W-2 earnings.

Management adjusted the profit-sharing measurement period to exclude the first quarter of 2022 (a quarterly loss). Therefore, the profit-sharing period ran from the second quarter of 2022 through the first quarter of 2023.

Management also disclosed that the checks will be distributed on May 26, 2023, the Friday of Memorial Day weekend.

Note that Delta pilots’ 2022 profit-sharing checks were distributed on Feb. 14, 2023. Delta pilots received 5.57% of their W-2 earnings.

This chart compares AAL profit-sharing levels with Delta pilots. Note that the differences among AAL work groups are due to other unions’ new contracts.

“Summer is Likely to be Another Mess”

Fodor’s Travel contacted APA Communications Committee Chair CA Dennis Tajer when reporting an article about pilot shortages, which “will lead to fewer flights, more cumbersome connections, and more delays when the chain breaks due to weather or other related factors.” The article ends with this passage:

“Dennis Tajer, an American Airlines captain and spokesperson for the Allied Pilots Association, isn’t feeling optimistic about summer travels. He told Fodor’s, ‘Everything that could be pressuring the margin of safety, reliability, and pricing [upward] will be happening this summer.’ They are already seeing tight pilot schedules with little buffers. In his words: Another recipe for a meltdown.

“There are multiple problems right now: understaffed and unseasoned workers, shortage of air traffic controllers, and a surge in travel demand. Cutbacks in schedules will lead to higher prices, he said, but what airline management teams are trying to do is impossible with a less seasoned workforce. ‘This summer is likely to be another mess with stranded passengers and flight crew as a common headline.’”

CA Tajer stressed the same concerns when Chicago radio station WGN talked to him about unruly passengers and a bill that would establish a federal no-fly list. Near the end of the interview, the host asked whether this summer would be as chaotic as last summer.

“I wish I had different news, but I have no reason to believe it won’t be as tough as the previous. And we’re doing all that we can to remove that uncertainty – with our particular company at American Airlines – for pilots, but so far, we’re not seeing a lot of clear signs.”

Clearly, all eyes are on the uncertainty of summer air travel.

APA Board of Directors Concludes Special Meeting

The APA Board of Directors reconvened at APA headquarters at 0900 Central today for closed-session briefings by the Negotiating Committee and Grievance Resolution Ad Hoc Committee. While in open session, the Board voted to approve:

An amended Acceptable Use Policy for APA’s online services
R2023-12, “Negotiating Committee Compensation – Remove Existing Provisions”

The Board adjourned its meeting at 1230.

In accordance with R2016-11, we are providing a synopsis reflecting all main motions and resolutions that the Board addressed today.

In accordance with R2017-37 Rev 1, video footage of the open portions of the Board meeting will soon be posted to AlliedPilots.org/BODMeetingRecordings.

Meet Your APA Contract Compliance Committee

Communications Committee member FO Shalyn Marchetti wrote this profile, which will be the first in a series highlighting national committees.

We’ve all called the number. Any questions we might have, they are there for us. Whether it’s a reassignment, a schedule disruption, a positive COVID test, or a family emergency that requires leaving a trip, APA’s Contract Compliance Committee and the Contract Administrators are the first stops for pilots – at least, they should be.

APA provides support to answer your contract questions primarily with two groups. APA employs 12 Contract Administrators who support our pilots between 0700 and 1900 Central on a daily basis. APA also has five pilot volunteers who form the Contract Compliance Committee (CCC). These two groups work together to answer questions and resolve contractual issues. Contract Administrators attend CCC-produced training, and the groups regularly have joint coordination sessions.

As Contract Compliance Chair CA Jason Saxer says, “Contract Administrators and CCC work together. There is a near-constant stream of questions, so there must be a constant stream of answers. Knowledge is always being shared both ways.” But it’s not just Contract Administrators and Contract Compliance working together.

Contract Compliance works with all of APA. “Coordination is huge between committee members and the rest of the building,” CA Saxer says. Even when it comes to negotiating our new contract, Contract Compliance is there. Former Contract Compliance Chair CA BJ West is now a Negotiating Committee member, and CA Saxer has been present during bargaining sessions. As CA Saxer says, “It’s vital that we are part of the process so when we implement a new CBA we can explain it to the membership.” And who better to have working for our new contract than those who have to answer pilots’ questions on a daily basis?

Click here to read more.

Calling in Sick for Pick-up Sequence

This is the latest in a series of Q&As from the APA Contract Compliance Committee.

Q: I was awarded a pick-up sequence through the DOTC application. I am now sick and cannot report for that sequence. I have time available in my Sick Bank. Will I be paid for the sequence?

A: According to Q&A 15-28, if you advise the Company that you are sick and will be unable to fly prior to sign-in, you will not be charged sick and the sequence should be removed with a “15” (Miscellaneous Removal, no credit [PROJ] and no pay [PPROJ]). However, if you signed in for the pick-up sequence and – prior to departure of the first flight – advise the Company that you will be unable to fly, your Sick Bank (if available) will be charged for the value of the sequence. The sequence should be removed with SK (Sick, credited [PROJ] and “paid” [PPROJ]) or US (Unpaid SK, credited [PROJ] and unpaid [PPROJ]), as applicable.

In either scenario, you will be placed on the Sick List and will remain there until you utilize the contractual methods to clear. If your sequence was removed with 15, you may pick up or trade across that original Sequence Footprint after clearing the Sick List. If your sequence was removed with SK or US, the Sequence Footprint will be blocked with credit.

15-28
Q. A pilot in pick-up was proffered and awarded a trip sequence via the Daily Open Time Coverage (DOTC) process. The pilot subsequently advised the Company he/she was sick and would not be able to fly the awarded pick-up sequence. Is the pilot entitled to the pay for this pick-up sequence?
A. No. A pilot removed from a trip sequence due to an illness will only be paid for sequences acquired via a PBS line award, SEP, TTS or a trip-trade with another pilot.

15-30
Q. A pilot in pick-up proffered and was awarded a trip sequence. Such pilot reported and signed in for the pick-up sequence. Prior to departure of the first (1st) flight of the sequence, the pilot advises the Company he/she is sick and will not be able to fly the awarded pick-up sequence. Is the pilot entitled to the pay for this pick-up sequence?
A. Yes. A pilot is considered on duty one (1) hour prior to the scheduled or rescheduled departure time of the first flight of a duty period, or thirty (30) minutes prior to the scheduled or rescheduled departure time of a deadhead flight. Once a regular scheduled pilot commences a duty period and is unable to fly due to an illness, such pilot is entitled to the pay of this pick-up sequence.

Transportation Issues Continue

This is a new message from the APA Hotel Committee.

In addition to transportation “double-up” reports, the number of reports for untimely transportation – or no transportation at all – are on the rise. Hotels and third-party transportation companies have had issues hiring enough staff to accommodate their business, resulting in them overextending their resources. Additionally, we have had many reports of TA Connections (formerly Travelliance) completely forgetting to arrange transportation after booking hotel accommodations for our crews or not verifying that the hotel-provided transportation times were in alignment to the crew’s schedule.

Here are your options when transportation is untimely, absent, or never scheduled by TA Connections:

Contact the AA Hotel/Limo Desk (TA Connections), verify transportation, and have them send a car if not previously arranged.
Continue to wait for the hotel shuttle or third-party provider.
Exercise your contractual rights and secure your own transportation.

Section 7.C of the JCBA says, “Pilots who are authorized lodging shall be allowed actual expenses incurred for necessary transportation between the airport and the hotel of lodging if the: (1) planned transportation is untimely, or (2) ground transportation is not made available by the Company.”

How long should you wait? You get to decide what is “untimely.” There is NOTHING in the contract that specifies a time. Should you find the wait untimely, you are within your contractual rights to secure transportation and receive reimbursement via the SAP Concur app on your AA iPad. Please file a Hotel Debrief if your transportation is untimely, a no-show, never arranged by TA Connections, doubled up, or has any other problems.

For more information, see the QRH – Quick Reference Hotels document, which should answer 99 percent of all hotel and transportation questions while providing helpful solutions. Suggestion: Download this QRH document to your iPad for easy access.

Data Requested for DEL Sequences

This is a new message from the APA Flight Time/Duty Time Committee.

All FAR 117 AMOCs require continuous data collection to validate that an equivalent level of safety is being maintained. Though a proposed AMOC is thoroughly evaluated for any potential fatigue risks, collecting alertness data allows both the FAA and the Certificate Holder to use deidentified, aggregate data analyses to see whether the flight is operating as predicted, and to address any unforeseen data trends.

American Airlines collects all of its AMOC data directly from the pilots. The primary method for AMOC evaluation is through paid volunteers who agree to log sleep and alertness data. Participants are compensated $50 for each day that they complete all the requirements of the study. Simply put, the pilot wears a watch that looks similar to a Fitbit, but only collects sleep data starting 2 days before through 2 days after the trip. During the DEL operation, the pilot will also do periodic reaction time tests and take a workload survey.

NASA processes the data and provides the necessary analysis. Again, all data is deidentified and used only in aggregate form for evaluation of the AMOC. All AA FRM, FAA, and NASA participants are sensitive to the nature of the data being collected and comply with the conditions and limitations of the AMOC to ensure the confidentiality of each participant. All data collected is used solely to evaluate the effectiveness of the AMOC.

Pilots may also participate in a reactive survey available to anyone who did not participate in the paid data collection. This survey permits capture of alertness data on these flights and provides opportunity for feedback to be given. You can take this survey on your iPad using Comply365.

Anyone wishing to participate in the study should contact AA Fatigue Risk Managment at FRMS@aa.com or 817-209-7720. Additionally, questions related to the AMOC or data collection specifically can be directed to your Flight Time/Duty Time Committee at FTDT-Committee@alliedpilots.org.

Pigs of the Week

APA commends American Airlines’ hardworking aircraft maintenance technicians for their outstanding work. We believe they are the best in the business. When repetitive problems do arise, they’re often due to managerial decisions that fail to properly prioritize tasks and to management’s decision to outsource a significant portion of the airline’s maintenance to offshore, third-party repair stations.

Since March 15, B737 aircraft 3HE has been written up seven times for “L1 door hard to open” and been out of service six times. This was most recently signed off on April 24.
Since April 6, the alternate brakes on A321 aircraft 987 have been written up seven times and been out of service six times. This was most recently signed off on April 25.
Since April 1, B737 aircraft 3FJ’s left engine thrust reverser has been written up 10 times and been out of service four times. This was most recently signed off on April 27.

APA Welcomes New Pilots

This is a new message from the APA Membership Committee.

Click the image for a closer look.

The APA Membership Committee welcomed the following pilots during a casual dinner on April 25: Juan Acevedo Zuluaga, Kristofer Alexander, Ryan Allen, Frederick Ard, Guilherme Benette, Brian Benge, Jeffrey Borrero, Oliver Boucher III, Trevor Bridges, Matthew Burr, Richard Bustos, John Clark, William Crouch, Eric De Carvalho Coelho, Austin Edwards, Douglas Evans, Jeremy Fowler, Richard Fox, Timothy Gibbons, Frank Girges, Jean Hachem, Benjamin Horton, Taylor Howle, Benjamin Jahnke, Leighton Kaluza, Sawyer Kelly, Christian Kutenics, Barry Lee, Ronald Lorenz, Bryan Mazer, Peter McInnes, Patrick Moffet, Jorge Molina, Chad Moore, Daniel Morrow, Alexander Mulac, Travis Nichols, Antoinette Paris-Hudson, Clayton Percle, Tonya Pettibone, Charles Restall, Jordan Sharpe, Robert Swanson, Amos Terpstra, Andrew Thomas, Patrick Tinney, Jon Trevisani, Erick Valenzuela, Daniel Weiland, Luther Wiggins, and Dwayne Young.

APA Welcomes Captains’ Leadership Class

This is a new message from the APA Membership Committee.

Click the image for a closer look.

On April 26, the APA Membership Committee hosted a casual dinner for the following pilots who were in Fort Worth for American Airlines’ Professionalism, Leadership, and Mentoring class: Paul Bageman, Benjamin Baker, Christopher Catello, Robert Cunningham, Kenney Diffee II, Sonny Fong, Peter Gaylord, Joseph Greentree, Richard Hall, Aubrey Harris III, Michael Hartmann, Cameron Hatton, Nicholas Hayes, David Hitte, Joshua King, Geoffrey Kruglik, Tyler Lavineta, Erik Lofgren, Per Lovfald III, Thomas Nave II, Robert Nowinski, Edwin Nowlin III, Frederick Staats, Brian Stuart, Monika Wallin, and Tanya Wyanski.

Domicile Events

APA Vice President CA Chris Torres and DFW Domicile Vice Chair FO Jason Gustin talked to pilots at DFW on Monday.

Domicile Officers and National Officers joined volunteers from the APA Strike and Tactical Operations Planning Committee and the National Communications Network for Concourse Conversations this week. These leaders encouraged all pilots to participate in the strike authorization vote that closes on April 30 and the systemwide informational picketing on May 1.

Get more details about these upcoming events at AlliedPilots.org/Calendar:

DCA: West Virigina Brunch on May 4; Annapolis Breakfast on May 5
DFW: Pilot Retirement Party on May 6; Pilots for Kids Golf Tournament on May 15; Concourse Conversations on May 18
LAX: Pilot Retirement Party on June 3
ORD: Galt Airport Pancake Breakfast on May 27
PHL: Town hall on May 1; Joint town hall with PHX on May 16
PHX: Pilot Retirement Party on May 5; Joint town hall with PHL on May 16

Domicile Elections

The following results of the ORD Runoff Round were certified by the American Arbitration Association on Thursday:

ORD Chair
CA Jon Glenna
CA Wesley (Wes) Smith

213
324

ORD Vice Chair
FO Thomas Hickson
FO Paul Meyers

223
318

CA Smith and FO Meyers will begin their two-year terms on May 1.

The next domicile elections on tap are PHL and PHX, for two-year terms beginning on Nov. 1.

For more information, visit AlliedPilots.org/Elections.

Are You Willing to Serve?

Each of these national committees or subcommittees has the indicated number of vacancies:

Aeromedical Committee (0)
- Critical Incident Response Program (1)
- Disabled Pilot Awareness Subcommittee (3)
- Human Intervention Motivation Study Subcommittee (3)
- Pilot Occupational Health Subcommittee (2)
- Project Wingman Subcommittee (4)
Captain’s Authority Committee (4)
Communications Committee (0)

National Communications Network (6)

Compass Project (5)
Grey Eagles Liaison Committee (1)
Hotel Committee (2)
Jumpseat/Non-Rev Committee (1)
Professional Standards Committee (1)
Retirement & Benefits Committee (2)
Safety Committee (0)

Air Traffic and Procedures Subcommittee (3)
Environmental Sustainability in Aviation Subcommittee (2)
Flight Operations Quality Assurance Subcommittee (1)

Scheduling Committee (9)
Training Committee (3)

Checkmate (1 on 787, 2 on 777, and 2 on 320)

Uniform (1 female)

If you would like to serve on one or more of these committees, visit the National Committee Volunteer Portal.

Professional Standards FAQs

Will the other person know it’s me who made the call?
Our cornerstones are: confidentiality, neutrality and transparency. We make every effort to protect the identity of the reporting party and, in most cases, anonymity is preserved. In a direct conflict between two parties there is little need for remaining anonymous. In a case involving observed behavior, maintaining anonymity is easier.

To read all of the FAQs, click here.

Professional Standards’ 24/7 hotline: 817-402-2181

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