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Merger...pros and cons

 
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the_380
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PostPosted: Fri Mar 16, 2007 12:02 am    Post subject: Merger...pros and cons Reply with quote

So now practically speaking since the merger's already done..there's no point in "going back" in time. Just decided to chalk down some future possibilities:

*Since the Left party would oppose the direct privatisation, they have to do it step by step. SOme of the following are the major steps involved:

    1. An agreement with ALL the employees is being made in both the airlines regarding wages.

    2. ALL employees are given a THREE YEAR JOB ASSUARANCE. After this some 'changes' will be made. Now in a Public Sector everyone knows where 10 people are needed there 25 people are employeed. (approx figures). There are many departments in both the airlines which have EXCESS people "working" (notice the quotation marks please). So these people will be transferred to those divisions where there is a shortage. Anyone NOT willing to do so will have to LEAVE the company after 3 years.
    NOTE: The above is for Commercial and Clerical depts in both the airlines only.

    3.Now the govt attempts and privatises a profit earning sector within the company...i.e. the engg dept gets sold to the respective MROs (AI engg go to AI MRO while IC go to Airbus MRO) The engg and tecnicians will be employees of their respective MRO and not the airline anymore. By doing this Airbus and Boeing pay huge sums to the GoI as they buy over the department

    4.Then the govt finally starts selling stakes from the new company again getting huge sums of money. This money is useful for reducing loans and purchasing new aircrafts.


*One good thing the unions (engg) of both the airlines have done is that they have finally forced the airline to accept one point and sign the agreement to that. This is that now AI and IC engg will no longer go to various out stations like they used to. The flights in places like USA, Europe, etc will be cleared by the engg with whom they will contract. By doing this hopefully there will be DRASTIC change in the delays. Delays will be reduced. AI and JAT JV is an example.

*Seriosuly have no idea about cabin crew standards. Hoping some effective ideas emerge.
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HAWK21M
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PostPosted: Fri Mar 16, 2007 8:12 am    Post subject: Reply with quote

If Engineering Staff are going to be under control of an MRO & not the Parent company.How many would be interested in working there.
How will the terms differ.
Personally I was looking fwd to AI because of the B787s.
regds
MEL
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the_380
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PostPosted: Sat Mar 17, 2007 2:33 am    Post subject: Reply with quote

HAWK21M wrote:
If Engineering Staff are going to be under control of an MRO & not the Parent company.How many would be interested in working there.
How will the terms differ.

The MRO will be a joint venture between the aircraft carrier and the govt with the govt in the start...slowly govt will sell its stakes in the MRO to the company (Airbus incase of IC and Boeing incase of AI)
As far as how many people will work is concerned im sure EVERYONE would because working enviroment will be much much better
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HAWK21M
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PostPosted: Sat Mar 17, 2007 7:30 am    Post subject: Reply with quote

the_380 wrote:
HAWK21M wrote:
If Engineering Staff are going to be under control of an MRO & not the Parent company.How many would be interested in working there.
How will the terms differ.


As far as how many people will work is concerned im sure EVERYONE would because working enviroment will be much much better


If the MRO is Airbus & Boeing.Def the Work Atmosphere would be Encouraging.But How would an Employee of the Airline be Payroll wise if they would not be reporting to the Airline directly.

regds
MEL
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the_380
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PostPosted: Mon Mar 19, 2007 6:03 pm    Post subject: Reply with quote

Mel, its basically going to be a Maintenance contract (engg) between both the airline and the two companies
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HAWK21M
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PostPosted: Tue Mar 20, 2007 8:32 am    Post subject: Reply with quote

Pls elaborate:-
Are the Employees on AI-IC roll.
Is Airbus/Boeing MRO going to use AI-IC staff.then what controls the work schedule.

regds
MEL
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the_380
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PostPosted: Tue Mar 20, 2007 9:37 pm    Post subject: Reply with quote

Hawk your answers are here:
    * Airbus absorbs all IC Mx staff after the MRO facility is made. SImilarly Boeing takes all AI Mx staff
    * Initially the GoI holds a major stake in both the MROs. Slowly they sell out their stakes and exit after a period of years.
    * Meanwhile the engg of AI (currently holding or will get licences of 737-800s, 777-200ERs, 777-200 LRs, 777-300 ERs and 787) will be signing all the above mentioned aircrafts. Similarly all the IC engg holding licences of the A319, A320, A321 and the A330s to come will sign all the Airbus aircrafts in the new merged airline.
    * Basically Airbus and Boeing pay a huge sum to take over the engg depts and the merged airline gets more incomes.
    * Its basically outsourcing the engg depts.

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HAWK21M
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PostPosted: Tue Mar 20, 2007 11:00 pm    Post subject: Reply with quote

Personally I'm concerned about the MROs retaining staff after they get 100% control.
Whats your Dads view.
regds
MEL
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