Jazz Air LP signs 5 year deal with Thomas Cook Canada

[teacher]

Good news!

JAZZ AIR LP CONCLUDES NEGOTIATIONS FOR A FIVE-YEAR FLIGHT SERVICES AGREEMENT WITH THOMAS COOK CANADA
Written by JAZZ AIR INCOME FUND
Thursday, 30 September 2010
HALIFAX - Today, Jazz Air LP ("Jazz") announced that it concluded negotiations with Thomas Cook Canada Inc. ("Thomas Cook") with respect to their flight services agreement, establishing the pricing for a five-year term ending April 30, 2015.

Last April, Jazz signed a flight services agreement with Thomas Cook to operate flights on its behalf during the winter season (November through April). In the initial season, Jazz will operate six Boeing 757-200 aircraft to various destinations in the Caribbean, Mexico and Central America from Toronto, Ottawa, Montreal and Halifax under the Thomas Cook Canada brand, subject to Jazz obtaining the required regulatory approvals. Service will commence on November 5, 2010 and will feature several product enhancements developed jointly by Jazz, Thomas Cook and its Sunquest Division.

"This strategic partnership is Jazz's first foray in providing services to a tour operator and forms an important part of our plan to continue growing and diversifying our business," said Joseph Randell, President and Chief Executive Officer, Jazz Air LP.

In 2011, Jazz expects growth in flying under its capacity purchase agreement with Air Canada. Based on the Annual Operating Plan provided by Air Canada which is provided for budget and planning purposes and is subject to change, Jazz anticipates flying approximately five percent more block hours year over year. Jazz estimates the total billable block hours for the year 2011, which include the Thomas Cook flying, to be between 400,000 and 410,000 block hours. Beginning in June 2011, Jazz will introduce the new Bombardier Q400 NextGen aircraft to support the Air Canada service.

"We are pleased to add the Q400 aircraft and to grow our flying with Air Canada once again," said Randell. "We are encouraged by the increased flying which reflects a moderate recovery from the economic downturn."

http://www.aviation.ca/content/view/9210/117/

[Samson]

Service will commence on November 5, 2010

Complaining will commence on November 6, 2010 that the guy taxiing by in the Dash 8 is taking home the same amount of money as the guy responsible for operating a 757.

[Mclovin]

Service will commence on November 5, 2010

Complaining will commence on November 6, 2010 that the guy taxiing by in the Dash 8 is taking home the same amount of money as the guy responsible for operating a 757.

Bravo

[hithere]

Unfortunately no mention of increasing the 757 fleet to 11

[whiteguy]

Unfortunately no mention of increasing the 757 fleet to 11

I think the first winter was always going to be 6 aircraft. The increase to 11 is over the next couple years, IF there is a need for it.

[flyinhigh]

Service will commence on November 5, 2010

Complaining will commence on November 6, 2010 that the guy taxiing by in the Dash 8 is taking home the same amount of money as the guy responsible for operating a 757.

Uhh someone upset they couldn't bid it.

Get over the money issue guys, its getting old

I find it funny how everyone on here can't comprehend statues pay, but yet they'll jump at a chance to work for us.

[teacher]

Has ANYONE ever heard someone conplain about the '57 and status pay IN the company? I've heard it once, that's it. The vast majority of the guys flying it are just fine with the system. The only folks with issues are non employees it seems.

[Chuck Yeagermister]

I love how Im paid almost more to eat food than for the actual job. Next Contract we should have our sights on Dessert or brunch!

[TAWS]

Complaining will commence on November 6, 2010 that the guy taxiing by in the Dash 8 is taking home the same amount of money as the guy responsible for operating a 757.

Samson, you have one hate on for Jazz.

A review of say your last 20 posts proves that.

What's your problem? Jesus man, I am starting to worry about your health. I'd hate for Jazz to be the reason you beat your wife, or climb a water-tower.

Take a deep breath and move on....

[teacher]

It's also not the status pay system that we should be concerned and upset about but the lack of collective bargaining in good faith and govornment and corporate manipulation and interference.

[Mig29]

To me this sounds like really good news for Jazz!!

(Regardless of this ongoing head butting about status pay and 57's )

[Samson]

You're right. I'm never going to get through to anyone on here. People believe what they want to believe or what they've been trained to believe. At first I thought it was just people's egos talking that had them coming on here in droves to defend Jazz but now I'm becoming aware that they actually believe they are being reimbursed fairly for the job they do day in and day out. I might as well beat my head against the wall. If I convinced one young pilot reading this not to apply to Jazz and chase a paycheck instead of a big hat and wheely bag then I'm happy.

[habs]

Ciao Samson.

Back on topic. I don't think TC and Jazz got together for 6 57's. I'm hearing 11 57's and some A320/330 stuff on the horizon (2012).

[rudder]

You're right. I'm never going to get through to anyone on here. People believe what they want to believe or what they've been trained to believe. At first I thought it was just people's egos talking that had them coming on here in droves to defend Jazz but now I'm becoming aware that they actually believe they are being reimbursed fairly for the job they do day in and day out. I might as well beat my head against the wall. If I convinced one young pilot reading this not to apply to Jazz and chase a paycheck instead of a big hat and wheely bag then I'm happy.

You believe that fair pay is what goes into YOUR wallet. Jazz pilots believe that fair pay is what goes into the collective wallet. That system pays many pilots exceedingly well, and allows them a lifestyle that normally would have to be sacrificed to chasing a larger aircraft type or moving/commuting to a different base.

Is the system sustainable? Time will tell. And it is fine that other don't appreciate the system. It is not intended for their benefit.

[teacher]

Not only is it sustainable but it's better for the collective group and for the company. Imagine the cost savings if mainline had status pay. How many millions would be saved in training costs? You wanna save AC money well there you go.

BTW I know it would never happen, I'm just saying.

[Chuck Yeagermister]

Status pay works at places like Transat, Westjet etc places with fleet commonality. Ive heard the arguments and still at the end of the day jazz is dash 8 paid pilots now flying big aircraft. Why are you so proud of that!

[cienki]

Perhaps its been answered elsewhere, but where is Jazz acquiring these '57s from?

[Mclovin]

Perhaps its been answered elsewhere, but where is Jazz acquiring these '57s from?

Thomas Cook

[GTFA]

Status pay works at places like Transat, Westjet etc places with fleet commonality. Ive heard the arguments and still at the end of the day jazz is dash 8 paid pilots now flying big aircraft. Why are you so proud of that!

YAWN...

[Cam]

Are they going to be repainted in Jazz livery?

[tailgunner]

" Be careful what you wish for..."
If this agreement between Jazz and TC evolves into a bigger and closer relationship vis-a-vis 11 757's, 320/330 stuff and Europe etc....there will/could be a backlash from AC.
AC will probably amend their relationship to the full extent of the CPA...This may mean reduced cpa flying for Jazz...AC has room to reduce Jazz's flying significantly under the existing CPA. A reduction may mean tough times for Jazz and unfortunately it could cost Jazz pilots' jobs...
AC will not be thrilled to see a TC 757 compete against their 767 heading to LHR ..TC 320's heading to the south beside AC's 320's will not be viewed kindly me thinks...
So IF AC reduces Jazz's flying by 25% or decides NOT to replace the crj 100/200's how many jobs may be in jeapardy?

[Localizer]

" Be careful what you wish for..."
If this agreement between Jazz and TC evolves into a bigger and closer relationship vis-a-vis 11 757's, 320/330 stuff and Europe etc....there will/could be a backlash from AC.
AC will probably amend their relationship to the full extent of the CPA...This may mean reduced cpa flying for Jazz...AC has room to reduce Jazz's flying significantly under the existing CPA. A reduction may mean tough times for Jazz and unfortunately it could cost Jazz pilots' jobs...
AC will not be thrilled to see a TC 757 compete against their 767 heading to LHR ..TC 320's heading to the south beside AC's 320's will not be viewed kindly me thinks...
So IF AC reduces Jazz's flying by 25% or decides NOT to replace the crj 100/200's how many jobs may be in jeapardy?

How many times are people going to say the same argument? Why don't we spin it another way .. what if AC see's how well the Jazz operation goes and decides to send all vacation flying to Jazz? .. Maybe this scenario is something you should think about while you ponder giving Sky Regional a let in your scope clause, because this could be the tip of a big iceberg heading your way.

As a side note Jazz is projecting a 5% increase in CPA flying next year. Now like I said, go think about the ramifications of allowing another tier 2 carrier in your contract, before trying to screw Jazz pilots over flying that doesn't concern you.

[otc]

So are the vacation packages going to be sold/marketed as Thomas Cook vacations or via Sunquest which they already own ?

[rudder]

" Be careful what you wish for..."
If this agreement between Jazz and TC evolves into a bigger and closer relationship vis-a-vis 11 757's, 320/330 stuff and Europe etc....there will/could be a backlash from AC.
AC will probably amend their relationship to the full extent of the CPA...This may mean reduced cpa flying for Jazz...AC has room to reduce Jazz's flying significantly under the existing CPA. A reduction may mean tough times for Jazz and unfortunately it could cost Jazz pilots' jobs...
AC will not be thrilled to see a TC 757 compete against their 767 heading to LHR ..TC 320's heading to the south beside AC's 320's will not be viewed kindly me thinks...
So IF AC reduces Jazz's flying by 25% or decides NOT to replace the crj 100/200's how many jobs may be in jeapardy?

You need to read the CPA to better understand what AC can and cannot do. And more importantly, the impact that those decisions will have on AC's own bottom line. The CPA is a contract between two parties - AC cannot act unilaterally outside the terms of that contract. Given that AC is increasing Jazz's CPA flying for 2011, it would appear that good business sense has triumphed over bruised egos.

The tender of the YTZ flying to a new vendor will most certainly be on terms very favourable to AC. This will likely include early termination provisions. Good luck to the SKY guys, you will need it. AC is going to bleed red ink at YTZ and their patience may not last the full 5 years.

[Joe Blow Schmo]

Status pay works at places like Transat, Westjet etc places with fleet commonality. Ive heard the arguments and still at the end of the day jazz is dash 8 paid pilots now flying big aircraft. Why are you so proud of that!

I'm no fan of status pay for airlines with big differences in types, but the Jazz guys have covered themselves quite well in this case. The salary for the 757 is $168/hr I believe. They just share it amongst everybody. If they get more 75s then everybody gets more money. If they reduce the number of dashes or RJs then everybody gets more money (except the guys who get laid off of course). In the extreme case if they were to get rid of all Dashes and RJs and only operate 757s then all captains would make $168/hr automatically with no need for more negotiations.