Go Back  FlyerTalk Forums > Miles&Points > Airlines and Mileage Programs > Air Canada | Aeroplan
Reload this Page >

Air Canada to launch cut-rate vacation carrier

Community
Wiki Posts
Search

Air Canada to launch cut-rate vacation carrier

Thread Tools
 
Search this Thread
 
Old May 9, 2011, 11:35 pm
  #91  
A FlyerTalk Posting Legend
 
Join Date: May 2002
Location: YEG
Programs: HH Silver
Posts: 56,446
http://www.montrealgazette.com/news/...323/story.html


TORONTO – The negotiating committee for Air Canada’s pilots union is urging its membership to support the airline’s plans for a new low-cost carrier, arguing that without it the carrier will shrink its Airbus fleet, or try to manoeuvre around their collective agreement to outsource the work.

The Air Canada Pilots Association began voting on whether to approve its tentative agreement on Monday, a process that is expected to take 10 days. But the contract has come up against stiff opposition from the union’s membership, in part because of plans for the low-cost carrier and the lower wage and different work rules for its employees.

The pilots’ negotiating committee, however, has embarked on a campaign to dispel what it says are “misconceptions” about the proposed pact, including those about the low-cost carrier.

“The LCC concept is demanded by the travelling public,” the negotiating committee said. “We must adapt to the new realities. We can either participate or let that flying and those pilot jobs go elsewhere.”
tcook052 is offline  
Old Aug 2, 2011, 5:17 pm
  #92  
A FlyerTalk Posting Legend
 
Join Date: May 2002
Location: YEG
Programs: HH Silver
Posts: 56,446
http://www.ctv.ca/generic/generated/...le2117570.html

Air Canada has cleared a crucial hurdle in its bid to launch a discount leisure airline, winning the support of the union representing flight attendants.

The Canadian Union of Public Employees told its 6,800 members in an internal memo on Tuesday that “Air Canada mainline jobs will be better protected” with the emergence of the budget carrier, which is poised to compete next winter against tour rivals such as Transat A.T. Inc. and Sunwing Travel Group.

Air Canada is striving to start the new division by early 2012 with four Boeing 767s and six Airbus A319s, with the potential to increase the fleet to 50 planes by 2015 and create hundreds of jobs for flight attendants.
tcook052 is offline  
Old Aug 2, 2011, 5:20 pm
  #93  
Suspended
 
Join Date: Jan 2010
Location: Calgary, Alberta
Programs: Hyatt Diamond, Fairmont Platinum, Aeroplan Diamond, HHonors Gold, SPG Gold
Posts: 18,686
I would think there would be some quota and benefits guarantees if the union ratify the pact.. AC needs the LCC component.. and hopefully the market is well balanced with its offerings to keep many competitors viable in the market..
Ancien Maestro is offline  
Old Aug 2, 2011, 6:13 pm
  #94  
 
Join Date: Sep 2010
Location: YVR
Programs: AC*SE MM, Marriott Lifetime Titanium
Posts: 4,604
Hopefully the 767s they'll use will start with taking the three amigos out of the core AC fleet.

Is the LCC indented for new destinations or to replace some existing ones? I wouldn't be happy if routes like Hawaii and other sun destinations were suddenly only offered by the LCC and not AC, and hence no J cabin.
yvr76 is offline  
Old Aug 2, 2011, 6:41 pm
  #95  
 
Join Date: Oct 2008
Location: YYC
Posts: 4,035
Originally Posted by yvr76
Hopefully the 767s they'll use will start with taking the three amigos out of the core AC fleet.

Is the LCC indented for new destinations or to replace some existing ones? I wouldn't be happy if routes like Hawaii and other sun destinations were suddenly only offered by the LCC and not AC, and hence no J cabin.
I think you will see that the mainline/LCC offering on each route very closely match the popular ground options on each route. Flights to destinations popular with the 4/5 star hotel customers will have more mainline; those popular with 2/3 star hotel customers will have more LCC.
rehoult is offline  
Old Aug 2, 2011, 7:01 pm
  #96  
 
Join Date: Dec 2006
Location: Closer to YTZ
Programs: Fairmont Platinum | AC Gate Lice Status | VIPorter
Posts: 2,554
I'd like to suggest a name: Zoop

(a combination of Zip and Zoom)
Tangoer is offline  
Old Aug 2, 2011, 7:40 pm
  #97  
A FlyerTalk Posting Legend
 
Join Date: May 2002
Location: YEG
Programs: HH Silver
Posts: 56,446
Originally Posted by Tangoer
I'd like to suggest a name: Zoop

(a combination of Zip and Zoom)
No way, too many scatological rhymes enabled by such a moniker.
tcook052 is offline  
Old Aug 2, 2011, 7:52 pm
  #98  
 
Join Date: Feb 2005
Location: Toronto (YYZ)
Posts: 6,279
Originally Posted by yvr76
Hopefully the 767s they'll use will start with taking the three amigos out of the core AC fleet.

Is the LCC indented for new destinations or to replace some existing ones? I wouldn't be happy if routes like Hawaii and other sun destinations were suddenly only offered by the LCC and not AC, and hence no J cabin.
I think the LCC will probably service:

Barcelona
Athens
Lisbon
Dublin
Amsterdam
Edinburgh
Rome
imverge is offline  
Old Sep 21, 2011, 3:15 pm
  #99  
A FlyerTalk Posting Legend
 
Join Date: May 2002
Location: YEG
Programs: HH Silver
Posts: 56,446
http://www.canadianbusiness.com/arti...r-says-analyst

MONTREAL - Approval of a labour deal between Air Canada and flight attendants should ease negotiations with the airline's other employees and may reduce the impetus to launch a low-cost carrier, an industry observer said Wednesday.

Canada's biggest carrier (TSX:AC.B) has said it needs an improved cost structure from a separate low-cost carrier to compete on leisure routes to Europe and the Caribbean.

But Robert Kokonis, president of airline consulting firm AirTrav, said collective agreements that lower pension costs and change work rules may allow Air Canada to avoid the complexity of establishing another carrier altogether.

"If Air Canada can achieve most of what it needs to achieve on a labour cost or pensions front just with the present carrier, it may nullify some of the requirement to open up a low-cost carrier," he said in an interview.
tcook052 is offline  
Old Sep 21, 2011, 7:30 pm
  #100  
 
Join Date: Dec 2007
Location: Toronto - YYZ
Programs: Aeroplan/Hilton Gold/Marriott Bonvoy Titanium/Accor/Hyatt Gold Passport
Posts: 5,899
Originally Posted by imverge
I think the LCC will probably service:

Barcelona
Athens
Lisbon
Dublin
Amsterdam
Edinburgh
Rome
Rome would surprise me. While somewhat seasonal, Rome seems to have sustainable demand for J/C traffic. Cabins are consistently full.
ACYYZ/SD is offline  
Old Sep 21, 2011, 9:43 pm
  #101  
Suspended
 
Join Date: Jan 2010
Location: Calgary, Alberta
Programs: Hyatt Diamond, Fairmont Platinum, Aeroplan Diamond, HHonors Gold, SPG Gold
Posts: 18,686
imo.. cost structure remains a problem to continue without an LCC..

Serve those who have served AC through the recent negotiated agreement.. and establish new rules for the LCC, and those who enter its' workforce..
Ancien Maestro is offline  
Old Sep 22, 2011, 10:55 am
  #102  
 
Join Date: Dec 2008
Posts: 797
How does this latest attempt at a LCC differ from the last trys? Why will the result be any different? The whole business of airlines trying to turn into LCC's has never worked. I bet even Mr Milton and Air Asia X knows what a mess Jetstar is and what it's doing to Qantas.

What is stopping WestJet or anyone else setting up an even lower cost offshoot to fly long haul flights?

I'm sorry but I don't get it!
HangTen is offline  
Old Sep 22, 2011, 11:55 am
  #103  
 
Join Date: Dec 2001
Location: YYZ
Posts: 6,138
Originally Posted by HangTen
How does this latest attempt at a LCC differ from the last trys? Why will the result be any different? The whole business of airlines trying to turn into LCC's has never worked. I bet even Mr Milton and Air Asia X knows what a mess Jetstar is and what it's doing to Qantas.

What is stopping WestJet or anyone else setting up an even lower cost offshoot to fly long haul flights?

I'm sorry but I don't get it!
There are some that feel the entire LCC idea was a stalking horse...
YYZC2 is offline  
Old Sep 22, 2011, 4:04 pm
  #104  
 
Join Date: Jan 2005
Location: Vancouver, Canada
Programs: United MileagePlus Silver, Nexus, Global Entry
Posts: 8,798
Originally Posted by HangTen
How does this latest attempt at a LCC differ from the last trys? Why will the result be any different? The whole business of airlines trying to turn into LCC's has never worked. I bet even Mr Milton and Air Asia X knows what a mess Jetstar is and what it's doing to Qantas.

What is stopping WestJet or anyone else setting up an even lower cost offshoot to fly long haul flights?

I'm sorry but I don't get it!
http://www.flyertalk.com/forum/16211158-post38.html
gglave is offline  
Old Sep 22, 2011, 8:55 pm
  #105  
Suspended
 
Join Date: Jan 2010
Location: Calgary, Alberta
Programs: Hyatt Diamond, Fairmont Platinum, Aeroplan Diamond, HHonors Gold, SPG Gold
Posts: 18,686
Originally Posted by HangTen
How does this latest attempt at a LCC differ from the last trys? Why will the result be any different? The whole business of airlines trying to turn into LCC's has never worked. I bet even Mr Milton and Air Asia X knows what a mess Jetstar is and what it's doing to Qantas.

What is stopping WestJet or anyone else setting up an even lower cost offshoot to fly long haul flights?

I'm sorry but I don't get it!
An LCC would have a lower entry starting wage.. and would be on a new PB hybrid system.

These changes will significantly reduce costs at the outset..
Ancien Maestro is offline  


Contact Us - Manage Preferences - Archive - Advertising - Cookie Policy - Privacy Statement - Terms of Service -

This site is owned, operated, and maintained by MH Sub I, LLC dba Internet Brands. Copyright © 2024 MH Sub I, LLC dba Internet Brands. All rights reserved. Designated trademarks are the property of their respective owners.