American Air’s $1 Price Target at Evercore Implies 92% Collapse

Re:American Air’s $1 Price Target at Evercore Implies 92% Co... by fennecfoxen on Tuesday May 05, 2020 @09:04AM (#23079565)

According to Glassdoor, American Airlines flight attendants paid hourly average $30/hr, and $38,500 when salaried.

(Their pilots average ~$167,000 a year. The mechanics make ~$70,500. Reviews say the health insurance is pretty good, there is a modest 401(k) match, and of course you get to fly free on standby).

Please bring only meaningful in-depth critiques to HN, and leave the fact-free axe-grinding elsewhere.

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Re:American Air’s $1 Price Target at Evercore Implies 92% Co... by tyingq on Tuesday May 05, 2020 @09:11AM (#23079624)

"paid hourly average $30/hr"

I wouldn't make a direct comparison of that with other jobs. There are many work hours they aren't paid for, or are paid at a lower rate.

Oversimplified, but they are paid nothing or almost nothing for waiting around for late flights, security, etc. Full pay for "block hours" where the plane has pushed back, less for pre/post flight work. And lower seniority f/a folks can have a harder time getting hours at all, and they are well below average pay. Seniority is everything.

It's not a bad job considering the fairly low qualifications, but it's not really $30/hour. New flight attendants generally end the year around $20k gross. And that's at the majors.

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Re:American Air’s $1 Price Target at Evercore Implies 92% Co... by fennecfoxen on Tuesday May 05, 2020 @09:13AM (#23079643)

Maybe not! However, our poster upthread said that he guessed flight attendants were already at minimum wage it would need to take literally half their time before we're even to the $15/hr level that was pitched as a "living wage" in New York City, their hub city with the most expensive cost of living. (Other AA hubs: Charlotte, Chicago, Dallas, LA, Miami, Philadelphia, Phoenix, Washington, DC/Arlington. Some of these are cheaper than others.)

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Re:American Air’s $1 Price Target at Evercore Implies 92% Co... by slumdev on Tuesday May 05, 2020 @09:15AM (#23079659)

This is technically correct but dishonest. These numbers are true only for American Airlines.

Every time you step on to an "American" plane that is "operated by xyz", you are not flying American Airlines. You are flying an American Eagle branded subcarrier like Republic or SkyWest. These subcarriers fly a very large percentage of "American" flights.

The pay and benefits at the subcarriers are dismal.

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Re:American Air’s $1 Price Target at Evercore Implies 92% Co... by fennecfoxen on Tuesday May 05, 2020 @09:34AM (#23079853)

This is a very interesting point in the general sense, but American Airline's impending bankruptcy is not going to affect labor agreements with Republic and SkyWest employees, because American is not a party to those agreements.

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