Category Archives: Republic Airways

Teamsters file lawsuit against Cape Air and Republic Airways

The Teamsters have filed a lawsuit against Republic Airways and Cape Air for unlawfully requiring pilots to sign employment contracts with non-compete clauses that impose penalties ranging from $100,000 to $250,000.

The lawsuit asserts the employment contracts are an attempt by the airlines to change pilots’ working conditions unilaterally, in violation of federal labor law under the Railway Labor Act. The suit was filed in U.S. District Court for the Southern District of Indiana.

“The contracts that pilots at these two companies are forced to sign as a condition of employment are unlawful and we fully expect to win in court,” said Josh LeBlanc, President of Teamsters Local 357 and a Republic Airways pilot. “These punishing non-compete agreements are not a solution for the labor supply problem that these employers created of their own accord.”

The non-compete clauses that the companies are forcing on pilots require them to work at Republic Airways for a minimum of two years. In addition to the financial penalties, the pilots are barred from flying professionally for up to a year.

“If these companies are having a hard time recruiting pilots, then they should do what nearly every other airline has done in a competitive job market – increase wages and benefits,” said Joe Muckle, President of Teamsters Local 1224. “Trying to retain professional pilots by handcuffing them with bogus contracts is illegal and bad business, which is why no other airline is doing this. The Teamsters will fight this with the full force of our union.”

Republic Airways pilots have ratified a new contract

Republic Airways pilots have ratified a new agreement that includes historic increases to compensation and retirement benefits. Of the pilots represented by Teamsters Local 357 who participated, 91.5 percent voted in favor of the agreement.

Under the new agreement, First Officers will see pay increases of 70 to 90 percent, with new First Officers receiving a 94 percent increase. Captains, including senior Captains already near or at the top of the industry, will see a 54 percent increase. These rates are permanent, with no snap-back provisions that have been seen at other carriers.

In addition to wage increases, this agreement includes a significant improvement to the current retirement program. The existing 401(k) match program, which matched up to 9 percent of pilot contributions and was limited by IRS rules, was replaced with a non-elective defined contribution plan. This new plan will deposit up to 12 percent of a pilot’s earnings into their retirement fund, with no pilot contributions required that would be subject to IRS limitations.

Republic crew bases:

Other significant improvements include 82 to 109 percent increases in override premiums for Check Airmen, 100 percent pay credit for both surface and air deadhead transportation, and a new rostering system that allows more flexibility and transparency for Reserve Pilots.

The previous pilot agreement was amended through a letter of agreement in 2018. Negotiations for this agreement began in January 2020 but were soon paused due to COVID-19 concerns. Negotiations resumed in January of 2022.

Video:

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Top Copyright Photo: Republic Airways Embraer ERJ 170-200LR (ERJ 175) N402YX (msn 17000364) YYZ (TMK Photography). Image: 956902.

Republic Airways aircraft photo gallery:

Republic Airways to move its headquarters to Carmel, IN

The City of Carmel and Republic Airways have jointly announced that Republic Airways plans to move its training activities and corporate headquarters to Carmel, Indiana. Republic, one of the largest regional airlines in the U.S., will be part of a redevelopment project along the Meridian (U.S. 31) Corporate Corridor. In addition to its headquarters, the site will include a high-tech training facility for pilots, technicians, flight attendants and other positions within the airline, the expansion of an adjacent hotel and a new parking garage wrapped with commercial amenities on the first floor and multifamily living above.

The investment for the initial phases will bring approximately 1,900 new jobs to Carmel with estimated annual wages of $150 million and will allow the company to consolidate training centers currently located in Cincinnati, St. Louis, Indianapolis and a number of other locations. Republic operates a fleet of 220 Embraer aircraft and 6,000 aviation professionals located across 12 crew and maintenance bases, providing nearly 1,000 daily flights to 100 cities in 40 states, Canada, the Caribbean and Central America.

An increase in the daily flow of instructors, pilots, technicians and flight attendants in training and others who work at the corporate headquarters will breathe new life into a commercial development that was impacted by upgrades made to U.S. 31. These changes resulted in the loss of direct access from the highway due to the federal highway guidelines about spacing highway exits at least one mile apart.

Another positive impact will be an increase in employment opportunities and diversification of Carmel’s industry sectors that will help further stabilize our workforce. Carmel has been able to weather economic downturns in the past because we have a wide variety of businesses in our community better insulating us from a crisis of a specific sector.

The City of Carmel will also invest in the project through a Tax Incremental Financing (TIF) bond that will be considered for approval by the Carmel City Council. The TIF bond will be used for infrastructure improvements, which will benefit and support both the public and the private corporate employees and visitors. Site development, parking facilities, streets and other infrastructure improvements will be funded by the increase in property tax revenues from the new building. The bonds will be backed solely by Republic Airways and the City of Carmel, and its taxpayers will have no liability.

Airline employees in training will be able to live on site during the course of their training. Brainard added that the training center will have a positive impact on local restaurants and retail businesses.

The 105,000 square-foot training facility will be three stories tall and visible to travelers on nearby U.S. 31, providing passersby with a unique view of pilot-training simulators through large bay windows that will face the highway. Within the development, an “eagles nest” viewing deck will allow visitors, school students and other aviation partners a unique view of the excitement of aviation.

Construction will begin with the training facility, which will include 20 classrooms, 94 workstations, two cabin trainers and eight flight simulators. After the corporate headquarters is constructed, four more classrooms will be added along with two more flight simulators. The hotel adjacent to the training center will be expanded to 274 rooms and used exclusively as accommodations for trainees, visiting instructors, business partners and colleagues traveling to the aviation campus.

A key part of the development will be the City of Carmel’s role in financing the construction of a new parking garage to serve both employees and visitors. The garage will not only be convenient it will also allow for more land to be developed in revenue-producing projects, as opposed to open, sprawling parking lots. In addition, the parking garage will be wrapped with commercial amenities on the first floor and multifamily living above, providing shopping and dining options for the thousands who will work in and visit Republic Airways’ facilities. These buildings will be operational 365 days a year. Training and recertification classes are scheduled consistently throughout the year.

Kite Realty is developing the site, and RATIO Architects has designed the buildings with a fresh modern architectural style reflective of technical nature of the facility. Amenities will include outdoor courtyards, rooftop terraces, recreational spaces and other gathering places that will provide places for employees and visitors to meet, relax or simply take a break from the busy working and training environment.

 

American to add a new route from Philadelphia to Bentonville (Northwest Arkansas)

American Airlines is planning to add a new American Eagle route from its Philadelphia hub to Bentonville, AR (Northwest Arkansas), the home of Walmart, on September 4, 2019.

The new route will be operated by Republic Airline Embraer 175s.

Republic Airline’s parent, Republic Airways, introduced this new livery in April 2019 on the pictured Embraer ERJ 170-100SU N826MD (msn 17000046).

Photos: Republic Airways.

In other news, American will also add Embraer ERJ 140 service from the Dallas/Fort Worth hub to the Tri-Cities Airport (Northeast Tennessee) on August 15, 2019 according to Airline Route. The new route will be operated by Envoy Air.

Delta to add Atlanta – Hilton Head Island service

Delta Connection-Republic Airline (2nd) Embraer ERJ 100SE N869RW (msn 17000133) DCA (Jay Selman). Image: 403806.

Delta Air Lines is again adding Delta Connection service connecting the Atlanta hub with Hilton Head Island, SC.

The route will be operated daily by Republic Airline (Republic Airways) with Embraer 170 aircraft starting on May 23, 2019 according to Airline Route.

Top Copyright Photo: Delta Connection-Republic Airline (2nd) Embraer ERJ 100SE N869RW (msn 17000133) DCA (Jay Selman). Image: 403806.

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Embraer and Republic Airways firm up an order for 100 E175s

Embraer and Republic Airways, the world’s largest E-Jet operator, have signed a contract for a firm order of 100 E175 jets.

This agreement was announced as a Letter of Intent (LOI) at the Farnborough Airshow, in July.

The firm order has a value of $4.69 billion, based on current list prices, and will be included in Embraer’s 2018 fourth-quarter backlog. Deliveries will start in 2020. The contract also includes purchase rights for an additional 100 E175s, with conversion rights to the E175-E2, bringing the total potential order up to 200 E-Jets.

Republic Airways and Embraer established their partnership in 1999 when one of its former subsidiaries, Chautauqua Airlines, took delivery of its first ERJ 145 in the livery of US Airways Express. Today, Republic Airline operates a fleet of nearly 190 Embraer 170/175 aircraft and provides fixed-fee flights operated under its major airline partner brands of American Eagle, Delta Connection and United Express. Including this new contract, Embraer has sold more than 535 E175s to airlines in North America since January 2013, earning more than 80% of all orders in this 76-seat jet segment.

Image: Embraer

Embraer and Republic Airways sign Letter of Intent for up to 200 E175s

Embraer and Republic Airways, the world’s largest E-Jet operator, announced at the 2018 Farnborough Airshow that they have signed a Letter of Intent (LoI) for a firm order of 100 E175, with the right to convert to E175-E2 aircraft, and purchase rights for an additional 100 E175 aircraft. If all purchase rights are exercised, the contract has a value of up to USD 9.3 billion based on current list prices. This order will be included in Embraer’s backlog as soon as it becomes firm, later this year.

Republic Airways and Embraer established their partnership in 1999 when one of its former subsidiaries, Chautauqua Airlines, took delivery of its first ERJ 145 in the livery of US Airways Express.

Today, Republic Airline operates a fleet of nearly 190 Embraer 170/175 aircraft and provides fixed-fee flights operated under its major airline partner brands of American Eagle, Delta Connection and United Express. Including this new contract, Embraer has sold more than 520 E175s to airlines in North America since January 2013, earning more than 80% of all orders in this 70-76-seat jet segment.

Image: Embraer.

Republic Airways Holdings presents its “Last, Best and Final Offer” to its pilots

Republic Airways Holdings logo

Republic Airways Holdings Inc. (Indianapolis) has presented its “Last, Best and Final Offer” to the International Brotherhood of Teamsters Local 357 representing its almost 2,100 pilots.

The Company posted the full text of the proposed three-year agreement, along with supporting material, to a dedicated website, www.myrjetcontract.com.

“Our Pilots deserve an industry-leading contract and this proposal meets that standard,” said Matt Koscal, Republic vice president for Human Resources. “It provides our Pilots improved job protection, compensation and quality of life for them and their families. It starts us on the path back to our tradition of operational excellence and a competitive position in the marketplace. We’re asking the Union to put this contract to a vote and asking our Pilots to read it. It’s time to move forward.”

Teamsters file a lawsuit against Republic Airways, Republic responds

Teamsters Local 357 has filed a lawsuit against Republic Airways Holidays (Indianapolis) charging the company has unilaterally changed the working conditions for its pilots regarding “open time” flying. Here is the full statement:

INTERNATIONAL BROTHERHOOD OF TEAMSTERS LOGO

On July 9, Teamsters Local 357 in Plainfield, Indiana, filed a lawsuit against Republic Airways for unilaterally changing pilots’ working conditions regarding “open time” flying without first agreeing with the union about those changes. More than 2,200 Republic pilots are members of Local 357 and have been seeking a fair contract from the company since 2007.

The lawsuit asserts that the company’s changes are unlawful alterations in the status quo and that they took place even while the items changed were the subject of ongoing bargaining between Local 357 and Republic. The purpose of the lawsuit is to compel Republic’s compliance with its lawful duties under the Railway Labor Act (RLA), the federal law which governs labor relations in the airline industry.

To uphold the principle that Republic can only make changes to the pilots’ agreement through the bargaining process, Local 357 filed a lawsuit in the U.S. District Court in Indianapolis (case number: 1:15-cv-01066-WTL-MJD) seeking injunctive relief, declaratory judgment and other appropriate relief against the company’s unlawful changes in the status quo of pilot contractual rates of pay, rules and working conditions.

“Republic has had eight years to come to an agreement. The pilots are seeking a fair contract that spells out pay, benefits and working conditions, so that the company can’t give something and take it back at their whim. That’s what these hardworking, skilled pilots deserve now—plain and simple,” said Jim Clark, President of Local 357.

Pending the outcome of this lawsuit, the pilots will maintain their normal practice with regard to flying.

Republic Airways Holdings (Indianapolis) has responded to the lawsuit:

Republic Airways Holdings logo

On Thursday, July 9, 2015, the International Brotherhood of Teamsters (IBT) Local 357, representing Republic’s pilots, filed suit against the Company alleging that the Company unilaterally increased compensation for pilots and new hires in violation of the Railway Labor Act. We believe the suit is completely without merit, and the Company will take appropriate steps to respond. The specific allegations made by IBT Local 357 are incomplete and factually incorrect.

The IBT and the Company are currently in the middle of negotiations supervised by the National Mediation Board for an amended collective bargaining agreement.

The Company stands ready with its current proposal to make a significant investment in our pilots, which is not only fair and equitable, but would place our pilots ahead of their peers in the regional airline industry. This lawsuit is nothing more than an improper tactic by IBT Local 357 to distract our employees and pressure the Company with respect to the negotiations process.

Top Copyright Photo: Formerly operated for Frontier Airlines (2nd), Embraer ERJ 190-100 IGW N163HQ (msn 19000255) is painted in the Republic Airways house livery, but it is operated by Republic Airlines (2nd). The regional jet lines up for the runway at Baltimore/Washington (BWI).

Republic Airways aircraft slide show: AG Airline Slide Show

Republic Airways Holdings reports first quarter net income of $6.4 million

Republic Airways Holdings logo

Republic Airways Holdings Inc. (Republic Airlines 2nd and Shuttle America) (Indianapolis) reported its financial results for the first quarter of 2015.

Republic’s pre-tax income for the first quarter of 2015 was $11.2 million, compared to $22.8 million for the prior year’s first quarter. Republic’s net income for the first quarter of 2015 was $6.4 million, or $0.13 per diluted share. The Company incurred approximately $8.0 million, or $0.09 per diluted share, for charges related to fleet transition expenses and employee severance costs, which are included in other operating expense.

The first quarter of 2015 results also were negatively affected by a reduction in operational reliability. Republic’s operating performance, as measured in block hours, departures and available seat miles was approximately 4 percent lower than planned.

Since March 31, 2014, the Company added 23 E-Jet aircraft and removed 25 ERJ aircraft.

The Company took delivery of the final six E-Jet aircraft for its American Airlines E-Jet agreement, which now totals 47 aircraft. The Company expects to take delivery of 15 additional new E-Jet aircraft in the second half of 2015, which it will operate under its United E-Jet agreement. As of March 31, 2015, the Company operated 41 aircraft with 44-50 seats and 201 aircraft with 69-99 seats under its fixed-fee code-share and charter agreements.

During the first quarter of 2015, Delta Air Lines exercised its right to extend 24 aircraft under the Shuttle America ERJ code-share agreement from May 2016 to May 2021. The Company currently operates 41 aircraft under the agreement with Delta, of which 17 can be removed by Delta with 90 days prior written notice.

Copyright Photo: Brian McDonough/AirlinersGallery.com. Shuttle America will continue to operate for Delta as a Delta Connection carrier until at least May 2021. Embraer ERJ 170-200LR (ERJ 175) N213JQ (msn 17000265) completes its final approach to the runway at Washington’s Reagan National Airport (DCA).

Republic Airways aircraft slide show: AG Airline Slide Show

Delta Connection-Shuttle America aircraft slide show: AG Airline Slide Show

Combined Route Map:

Republic-Shuttle America 5.2015 Route Map