Mesa CEO Jonathan Ornstein, AKA Lorenzo

[jetdriven]

This comment was made on the Mesa yahoo board 9-16-2002 when asked about the possibility of a strike. Make no mistake about it folks, JO is either bluffing or willing to sacrifice the company for his ego. Does this sound like Continental and Frank Lorenzo all over again?? Pretty troubling..
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From: "Ornstein, Jonathan" <jonathan.ornstein@m...>
Date: Mon Sep 16, 2002 10:01 am
Subject: RE: STRIKE AT MESA AIR GROUP? J.O. IT'S UP TO YOU!!!

I am getting tired of all these threats of a strike, The industry is basically imploding and we are arguing about how much of a pay increase we are giving. Now let me fill you in one something. In case of a strike there will be one line to walk. The unemployment line.

before that he was asked about what if the comapny went on strike and he would be out of a job right along with us his reply was "do you think I need this job or any other?"

 

[bobbysamd]

Mr. Ornstein

What a swell guy. I guess he reread the chapters about E.L. Cord and Ted Baker in his copy of Flying the Line.

Typical management. I remember when I worked in radio I would hear that there were thirty applicants available for every job.

Somebody wrote a post some time ago about when this came up before. Mr. O. and Grady Reed brandished a stack of apps, thumbed them and told the pilots that they had plenty of applicants for their jobs.

 

[Rush Limbaugh]

I don't know a lot about the airlines. In fact, I don't know much about anything. What I think this guy is doing is hedging his bet that the pilots won't go on strike. If I was a Mesa pilot, I doubt I could afford to go on strike unless I had a substantial savings account. Any concessions a strike would win from management would probably take years to pay for the losses they took to get them. I'm not saying he should be towing the hard line against the pilots but I'd bet that's his reasoning. The other side is that when you tow the hard line, the work the employee's do will diminish and it would have made more economic sense to just make the concessions early. Although I have no idea what union is demanding and whether the demands are deserved or even palatable. It sort of reminds me of the baseball fiasco this summer. It took a long time to realize that they were going to lose a substantial amount of customers by striking and then management wouldn't be able to afford their current inflated salaries, let alone their new ones. I was one who was severely dissapponted that they came to an agreement. It is high time we get rid of the most boring sport ever invented and move on to something more exciting like watching the grass grow, but that's not important right now. In a time when the airlines are hurting may not be the time to try and win concessions from management. But like I said, what do I know.

 

[enigma]

I really don't think that it is fair to compare JO to Lorenzo. JO may be anti-labor and a tyrant, but he's not Lorenzo. Lorenzo never had any intention of running an airline, he intended to loot the employee retirement accounts and cash reserves that the airlines held. JO has been a part of growing airlines, not tearing them down. JO wants to make as much money as possible, Lorenzo wanted to steal as much as possible. There is a huge difference.

regards,
8N

 

[Mr.Aviation]

This guy a an A-HOLE! He is the single biggest enemy of airline pilots today!!

 

[surplus1]

I'm not hardly pro JO but one thing that holds true is that you shoud never underestimate an adversary.

It is very possible that Ornstein may decide to "call" the union and take a strike. He really isn't acting any different than Delta did with Comair. Don't forget that Delta literally forced a strike and took it for 89 days, losing (according to them) $700 million dollars over that period, all to avoid giving the pilots contract improvements that would have cost maybe $50 million more than what they ultimately gave over the same 5-year period.

They threatened to shut down the most profitable regional airline in the country and one they had paid 1.9 billion dollars to buy only a few months before. They probably would have done it if the union hadn't given in and make no mistake about it, the union did not win that strike. By comparison with Mesa, Delta is rather benign in its relationship with pilot unions. Yet they did it.

Often these disputes are about a lot more than dollars and cents. Ornstein is in charge and is not likely to turn that power over to ALPA without a fight. It will be interesting to see who "blinks" but given ALPA's "support" of regional carriers this one may get a lot more interesting before it's over.

I wish the Mesa pilots good luck. They're going to need it.

 

[Captain X]

Mesa & EAS cities

Doesn't Mesa serve a bunch of EAS (Essential Air Service) cities? What happens to those routes if Mesa strikes?

If the US Gov't requires that there be service to those cities will Mesa lose the EAS contracts and then they are no longer "Mesa" routes which means they could be picked up by another carrier w/o being considered struck work?

I'm not implying anything, just asking for educational purposes.

 

[chperplt]

I would think that all EAS contracts, being contracts, would have wording that would void the contract should the carrier become unable to service those routes for a certain predetermined time period.

If that did happen, I wouldn't think that the company that is awarded those EAS routes would be fling struck work. I'm sure there are plenty of people who would disagree with me.

 

[publisher]

Agree

One big difference between the two is that I believe Jonathon basically created and grew these businesses up while FL just went in and grabbed what others had stashed away.

 

[tintube]

For those of you with bad memory, or without the facts, read about F.L. and the history of New York Air. Compare that with J.Os Freedom Airlines and the situation @ Mesa.

What Mesa AL is asking at the negotiating table are average rates for the 200 / 700 and 900. Another words: the Pilots are willing to settle for less than that, but will emphasie on quality life issues that does not neccessary has to cost the company a whole lot.

There is no comarison to Delta/Comair strike and Mesa. Mesa does not have the cash to survive a long strike.