I'm surprised that this hasn't been posted yet.



Pilot tentative agreement rejected
Current two-year contract remains in effect

July 11, 2005

The Air Line Pilots Association (ALPA) announced today that its members have voted to reject a tentative agreement on a new five-year contract covering Alaska Airlines’ 1,450 pilots.

Had it been ratified, the tentative agreement would have replaced the present two-year contract.

“While we believe the tentative agreement reached through negotiation with ALPA was a more balanced, long-term option, we respect the decision of our pilots and will move forward under the existing contract established by the arbitrator,” said CEO Bill Ayer. “With record load factors, our focus needs to be on working together to serve customers and improve our operation, so we can pursue opportunities to grow.”

Under the current contract, Alaska’s pilots are paid at a level relative to the rest of the industry that is in line with historical contract agreements between the airline and the pilots union. “The present contract offers market-based compensation and benefits to our pilots and gives us the cost structure we need to be competitive,” Ayer said.

About 95 percent of pilots eligible to vote cast a ballot. Of those nearly 89 percent voted no.

The current contract between ALPA and Alaska Airlines becomes amendable on May 1, 2007. “There has been much hard work and progress made during negotiations over the last two years. We hope to realize the benefit of that when contract discussions begin in 2007,” Ayer said.
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89% voted no! While not a shock that it was voted down I am surprised at the overwhelming margin. Not only is this a vote of no confidence against management but I would think also against ALPA leadership who signed off on the agreement. The question is are the next two years going to be like the last two months?