Sponsor Message:
Civil Aviation Forum
My Starred Topics | Profile | New Topic | Forum Index | Help | Search 
US & Alpa Reach Agreement On More Cuts  
User currently offlineDelta777 From United States of America, joined Mar 2000, 661 posts, RR: 0
Posted (13 years 5 months 3 weeks 1 day 23 hours ago) and read 3259 times:

From Yahoo!

US Airways and ALPA Reach Agreement on Additional Cost Cuts
Wednesday December 11, 8:43 am ET
Company Says Agreement is Huge Catalyst Toward Successful Chapter 11 Emergence
Talks with Other Unions Continue

ARLINGTON, Va., Dec. 11 /PRNewswire-FirstCall/ -- US Airways and the Air Line Pilots Association (ALPA) have reached a tentative agreement on additional cost savings that will save the company approximately $100 million annually, plus additional pension relief, paving the way for resolution on productivity agreements with the airline's other unions, and keeping in place its schedule to meet the final conditions for a federal loan guarantee and to file its plan of reorganization by Dec. 20, 2002.

The tentative agreement is subject to ratification by the ALPA's US Airways Master Executive Council (MEC).

David Siegel, US Airways president and chief executive officer, said that during intense talks, the negotiators for the airline's MEC "showed tremendous leadership and a keen understanding of what was required in order to successfully complete our Chapter 11 reorganization."

"We continue to work to secure final approval of our loan guarantee from the Air Transportation Stabilization Board (ATSB) and file our plan of reorganization by December 20," said Siegel. "Our pilot union negotiators worked with us in the interest of identifying additional cost savings, and preserving jobs and pensions, and we greatly appreciate their efforts."

Siegel said that ALPA will be communicating directly to its members about the details of the package, which includes a combination of productivity improvements, benefit and pension savings and some temporary wage concessions. The company had proposed a package of cost reductions entirely from productivity improvements, but ALPA responded by agreeing to phase-in productivity changes through attrition in order to prevent more furloughs, and to take some additional temporary wage cuts. "We respect ALPA's desire to come up with some creative solutions that will preserve as many pilot jobs as possible, given the rather bleak outlook for airline employment right now," said Siegel.

In exchange, the company has committed to raise the minimum aircraft in the mainline fleet from 245 to the current fleet of 279. In addition, the company will make MidAtlantic Airways, its new regional jet subsidiary, a division of US Airways, further solidifying its commitment to create positions for furloughed mainline employees.

US Airways mainline employees on furlough will be assigned to work the regional jets that will be flown by MidAtlantic at competitive regional airline rates and benefits, but allowing them to keep their seniority number and providing for coordination of staffing.

Dr. David Bronner, the chief executive of the Retirement Systems of Alabama, and the primary lender to US Airways during its reorganization, praised the news of the agreement between ALPA and the airline. "I continue to have every confidence that all employees will step up to this latest challenge and work constructively with management to find the additional cost savings that are needed to secure the ATSB loan," said Bronner. "The cooperation between labor and management and their long-term outlook to secure success for the airline were primary reasons for our decision to invest in the company."

Siegel said that discussions continue with the International Association of Machinists, the Communications Workers of America, the Transport Workers Union, and the Association of Flight Attendants.

Looks like they are half way to getting the extra $200 Mil. They need. Hopefully I woun`t need to make a sad trip down to PIT to see the last of the beautiful Black birds.

D E L T A 7 7 7

Top Of Page
Forum Index

This topic is archived and can not be replied to any more.

Printer friendly format

Similar topics:More similar topics...
US Airways, Alpa Reach Agreement On Regional Jets posted Fri Apr 19 2002 07:36:13 by Flying-Tiger
US Airways/ALPA Reach Deal On Pension posted Sat Mar 22 2003 16:06:08 by Ouboy79
US & Gecas Reach Deal, More RJs posted Sat Jan 15 2005 21:12:22 by Ouboy79
Frontier, United, Denver, Reach Agreement On Gates posted Mon Nov 10 2003 01:48:41 by F9Widebody
US Airways & TWU Flight Sim Engrs Reach Agreement posted Thu Sep 30 2004 03:43:36 by A330323X
US Airways & PIT Reach Interim Agreement posted Mon Jan 5 2004 21:08:10 by N670UW
Inflight (no)service For Y On US&UK Based Airlines posted Wed Oct 18 2006 06:59:50 by A3
EU And US Reach Deal On Passenger Data posted Fri Oct 6 2006 08:37:28 by Leskova
Are US & WN Keeping A Watchful Eye On NK At PVD? posted Fri Dec 3 2004 02:23:55 by John
US Airways And TWU Reach Agreement For Dispatchers posted Wed Sep 22 2004 01:41:21 by A330323X