Flashmeister observes, "[t]he problem with United is that management still doesn't believe that they're in dire straits -- no one has led the charge for fundamental change at the carrier that's really needed. Until that happens, forward progress is unlikely."
Isn't it somewhat surreal that the unions and management at AA
are negotiating with more urgency, according to public statements, than the unions or management at UA
. Heck, to jumpstart negotiations the FA
's union at UA
had to present management last week with its own wage concession proposal. It seems management at UA
had yet to make a specific proposal.
Meanwhile, management at AA
has already presented the TWU, which represents mechanics and rampers, with three different proposals. Negotations with the pilots are well underway, building on discussions AA
has been having with the union for well over a year on a new contract. And, AA
has already held preliminary discussions with their FA
It is becoming more and more clear that UA
is running out the clock on its unions. It is obviously hoping that the judge will do their job by abrogating the contracts and imposing UA
's terms in their entirety. The judge, however, might take issue with the fact that UA
management has shown no evidence of bargaining in good faith with any of its unions. But, what else is new. This is basically the same management team that tried to bs their way to an ATSB Loan. This judge has already expressed his amazement at UA
management's inability to perform an adequate analysis of their financial condition. So, he may just be waiting to call UA
management's bluff. If he does and UA
management is sent back to the negotiating table, how long before the DIP creditors decide that this management team doesn't have the wherewithall to get the job done? Hence, how long before they force UA
into Chapter 7? However unfortunate it may be for UA
's employees, United's liquidation would be as exemplary as Enron's bankruptcy. A company cannot be this poorly managed and expect to survive, especially when its survival would make it more difficult for companies that have been better managed to thrive.