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US Airways Enhances Offer To Machinists

Thu Jan 13, 2005 12:25 am

From the Charlotte Observer:


"US Airways is sweetening its offer to its machinists union, in a move that could persuade more of the union's members to ratify an agreement that would lead to more than 2,000 job cuts.

The offer, contained in letters obtained by the Observer on Tuesday, includes additional health benefits, a partial buyback of sick leave and lifetime travel perks for employees whose jobs are cut. The letters, dated Tuesday, are to International Association of Machinists leaders Randy Canale and William O'Driscoll from Allen Hemenway, US Airways' vice president of labor relations."


"The new details come as US Airways is in the middle of a crucial week. On Thursday, the company is scheduled to head to court to seek permission to continue tapping its cash reserves to operate. By Friday, it must find $100 million in new investment or cost cuts to fulfill terms of a key financing agreement with a major creditor.

If it fails at either of those tasks, it could start shutting down. If it gets both deals, it probably buys at least a few more months to continue reorganizing."


They are on life support but the janitor has not pulled the plug yet. Lets see if they are flying on Sunday...Good luck US!
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RE: US Airways Enhances Offer To Machinists

Thu Jan 13, 2005 4:55 am

Seems to me that an offer of lifetime travel privileges is an easy one to make when it appears that the lifetime of US Airways is critically short these days...

In any case, the machinists here really don't have much of a choice -- fewer jobs or none at all. To most people, that would seem like an easy choice to make. I still don't at all understand why it's not equally easy for the machinists in this case.

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