Now with having won via arbitration, MX should be clear to place its long planned 40 airplane order which had been on hold pending concessions from all its unions.
A Decision Is Handed Down on the Mexicana-ASSA Dispute
Wednesday August 8
MEXICO CITY, Aug. 8 /PRNewswire/ -- Mexicana Airlines today was officially notified by the Federal Settlement and Arbitration Board (JFCA) of the decision handed down vis-a-vis the collective dispute of an economic nature filed by the company with the intent on modifying certain clauses of its collective labor agreement with the Flight Attendants Trade Union (ASSA).
According to the notification, the decision provides for the amendment of several contractual clauses, which will enable the airline to make annual savings of approximately US$ 25 million.
Modifications to the company's collective labor agreement with flight attendants are an important component in the streamlining of Mexicana's cost structure and will complement previous agreements reached with its pilots, ground personnel and non-unionized employees, along with the comprehensive strategy first implemented more than a year ago designed to boost productivity.
"This decision is yet another step towards bringing the airline back to financial stability, and as such, obliges us to continue supporting the restructuring process that is so important for the survival of our company," said Mexicana CEO Manuel Borja.