Associated Press
United Mechanics' Union OKs Contract
Friday April 11, 9:24 am ET
Union Representing United Airlines' Mechanics Announces Tentative Agreement on Contract
CHICAGO (AP) -- The union representing United Airlines' mechanics announced a tentative agreement Friday on a contract providing United with $2.09 billion in labor savings over six years.
The announcement represents another significant step for United in its bankruptcy restructuring. The mechanics' union was the only group that had failed to agree to a new long-term contract as part of the airline's push to slash labor costs drastically during its Chapter 11 reorganization.
The pact must still be ratified by the more than 10,000 mechanics and aircraft cleaners. Voting is scheduled for April 29.
Without an agreement, bankruptcy court hearings were set to begin Monday on United's motion to void the mechanics' contract May 1 and have its own wages and work rules imposed.
The International Association of Mechanics and Aerospace Workers said the yearly modifications to pay and benefits total $349 million under the pact, including a 13 percent cut in wages. If approved, that is the last remaining portion of the $2.56 billion in annual cuts sought by United.
From the moment United Airlines declared bankruptcy on Dec. 9, a painful restructuring was inevitable, said Scotty Ford, president of IAM District 141-M representing the mechanics. Despite proposed changes to pay, benefits and working conditions, this agreement preserves the essential value of a job at United Airlines.
United hoped to get a second dose of good news later Friday when the pilots' union was scheduled to announce voting results on ratification of a contract that would result in $1.1 billion in annual savings for United.
And like I said here earlier these are the highlights of your new
contract.Open wide here comes chunky.
The word is the deal is done.
Oakland is gone
Indy is gone
150-250 a month for your med. insurance
People who can retire now maybe should leave now
because they are going to pay a huge medigap premium
if they wait.
R+D is gone also
Temp paycut is permanent for life of 6 year contract extension.
The no layoff letter is modified.Layoffs until 1-01-90
will be permitted.Good luck
How many mechanics total in Indy and Oak??
1000 Indy
900 Oak ??
R+D another 500 at least??
Found out paycut is 13% and vacation,holidays remain the same.
We will do a,b,c checks only.C-checks will be brought back in house.
If this isnt ratified the company has a plan if they have to go to the judge
and from whatI have been told its the worst of the worst if we vote no.
United Mechanics' Union OKs Contract
Friday April 11, 9:24 am ET
Union Representing United Airlines' Mechanics Announces Tentative Agreement on Contract
CHICAGO (AP) -- The union representing United Airlines' mechanics announced a tentative agreement Friday on a contract providing United with $2.09 billion in labor savings over six years.
The announcement represents another significant step for United in its bankruptcy restructuring. The mechanics' union was the only group that had failed to agree to a new long-term contract as part of the airline's push to slash labor costs drastically during its Chapter 11 reorganization.
The pact must still be ratified by the more than 10,000 mechanics and aircraft cleaners. Voting is scheduled for April 29.
Without an agreement, bankruptcy court hearings were set to begin Monday on United's motion to void the mechanics' contract May 1 and have its own wages and work rules imposed.
The International Association of Mechanics and Aerospace Workers said the yearly modifications to pay and benefits total $349 million under the pact, including a 13 percent cut in wages. If approved, that is the last remaining portion of the $2.56 billion in annual cuts sought by United.
From the moment United Airlines declared bankruptcy on Dec. 9, a painful restructuring was inevitable, said Scotty Ford, president of IAM District 141-M representing the mechanics. Despite proposed changes to pay, benefits and working conditions, this agreement preserves the essential value of a job at United Airlines.
United hoped to get a second dose of good news later Friday when the pilots' union was scheduled to announce voting results on ratification of a contract that would result in $1.1 billion in annual savings for United.
And like I said here earlier these are the highlights of your new
contract.Open wide here comes chunky.
The word is the deal is done.
Oakland is gone
Indy is gone
150-250 a month for your med. insurance
People who can retire now maybe should leave now
because they are going to pay a huge medigap premium
if they wait.
R+D is gone also
Temp paycut is permanent for life of 6 year contract extension.
The no layoff letter is modified.Layoffs until 1-01-90
will be permitted.Good luck
How many mechanics total in Indy and Oak??
1000 Indy
900 Oak ??
R+D another 500 at least??
Found out paycut is 13% and vacation,holidays remain the same.
We will do a,b,c checks only.C-checks will be brought back in house.
If this isnt ratified the company has a plan if they have to go to the judge
and from whatI have been told its the worst of the worst if we vote no.