Afa Mec Update May 5, 2004

[PITbull]

Labor Advisory Committee Meeting Update
5/5/04
Representatives of all US Airways unions met with US Airways
executives and management today to hear presentations on the
company's finances, management's business assumptions going
forward, and the new marketing and operations strategies that
management hopes to undertake to move the airline to
profitability.

The new CEO, Bruce Lakefield, and the new CFO, Dave Davis, made
presentations describing the state of the airline and outlining
their view that major structural changes are required to lower
costs. Other executives described the aggressive marketing plans
and the general strategy going forward:

PHL will continue as the core of US Airways network, adding more
point-to-point flying;
LGA, BOS and DCA will grow with increased point-to-point flying;

The Shuttle will continue to be a key US Airways asset;
CLT will continue as a hub and PIT will have fewer flights but
US Airways will still be a major airline at that airport.

All this information was meant to provide context for
management's proposals for more employee concessions. But those
proposals were not laid-out in this meeting and, it seems, may
not even be laid-out tomorrow when the entire AFA MEC meets with
management in DC for a presentation of the same material more
closely focused on our workgroup.

Although we were not told management's timeline for laying out
specific concessions demands, they made no bones about the fact
that they are looking at reductions in rates of pay, seniority,
benefits, productivity, scope (subcontracting), and specifically
for passenger service more automation at the airports. They also
stated that their models for employee salaries and costs are
JetBlue and America West (not Southwest!).
The new CEO, Bruce Lakefield, stated that he doesn't see his
mission as selling the airline off, either in whole or in parts.
He stated that his goal is to establish a relationship with
employees that will lead to profitability for the airline. He
commented on the high level of Professionalism in the US Airways
workforce, and said he wanted to retain that and add the
elements of Pride and Productivity.

======================

 

[PITbull]

On top of the wage reductions AGAIN, Benefits, workrules.....they are looking for:


reductions in "seniority," Scope"???? How So?

Seniority to me means, giving it up or lessening the years for longevity purposes and pension.

Scope relief means either a) Relief so that other airlines or f/as (MAA f/as or affiliates) can fly our routes, planes for all purpose and not limited to cancellations, mechanicals etc.

OR


B) future sell off.


Bronner and the BOD might want to gather the financing from RSA that will be necessary to buy down the ATSB loan so we can have a Voluntary prepackaged BK in order to attempt this one.

At that point, and in BK, we either negotiate, or be released to self help, were a job action will be necessary by one or more groups.

THEN ALL OF YOU CAN SAY GOODNIGHT AND FAREWELL TO YOUR STOCK AND RSA INVESTMENT. Every one will lose.

This is not going to work out this time. :down:

 

[pitguy]

They only wanted to use Southwest as a comparison until we achieved cost at or below their levels. Now that we are there we have to go to Jet Blues rates (FYI Jet Blues Mechanics make exactly what U pays its mechanics). What is next? Compare wages with workers in China? I will be damned if I would work in this terrible hostile place for a salary in the $40k's and then still have to relocate to keep it. Yeah I don't think so. Management here must be on dope. Just close the doors.

 

[MarkMyWords]

You don't even know the specifics and you are already saying no. What ever happened to keeping an open mind?

 

[pitguy]

My mind is open and I say "no" to any concessions. I know what "I" can get out in the market. So my mind is open and now open your ears and listen....................................NO............


If anyone else wants to take concessions let them.

 

[PITbull]

C,mon Mark....get real.

This management's plan, with or without Siegel is the same.

They are looking to gutt the contracts.

You saw the E-line above. That comes directly from the MEC President.

We as flight attendants know what "scope" means. We know what relief in seniority means. We know what wage reducitons, benfit reductions, and productivity enhancement means.

They are looking for $1.5 billion in total cost reductions; at least 50% of that from labor. Only thing is, we have LESS employees than we did two years ago.

Look at the plan? I don't give a damn about the plan. I care on how this plan effects my working conditions and quality of life!!!! That's my focus. The business plan is management's focus.



NOW, IF MANAGMENT IS PLANNING ON GIVING US ALL 5,000 SHARES OF STOCK. THEN, THAT MAY ENTICE ME TO CARE ABOUT THE "PLAN".

At present, AFA give backs are well over $116 million per year. I received 58 shares of stock. That's enough for a family dinner out on the town, OR 5 tanks of gas.

 

[MarkMyWords]

All I am saying is wait until you see the real deal before you rip it to shreds. You have no idea what each of those items are. What do they mean by reductions in seniority? What are the scope issues? What are the benefit and pay reductions?

You have no idea what each of these involve and are just speculating. Give it a day or two and see what comes out. Then I will be behind you 100% in the bitchfest!

 

[PITbull]

Ok. <_<

 

[cavalier]

All I am saying is wait until you see the real deal before you rip it to shreds. You have no idea what each of those items are. What do they mean by reductions in seniority? What are the scope issues? What are the benefit and pay reductions?

You have no idea what each of these involve and are just speculating. Give it a day or two and see what comes out. Then I will be behind you 100% in the bitchfest!

MMW you are not a stupid person, and I doubt you have that much faith to believe anything other than the obvious and what you are being told...come on MMW throw some water on your face.

 

[pitguy]

I am not jumping on any sword. If I am thrown on it then so be it. I will fight and resist the attacker.

 

[PITbull]

What is also troubling to me is that here we have management asking labor for a THIRD round of major, major concession. Bigger than anything in our history or the industry's history, but not ONE BOD member thought to challenge or CHANGE the contracts of Senior Management.

We just paid out over $7 million dollars this month to two executives to fulfill their contracts, AND THESE GUYS STILL HAVE THEIR STOCK THAT BECOMES UNRESTRICTED IN JANUARY 2005. They are STILL major players in this company.


There is so much abuse of labor on this property, no one on the outside could ever fathom this.

If one person says..."then just quit", I WILL DO THAT JUST AS SOON AS I VOTE NO!

 

[Fly]

Does anyone have any idea what "reduction in seniority means?? Do they get back the youthful appearance when they give back the seniority? WTF??? You can't take back seniority!!

 

[cavalier]

I am not jumping on any sword. If I am thrown on it then so be it. I will fight and resist the attacker.

Yes pitguy!


I wonder if we all became volunteers if that would make a difference? At the rate we are going that is exactly what the remaining U employees we be, volunteers or charity workers.

It's almost like they know labor will never accept these extreme measures, which will place blame on labor's shoulders and will be good excuse to liquidate and still save some face.

 

[PITbull]

Fly,

This is so unbelievably serious, I am about to stroke here.

I know exactly what this means, I just told you above.

 

[MarkMyWords]

Cav -

You are right.....I am not a stupid person. I know that what is coming is not going to be good by any stretch of the imagination. But I also know it is pointless to complain about something that you don't know the facts about. People are shooting in the dark at every little thing.....wait until you see the whites of their eyes.....then fire away. Speculating on what might be contained in the concession packages is just that, speculation.