ALPA MEC CODE-A-PHONE UPDATE - June 26, 2003
This is Roy Freundlich with a US Airways MEC update for Thursday, June 26, with three new items.
Item 1. The MEC reconvened its second quarter meeting yesterday and today at the downtown Philadelphia Courtyard Marriott.
During the past two days, the MEC received reports from the Flight Security Committee, Scheduling/Block Building and JIRC committees, and Bid Closing Committee. The Negotiating Committee also presented a report to the MEC in open and closed session. Members of ALPA International’s Representation and Economic and Financial Analysis staff provided information on current and future aviation industry and labor trends. Industry trends are showing some improvement, however, significant recovery is not projected by current trends until 2005.
ALPA’s National Security Committee briefed the MEC on current security issues.
The R & I Committee discussed the process that the pilot members of the Retirement Board will be using to select investment options for the defined contribution plan, in the event the defined benefit plan is not restored through pension legislation.
Senior VP, Corporate Development Bruce Ashby; Director, Labor Relations—Flight Tony Bralich; and Captain Paul Morell, Director of Flight Training, addressed the MEC on Wednesday on several issues. US Airways’ application was approved by Star Alliance last month, and management plans on the Company’s official entry into the Alliance to take place in the next six-12 months. It requires frequent flyer miles arrangements with participating carriers to be complete.
Management also updated the MEC on US Airways’ current SJ operations and reviewed the Company’s recent SJ aircraft order. Management asked the MEC to consider several RJ issues:
First, to approve Republic Airlines as a Jets For Jobs carrier. Republic Airlines and Chautauqua Airlines are operated by the same parent company. The Chautauqua pilots, who are represented by IBT, conditionally approved a Jets For Jobs agreement, but it was not accepted by Chautauqua or US Airways management.
Second, the Company is asking the MEC to approve the utilization of the 75-seat CRJ-900 Series 705, one of the aircraft recently ordered by management, which exceeds the maximum small jet weight limit restrictions of the July 2002 Restructuring Agreement.
MEC members responded to both of management’s requests by stating that until management begins to properly administer the Contract in good faith and begins to engage in sincere efforts to repair the financial and labor relations damage that has resulted from their many insincere actions, MEC members will not consider additional requests for contractual flexibility.
The MEC has been processing agenda items in subcommittee and plenary over the past two days, and took action on 12 agenda items today including:
Approved Captain Jim Kennedy, Captain John Renfro and Captain Hartley LeRoy as members of the Legislative Affairs Committee.
Approved First Officer David Kleck as a member of the Over 85 Hour Committee.
Directed the MEC Grievance Chairman to file a grievance, for future MidAtlantic pilots, on the 5 percent pay deferral that the Company says intends to impose on MidAtlantic pilots. The MidAtlantic pay provisions do not contain an Iraqi war pay deferral.
Committee and officer reports are being posted on the MEC web site.
The meeting’s remaining schedule is:
For tomorrow, Friday, June 27, the schedule includes the Legislative Affairs Committee report, and the election of the Secretary-Treasurer officer position and chairmen for the Membership Services, Route, and Stock Advisory committees. Candidates for committee positions and the position of MEC Secretary/Treasurer are invited to address the MEC during the second quarter meeting. The MEC will also consider agenda items in plenary and subcommittee.
The meeting is scheduled to reconvene at 9:30 a.m. tomorrow.
All US Airways pilots are encouraged to attend the meeting. The telephone number for transportation information is 800-872-6070 for USA Limo Service, or taxis are available at the airport. The hotel telephone number is 215-496-3200.
Please be advised that portions of the meeting may be in closed session.
Item 2. The Company has posted Permanent Bid 03-05. The effective month of the bid is September 2003.
The drivers of the bid include:
Vacancies and displacements resulting from attrition, contingency openings and retirements.
Four Captain (Age 60) retirements for the A330 that will occur in October 2003.
A reduction of 13 Captain Positions.
Voluntary Personal Leaves for September are being offered. As a reminder, requests for a voluntary leave must be received by your chief pilot, or faxed to Charmane Lyscik at 412-747-3697, prior to noon tomorrow, Friday, June 27, 2003. Please contact your chief pilot’s office for more information or an application form.
A copy of the bid is available on the Pilots Only section of the MEC web site at usairwayspilots.org.
The bid will close at 2330 Eastern Time on July 6.
Item 3. Contact information for the 15 members of the US Airways Board of Directors has been posted on the pilots’ only website, on the Library/Archives page under the Miscellaneous section heading.
Please remember we have 1,879 pilots on furlough.
ALPA MEC CODE-A-PHONE UPDATE - June 27, 2003
This is Roy Freundlich with a US Airways MEC update for Friday, June 27, with one new item.
The MEC reconvened its second quarter meeting today at the downtown Philadelphia Courtyard Marriott and took action on 30 items. The MEC elected Captain Mike D’Angelo as MEC Secretary-Treasurer to fill the unexpired term of Philip Osterhus, who was furloughed on June 4. This term of office expires March 22, 2004.
Other actions taken include the following:
The MEC directed the MEC chairman to appoint a committee to study the issue of membership ratification. The committee will prepare and provide educational materials for presentation to the MEC at the 3[sup]rd[/sup] Quarter 2003 MEC meeting for distribution to the pilot group by October 15, 2003 followed by a ballot of the membership to be concluded by the December, 2003, election ballot certification board normal count date, which usually occurs in the second week of a month.
Although ALPA firmly holds contractual rights to minimum fleet size and block hours, US Airways President and CEO David Siegel and his management team continuously make statements and issue veiled threats about further reductions in the aircraft fleet. The MEC directed the MEC Chairman to inform the Board of Directors of US Airways Inc, and Group, of ALPA’s intolerance of such confrontational tactics being employed by this management team. The MEC stated that management’s recent actions have only served to reaffirm the MEC’s no confidence in them.
The allocation and distribution of pilot restricted stock cannot be completed at this time due to the need to resolve vesting issues concerning pilots who retire prior to completion of vesting, and it is not in the interests of the pilots to vest in any of the restricted stock until such stock has been issued. Management has found it beneficial to US Airways, subject to approval of the US Airways Group Board of Directors, to accelerate the second vesting date from January 1, 2004 to July 31, 2003. The MEC determined that this accelerated vesting is beneficial to pilots by providing earlier value. Therefore, the MEC agreed to extend the first vesting date to July 31, 2003, but only without prejudice to the rights of pilots who would have received stock under the original June 1, 2003 vesting date. The MEC will agree, subject to approval of the US Airways Group Board of Directors, to accelerate the second vesting date to July 31, 2003, and the MEC will agree to provide its allocation result to the Company no later than July 15, 2003 provided that the parties resolve the retiree vesting issues no later than July 10, 2003.
The duties of the Furlough Administrator as specified in Section 2, Paragraph 4, of the MEC Policy Manual will include the coordination of the Jets for Jobs Program. Furloughed pilot Philip Osterhus will be retained as a consultant to perform the expanded duties of the Furlough Administrator for a period of one year beginning August 1, 2003. The current furlough administrator did not attend the meeting to seek renewal of his contract but be offered an extension of his consultancy through July 31, 2003, to provide transition assistance and maintain services.
The MEC also:
Elected Captain Steve Halpin as Route Committee Chairman.
Approved Captain Nancy Law as a member of the Training Committee.
Approved a renewal of a revised consulting contract for Bill Turbett for work in Legislative Affairs.
The MEC received a report today from the Legislative Affairs Committee and an update from ALPA International Vice President of Finance Chris Beebe. During these reports MEC chairman Bill Pollock reported that ALPA President Captain Duane Woerth, along with US Airways President and CEO David Siegel, attended a meeting with Senator Santorum of Pennsylvania on pension funding rules reform, which includes the restoration of our DB plan. The meeting was reported to go very well, with David Siegel staying on message in support of plan restoration. ALPA will continue to monitor US Airways support of this issue.
Committee and officer reports have been posted on the MEC web site.
The meeting adjourned at 7 p.m. this evening.
Please remember we have 1,879 pilots on furlough.
