"Change Of Control" Snap Back, Grievance, September 13,2007

[PayParity]

700, has DL142 let the M & R know what the wage would be, should the M & R win the award?

The ramp is at $21.19 with an award but the 4, 4.5% increases boost things significantly more.

regards,

At the bottom of the page is the language for maintenance and related change of control. It was written into the CBA of October 1, 1995 as modified by the September 17, 2002 and the January 10, 2003 Restructuring proposals and kept in the January 31, 2005 CBA. It refers to Pay Parity Letter in the original October 1995 CBA to calculate wage rates.

The language refers to pay going back whatever the Oct 2003 pay parity adjustment would have been which as far as I know was never calculated as pay parity stopped just weeks before the Oct 2002 pay parity adjustment. If I recall correctly the mechanics were set to get an across the board 13% base rate raise and a .75 license increase in Oct 2002. I am not sure if that was per license or not but I will use per license figure. At the time a topped out mechanic was making 27.03 base rate and 2.90 for both licenses. So using those figures

27.03 + 13% = 30.54 Base
2.90 + 1.50 = 4.40 both licenses

That would be for Oct 2002...Oct 2003 rates are unknown

Excerpts from pay parity language

The Company and Union agree that effective twelve (12) months from the effective date of the parties bargaining agreement (the "Agreement"), and every 12 months thereafter up to but not including the amendable date of the Agreement (the "Parity Dates"), the hourly rates of pay ("Pay Rates") for Mechanic, Stock Clerk and Utilityman (the "Basic Classifications") under article 18 of the Agreement, and the license premium payable under article 12(I) of the agreement ("License Premiums") will be adjusted so as to equal 101% of the "Weighted Average" (as defined in Paragraph H(4) below) of the then-existing Pay Rates and License Premiums (calculated separately) for the same or similar classifications at American, Delta, Northwest, and United Airlines (the "Composite Competitor). (This shall be referred to herein as achieving "Parity Pay Rate" and "Parity License Premiums.")

This Letter of Agreement shall be effective on the effective date of the 1999 collective bargaining agreement, and shall terminate on the date by which all Pay Rate adjustments, if any, required by this Letter of Agreement have been implemented, at which point it shall have no further force or effect.

The amendable date of the agreement was October 10, 2004 so according to the Pay Parity Letter of Agreement the last Pay Parity adjustment would have been in Oct 2003 which is the date both the CBA of October 1, 1995 (as modified by the September 17, 2002 and the January 10, 2003 Restructuring proposals) and the CBA of January 31, 2005 change of control language refers to.

Change of Control language

Upon a change in control defined as the sale of all or substantially all of the assets or common stock of the Company or US Airways Group in a single transaction (or in multi-step related transactions) to a single purchaser (or a group of purchasers acting in concert), the hourly rates of pay under this agreement shall be increased to the rates which would have been effective following the Pay Parity Adjustment in October 2003 under the Letter of Agreement. In addition to such hourly rates of pay, the IAM will have the right to extend the duration of the IAM Restructuring Agreement for one, two or three years at the IAM’s option, past the amendable date of the IAM Restructuring Agreement, with across the board wage increases of four and one half percent (4.5%) on the amendable date and on each of the three (3) annual anniversaries of the amendable date thereafter (i.e. 12/31/08, 12/31/09 and 12/31/10). For the purposes of this paragraph, "Common Stock" is the Common Stock of US Airways Group then outstanding and the Common Stock issuable on exchange, exercise, and/or conversion of securities of the Company or US Airways Group which are then currently exchangeable into, exercisable for, or convertible into such Common stock.

 

[philly rocks]

The arbitration was heard the past two days. I am sure IAM leaders were present. Why aren't they sharing anything with us at this time?

 

[Harry Callahan]

They should be but imo don't think they will.

 

[700AW]

The East employees are covered by the East/IAM CBAs, there are two seperate CBAs one for M&R and one for Fleet. M&R are in DL 142 and Fleet are in DL 141.

The West employees are still working under the former TWU/HP Fleet CBA and the M&R are covered by the former IBT/HP CBA.

The COC will only affect the East employees, the west will get nothing from the arbitration.

The company and the union have to negotiate on how to transition the former west employees to the East CBAs.

COMMENT DELETED BY MODERATOR--Personal insults and inflammatory posts are not permitted.

 

[fanlube]

The East employees are covered by the East/IAM CBAs, there are two seperate CBAs one for M&R and one for Fleet. M&R are in DL 142 and Fleet are in DL 141.

The West employees are still working under the former TWU/HP Fleet CBA and the M&R are covered by the former IBT/HP CBA.

The COC will only affect the East employees, the west will get nothing from the arbitration.

The company and the union have to negotiate on how to transition the former west employees to the East CBAs.

Not totally true. The profit sharing was only in the East contract as well however we all know what happened there. Is it likely the west will profit from a successful arbitration award I wouldnt think so but you never know. How all this plays out is going to be very interesting to say the least!

 

[700UW]

The District agreed to give the profit sharing to the West.

The CBA only covers the East and the COC does not cover the west as it is not in their CBA, and remember they only got profit sharing from the date the IAM was certified as the West bargaining unit.

The company wont raise the West pay rates if the IAM wins the COC.

 

[redeye]

The District agreed to give the profit sharing to the West.

The CBA only covers the East and the COC does not cover the west as it is not in their CBA, and remember they only got profit sharing from the date the IAM was certified as the West bargaining unit.

The company wont raise the West pay rates if the IAM wins the COC.

In effect it will (hypothetically),
If the IAM wins the COC, the award is no longer "chance" and negotiations will bring definite rather than
approximate results.

Example: Award is worth 400,000,000. Give backs are worth 400,000,000 (sick pay, pay rates, holidays etc.).
This is a whole lot better for us than giving up 400,000,000 for a package worth 21,000,000.

400,000,000 is 400,000,000 whether it includes west or not. It will not save Doug one dime by leaving them separate.
He can benifit with labor peace.

just another angle!

 

[Henderfuzz]

redeye you need to read your contract. The CIC award will only give us back pay rates.
Nothing else. We keep this same contract with no sick pay same vacation and such.
Read it again. Also any new pay rasies would only come if the IAM agrees to extend the current contract.

 

[perserverance]

Redeye-
I agree with you in that if this CIC is decided in
the workers favor it will severly impact how the union
can negotiate for a new agreement. If the company see's
the value of the award as an oppurtunity to raise current
benifits and pay in an attempt to keep from paying out the
whole award. The TA that was voted down did not equal the
value of what the CIC could be. Alot of people just can't see
the forest for the trees'. We as a group are holding a very
powerful threat. We will know soon and even if it isn't decided
in the workers favor we still recieve ''Profit Sharing'' and need
to be brought back to the table for '09. We as a group are no
longer dealing from the backseat to a bankrupt airline. We are
now dealing with a very profitable company. I asked Jeff before
but he never answered. ''Would he still advise the group to vote
for this TA and for-go the ''Profit Sharing'' knowing that Fidelity
Investments just purchased 6,000,000 more shares ? I don't know
how educated he is but I'm gonna guess that Fidelity has some very
educated people working for them .''


Thanks

 

[b737200]

It's not just a matter of money, the arrogance of our management team has been compromised.
If the lowly fleet service worker has stopped the mighty giant in it's tracks, they are sending a message to other labor groups on the property and also at other airlines as well. Let's face it, what the fleet would win in this case would not equal up to what this corp. pisses away on poor ops and management bonuses.
I would love to see what the baggage deliver bill is for phl for a full year, throw in the delay factor, misconnects, hotels and immenities for paxs.
Bottom line............Doug, Travis, Scotty and the rest of the sandcastle boys have been defied and they can't handle it. Just like SHARES and SCEPTRE, Doug say's its not the system it's the transition(can't except the fact it's inferior). The same goes for this arbitration, they can't except the fact we called thier hand.

Thank you for your time

 

[PayParity]

Update

 

[redeye]

Update

Thank you PayParity!

The update itself is for District 142 & 141. Only thing is, Randy Cannoli did not
think to post it on the 141 website as of yet.
I don't care that he is ticked at fleet service, but if he wants to take his toy
and play in the corner he needs to just leave. He needs to go!!!!

 

[redeye]

Did everyone in fleet service see todays update.......no?......thats because only
District 142 posted it.

http://www.iamdl142.org/USA%202007-103.pdf

As of yet, nothing posted at 141 :down:

 

[insp89]

redeye you need to read your contract. The CIC award will only give us back pay rates.
Nothing else. We keep this same contract with no sick pay same vacation and such.
Read it again. Also any new pay rasies would only come if the IAM agrees to extend the current contract.

I am under the Impression that [when] and [if] the IAM wins this Arbitration,
The IAM and Company will then sit down and negotiate a Transition Agreement that will bring the East and West Together,
and hopefully will addresss sick pay, vacation and many other issues.
The Obvious Upside is that the IAM will be Negotiating from a Position of Strength [for a change].

 

[Henderfuzz]

I am under the Impression that [when] and [if] the IAM wins this Arbitration,
The IAM and Company will then sit down and negotiate a Transition Agreement that will bring the East and West Together,
and hopefully will addresss sick pay, vacation and many other issues.
The Obvious Upside is that the IAM will be Negotiating from a Position of Strength [for a change].

I have not heard that. Doesnt mean its not true but my question would be why bother.
They would have no incentive to do so.
I hope we win but if we dont than what do we do who do we complain to