Continental Airlines Mechanic Pay Increases

[Bob Owens]

In the summer of 1991, Lorenzo sold off most of his investments with Continental Airlines. This allowed Continental to further grow as a result of IAM and other unions had kick up a storm. The Scandinavian airline that bought Continental also insisted that Lorenzo leave, and sign a pact to stay out of the airline business for seven years. But that didn't stop Lorenzo from trying to start up another small airline in Baltimore, which he ironically wanted to call Friendship, in 1993. After a flurry of union protest, the U.S. Department of Transportation denied Lorenzo's bid to establish the airline, saying he was unfit to fly "in accord with the public interest."

 

[CALFLYBOY]

One must understand even though the mechanics are getting improvements to their pay and work rules, management now must place emphasis on its pilots negotiations. Don't be surprised though if management comes knocking on ALPA, IAM, Teamsters, and TWU door's later in 2003 looking for pay freezes and pay cuts. Just my prediction. The CAL employees in the early '90s all suffered through pay freezes and pay cuts. Back then all of the employees were at the bottom of the "industry standard" of their respective work groups.