CWA Update 12/3/02
An airline in crisis...
CWA agrees to further negotiations with US Airways management...
The following letter was sent from CWA to US Airways management Monday afternoon:
12/2/2002
Jerry Glass
Senior VP, Employee Relations
US Airways
Dear Jerry:
I am writing in response to your request that CWA discuss with the Company
certain modifications to the parties'' collective bargaining agreement that are in
addition to those ratified by the membership in September.
As you know, we have previously agreed that if US Airways determines to request
additional modifications to the CWA Restructuring Agreement . . . the Company and
CWA will meet to negotiate regarding such additional modifications . . . . See letter from D. Siegel to M. Bahr (the 1113 Letter). True to that commitment, CWA stands ready to meet immediately with the Company to negotiate regarding the Company''s proposed additional modifications.
However, as we also previously agreed, neither party will be required to reach
agreement regarding such modifications and the failure to reach such agreement will not affect the Company''s commitments, including its commitment not to seek additional modifications through the bankruptcy process. See the 1113 letter.
While CWA is willing to engage in negotiations on the basis outlined above,
I want to remind you that unfulfilled commitments and unfinished business remain from the prior restructuring process. We would expect these items to be dealt with prior to any further commitments on CWA''s part.
Sincerely,
CWA
************************************************************
BACKGROUND:
Passenger Service employees have already made extreme sacrifices for the emergency rescue of US Airways...
There is no question that US Airways is in extreme financial crisis, and CWA-represented passenger service employees will not stand by and watch the airline go out of existence if there are additional reasonable and productive contributions we can make. But, we can''t save this airline by ourselves. Here is what passenger service has already contributed to the emergency rescue of US Airways:
Our daily performance puts US Airways at the top of all airline passenger
service productivity and professionalism in spite of working short-handed around the system;
2,800 of our co-workers have been furloughed in management''s drive to cut costs;
We voted by 75 percent to reduce our passenger service employee costs by $450 million over six years, including:
1. Cuts in salaries, vacations, holidays, sick days, shift and job premiums;
2. Significant increases in our employee healthcare costs.
We want to see corresponding sacrifices by Executives and Management and an effective plan to preserve this airline and our careers...
The question is, How many times will management hit on passenger service? We are not the group with the $4 billion under funded pension problem, or with super salaries and bonus plans, or with feather-bedding work rules referred to by CEO Dave Siegel.
If there is going to be equity in the sacrifices, we expect to see the following:
Executives and Management take the same multi-year salary cuts that we took;
Executives and Management take the same multi-year vacation, holiday, and sick day cuts that we took;
Executives, Management, and all US Airways employees participate in the same medical and dental plan, with identical coverage and premiums for all categories;
Executives and Management provide an effective plan for US Airways that
preserves the airline and leads to passenger service job preservation. We don''t want to look back in 3 years and see a healthy US Airways, but still have our co-workers out of work because of subcontracting.
An airline in crisis...
CWA agrees to further negotiations with US Airways management...
The following letter was sent from CWA to US Airways management Monday afternoon:
12/2/2002
Jerry Glass
Senior VP, Employee Relations
US Airways
Dear Jerry:
I am writing in response to your request that CWA discuss with the Company
certain modifications to the parties'' collective bargaining agreement that are in
addition to those ratified by the membership in September.
As you know, we have previously agreed that if US Airways determines to request
additional modifications to the CWA Restructuring Agreement . . . the Company and
CWA will meet to negotiate regarding such additional modifications . . . . See letter from D. Siegel to M. Bahr (the 1113 Letter). True to that commitment, CWA stands ready to meet immediately with the Company to negotiate regarding the Company''s proposed additional modifications.
However, as we also previously agreed, neither party will be required to reach
agreement regarding such modifications and the failure to reach such agreement will not affect the Company''s commitments, including its commitment not to seek additional modifications through the bankruptcy process. See the 1113 letter.
While CWA is willing to engage in negotiations on the basis outlined above,
I want to remind you that unfulfilled commitments and unfinished business remain from the prior restructuring process. We would expect these items to be dealt with prior to any further commitments on CWA''s part.
Sincerely,
CWA
************************************************************
BACKGROUND:
Passenger Service employees have already made extreme sacrifices for the emergency rescue of US Airways...
There is no question that US Airways is in extreme financial crisis, and CWA-represented passenger service employees will not stand by and watch the airline go out of existence if there are additional reasonable and productive contributions we can make. But, we can''t save this airline by ourselves. Here is what passenger service has already contributed to the emergency rescue of US Airways:
Our daily performance puts US Airways at the top of all airline passenger
service productivity and professionalism in spite of working short-handed around the system;
2,800 of our co-workers have been furloughed in management''s drive to cut costs;
We voted by 75 percent to reduce our passenger service employee costs by $450 million over six years, including:
1. Cuts in salaries, vacations, holidays, sick days, shift and job premiums;
2. Significant increases in our employee healthcare costs.
We want to see corresponding sacrifices by Executives and Management and an effective plan to preserve this airline and our careers...
The question is, How many times will management hit on passenger service? We are not the group with the $4 billion under funded pension problem, or with super salaries and bonus plans, or with feather-bedding work rules referred to by CEO Dave Siegel.
If there is going to be equity in the sacrifices, we expect to see the following:
Executives and Management take the same multi-year salary cuts that we took;
Executives and Management take the same multi-year vacation, holiday, and sick day cuts that we took;
Executives, Management, and all US Airways employees participate in the same medical and dental plan, with identical coverage and premiums for all categories;
Executives and Management provide an effective plan for US Airways that
preserves the airline and leads to passenger service job preservation. We don''t want to look back in 3 years and see a healthy US Airways, but still have our co-workers out of work because of subcontracting.
