Nobody likes what has happened to the airline industry or US Airways, but when IAM-141 and IAM-142 members vote on the company's porposal, here are a few points to consider:
During last Thursday's hearing, Judge Mitchell said, "Which is worse - that half the mechanics lose their jobs or that all of the mechanics lose their jobs?"
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Peter Cappelli, a management professor at the Wharton School of the University of Pennsylvania and an expert on airline labor relations, said that even though the economic result would be the same, a new deal would preserve other rights, such as seniority rules and grievance procedures. "It is certainly in the interest of the employees to retain whatever they can out of the contract," he said.
See Story
"I wish I could vote 'no,' said Frank Schifano, president of the IAM Lodge 1976 in Pittsburgh and a member of the union's negotiating group. "But the alternatives are so grave. Every member is going to have to evaluate his own position." The airline is offering a severance package and retiree medical coverage for people who retire before March 1. If members vote down the agreement, those incentives will be gone, Schifano said. "Vote 'yes,' lose your job and get severance," he said. "Vote 'no,' lose your job and get nothing."
The good news, Schifano said, is that the union was able to save lots of jobs during negotiations and keep some maintenance work in Charlotte, N.C., and Pittsburgh.
See Story
If the company proposal is not ratified the IAM contracts will immediately be terminated and the airline would be free to impose even deeper cuts.
If the proposal is ratified, for Mechanics & Related workgroup there would be the following benefits:
-- Pay rates for mechanics would be significantly better than the current pay that reflects a 21 percent temporary cut
-- Heavy maintenance on Airbus narrowbody aircraft will be brought in-house and certain Boeing 737 work will continue to be done in-house. Widebody heavy maintenance and other work to be specified, including some Boeing 737 inspection activity, will be done using outside maintenance vendors
-- Base maintenance will continue to be performed in Charlotte, N.C., and Pittsburgh
-- Line maintenance positions will increase with anticipated schedule changes in 2005
-- Utility classification and certain utility positions will be preserved at base maintenance facilities only, with other utility and cleaning services to be outsourced
-- IAM employees displaced by outsourcing will be offered existing and future fleet service positions
For the Fleet Service workgroup:
-- Pay rates for fleet service employees at hubs and major stations would be significantly better than the current pay that reflects a 21 percent temporary pay reduction
-- Most existing fleet service work will be preserved
-- A majority of scope provisions will remain unchanged except the right to outsource fleet work at the smaller cities and a second-tier pay scale for medium-sized cities
-- Continuation in the pre-existing IAM multi-employer national pension plan at unreduced levels
-- Even if an employee is furloughed as a result of the proposals being ratified, they're better off. Furloughed employees would have severance pay, COBRA, J4J (if available), and recall rights.
In conclusion, if the proposals are ratified and implemented the majority of IAM jobs will be preserved. However, if the company fails none of the items listed above would be available for any IAM member.
Regards,
USA320Pilot
During last Thursday's hearing, Judge Mitchell said, "Which is worse - that half the mechanics lose their jobs or that all of the mechanics lose their jobs?"
See Story
Peter Cappelli, a management professor at the Wharton School of the University of Pennsylvania and an expert on airline labor relations, said that even though the economic result would be the same, a new deal would preserve other rights, such as seniority rules and grievance procedures. "It is certainly in the interest of the employees to retain whatever they can out of the contract," he said.
See Story
"I wish I could vote 'no,' said Frank Schifano, president of the IAM Lodge 1976 in Pittsburgh and a member of the union's negotiating group. "But the alternatives are so grave. Every member is going to have to evaluate his own position." The airline is offering a severance package and retiree medical coverage for people who retire before March 1. If members vote down the agreement, those incentives will be gone, Schifano said. "Vote 'yes,' lose your job and get severance," he said. "Vote 'no,' lose your job and get nothing."
The good news, Schifano said, is that the union was able to save lots of jobs during negotiations and keep some maintenance work in Charlotte, N.C., and Pittsburgh.
See Story
If the company proposal is not ratified the IAM contracts will immediately be terminated and the airline would be free to impose even deeper cuts.
If the proposal is ratified, for Mechanics & Related workgroup there would be the following benefits:
-- Pay rates for mechanics would be significantly better than the current pay that reflects a 21 percent temporary cut
-- Heavy maintenance on Airbus narrowbody aircraft will be brought in-house and certain Boeing 737 work will continue to be done in-house. Widebody heavy maintenance and other work to be specified, including some Boeing 737 inspection activity, will be done using outside maintenance vendors
-- Base maintenance will continue to be performed in Charlotte, N.C., and Pittsburgh
-- Line maintenance positions will increase with anticipated schedule changes in 2005
-- Utility classification and certain utility positions will be preserved at base maintenance facilities only, with other utility and cleaning services to be outsourced
-- IAM employees displaced by outsourcing will be offered existing and future fleet service positions
For the Fleet Service workgroup:
-- Pay rates for fleet service employees at hubs and major stations would be significantly better than the current pay that reflects a 21 percent temporary pay reduction
-- Most existing fleet service work will be preserved
-- A majority of scope provisions will remain unchanged except the right to outsource fleet work at the smaller cities and a second-tier pay scale for medium-sized cities
-- Continuation in the pre-existing IAM multi-employer national pension plan at unreduced levels
-- Even if an employee is furloughed as a result of the proposals being ratified, they're better off. Furloughed employees would have severance pay, COBRA, J4J (if available), and recall rights.
In conclusion, if the proposals are ratified and implemented the majority of IAM jobs will be preserved. However, if the company fails none of the items listed above would be available for any IAM member.
Regards,
USA320Pilot
