IAM wants to fight?


Dec 27, 2002
[DIV class=ar]CHICAGO (Reuters) - UAL Corp.''s- United Airlines said in a bankruptcy court filing on Friday it has reached tentative deals on wage cuts with leaders from four of its six unions, which it hopes members will ratify by early January.
[P]The airline, which filed the largest bankruptcy in aviation history on Dec. 9, filed court papers on Friday seeking to terminate labor agreements if it is unable to reach voluntary cost-cutting deals with its unions.
[P]But the No. 2 U.S. airline, based in Elk Grove Village, Illinois, said in court documents it would withdraw that motion if key unions ratified the proposed deals. United said it had reached tentative deals with the unions representing its pilots, flight attendants, dispatchers and meteorologists.
[P][STRONG][EM]In a statement, the company said it would seek the court''s authority to impose wage reductions on the International Association of Machinists, which it said has not agreed to any voluntary wage cuts. [/EM][/STRONG]
[P]United has said it needs to slash labor costs by $2.4 billion a year in order to meet the conditions set forth by its lenders. Unless United can achieve specific cash flow targets through deeper cost cuts, it cannot tap into an additional $700 million of debtor-in-possession, or DIP, financing. It currently has access to $800 million of financing to help it operate while in bankruptcy.