US Airways responds to pilots, won't make details public
Thursday, July 08, 2004
By Dan Fitzpatrick, Pittsburgh Post-Gazette
Five days after US Airways pilots cited a "lack of progress" in their concessionary talks with the airline, US Airways officially responded yesterday to the union's offer of a 12.5 percent pay cut and five more hours of work per month.
The company would not talk about the details of its counteroffer, other than to say that it was made during negotiations yesterday in the Pittsburgh area. The exchange follows complaints made by the pilots' negotiating committee on a pilots-only Web site on Friday, with negotiators saying they were "disappointed in the lack of progress" in the union's six-week-old concessionary talks. The Arlington, Va.-based airline is seeking $800 million in labor cuts this summer as it tries to eliminate $1.5 billion in across-the board expenses and avoid a second bankruptcy filing in two years.
US Airways, according to the union's negotiating committee, had not given negotiators a proposal "of any kind" as of Friday, beyond an unspecific request for $295 million in annual cuts. Also, the company had not put a value to the pilots' proposal, which observers believe is significantly less than the $295 million requested by the company.
"Needless to say, we are disappointed in the lack of progress on the side of the company," the committee wrote.
The talks with the pilots are being watched closely by airline observers as US Airways tries to regain profitability and fend off low-cost competitors. Airline Chief Executive Officer Bruce Lakefield has said he wanted agreements with all his unions in June, so there would be time to ratify them by September, ahead of a key financial deadline set by the federal government. That timetable is now being tested, with the pilots still the only union agreeing to new contract talks.
The pilots' first offer would cut the pay of its pilots by 12.5 percent and freeze any scheduled raises through 2008, bringing US Airways pilots in line with their counterparts at America West Airlines, a Phoenix-based rival being used by the company as a model in these negotiations.
The pilots' offer to also work five more hours per month (up to 90) brings them closer to the 95-hour cap used by their counterparts at New York-based JetBlue Airways, another carrier being used as a model by US Airways.
The company spent two days last week "discussing JetBlue-like productivity" with union negotiators, according to the pilots-only Web site. The company also handed the pilots a five-page "hand-written working paper outlining JetBlue productivity issues" such as sick days, vacation time and scheduling.
Thursday, July 08, 2004
By Dan Fitzpatrick, Pittsburgh Post-Gazette
Five days after US Airways pilots cited a "lack of progress" in their concessionary talks with the airline, US Airways officially responded yesterday to the union's offer of a 12.5 percent pay cut and five more hours of work per month.
The company would not talk about the details of its counteroffer, other than to say that it was made during negotiations yesterday in the Pittsburgh area. The exchange follows complaints made by the pilots' negotiating committee on a pilots-only Web site on Friday, with negotiators saying they were "disappointed in the lack of progress" in the union's six-week-old concessionary talks. The Arlington, Va.-based airline is seeking $800 million in labor cuts this summer as it tries to eliminate $1.5 billion in across-the board expenses and avoid a second bankruptcy filing in two years.
US Airways, according to the union's negotiating committee, had not given negotiators a proposal "of any kind" as of Friday, beyond an unspecific request for $295 million in annual cuts. Also, the company had not put a value to the pilots' proposal, which observers believe is significantly less than the $295 million requested by the company.
"Needless to say, we are disappointed in the lack of progress on the side of the company," the committee wrote.
The talks with the pilots are being watched closely by airline observers as US Airways tries to regain profitability and fend off low-cost competitors. Airline Chief Executive Officer Bruce Lakefield has said he wanted agreements with all his unions in June, so there would be time to ratify them by September, ahead of a key financial deadline set by the federal government. That timetable is now being tested, with the pilots still the only union agreeing to new contract talks.
The pilots' first offer would cut the pay of its pilots by 12.5 percent and freeze any scheduled raises through 2008, bringing US Airways pilots in line with their counterparts at America West Airlines, a Phoenix-based rival being used by the company as a model in these negotiations.
The pilots' offer to also work five more hours per month (up to 90) brings them closer to the 95-hour cap used by their counterparts at New York-based JetBlue Airways, another carrier being used as a model by US Airways.
The company spent two days last week "discussing JetBlue-like productivity" with union negotiators, according to the pilots-only Web site. The company also handed the pilots a five-page "hand-written working paper outlining JetBlue productivity issues" such as sick days, vacation time and scheduling.
