C
chipmunn
Guest
Today’s letter from Dave Siegel to the pilot group was expected from ALPA.
During last Thursday’s Senate floor debate when Senator Grassley rejected Senator Santorum’s S.119 bill to provide a legislation solution to US Airways pension problem, Senator Specter convinced Grassley to hold a hearing on the matter. Then Specter said the bankruptcy court could accept a potential legislative solution as a part of the Confirmation Statement to keep the airline’s reorganization on track.
Specter and Santorum then scheduled last Tuesday’s Senate Appropriations Subcommittee hearing on the pension problem, but the pilot’s anger is bubbling over because those in attendance now believe the company purposely “pulled the rug out†from beneath the pilot group.
Today one moderate MEC member told me, “I lost what little respect I had for Seigel when I heard his testimony. Don't forget, the plan we were supporting came from management and we latched on to it with all of our effort. He made us (ALPA) look like idiots in front of the US Senate.â€
Another moderate MEC member emailed me, “They PROMISED in writing to protect our pension! This will screw the pilots over, the same pilots who have put him in this position, he had better be well aware if he kills the plan. It won't be pretty around here. I'll tell you that today I had 15 messages on my answering machine ALL of them said burn the place down. I've received over 40 e-mails 28 said burn the place down. This is total opposite of what I received during both T/A's.
In today’s edition of the Pittsburgh Post-Gazette, Ron Freundlich, spokesman for US Airways' unionized pilots, called Siegel's statement an outrage and a betrayal. He said it undercut the efforts of the company and the Air Line Pilots Association to persuade Congress to approve legislation allowing the airline to stretch out its pension payments. It tells the government and Congress that it doesn't have to act, he said. He said the pilots had already agreed to $565 million in annual wage and benefit cuts and pension plan reductions that would save the company about $575 million over seven years. Freundlich said the union would not agree to additional concessions.
I have never seen this type of anger and outrage by the pilot group who is the only employees who are being asked to sacrifice their pension, which will not be substituted by management’s plan. In fact, during testimony at Tuesday’s Senate hearing when pressed by Specter, Siegel said the company would offer a defined contribution plan that would provide pilots with less benefits than the pilots second pension concession.
The pilots remain livid and are not interested in the “gutting†of their retirement plan. Today the Pittsburgh Tribune-Review wrote This does nothing to relieve our concerns, Roy Freundlich, spokesman for the Air Line Pilots Association, said of the memo (from Siegel to the pilots). Without the details, we assume what they are trying to do is provide pilots with severely depleted benefits, Freundlich said. The union assumes management aims to lower its pension contribution without preserving pilots' retirement benefits.
In my opinion, if a legislative solution is not obtained, the company will distress terminate the pilots pension and abrogate the pilots contract. This will take the so-called “labor friendly†reorganization and transition it to an “un-labor friendly†reorganization and war could break out between management and the pilot group. I cannot tell you the number of times I have read posts or emails throughout the day the call Dave Siegel either Frank Siegel or Dave Lorenzo because I have lost count.
As you know, I believe it’s an insult to purposely mispronounce somebody’s name, but this expresses the depth of the problem that could lead to the liquidation of US Airways. If the company emerges from bankruptcy, there may never be cooperation again between the pilot group and management and this airline and its employees could relive Continental Airlines of the 80’s or Eastern Air Lines of the 90’s.
I believe it is best for US Airways and all of its employees for Dave Siegel and Rosemary Murray to use every waking moment to obtain a legislative solution to the pilots defined benefit problem, because without such relief, I believe this company could eventually liquidate due to this problem.
In Siegel's memo the the pilot group the chief executive said, I know how important this is to you and your families; however, in my opinion he and others have underestimated the depth of this statement.
Chip
During last Thursday’s Senate floor debate when Senator Grassley rejected Senator Santorum’s S.119 bill to provide a legislation solution to US Airways pension problem, Senator Specter convinced Grassley to hold a hearing on the matter. Then Specter said the bankruptcy court could accept a potential legislative solution as a part of the Confirmation Statement to keep the airline’s reorganization on track.
Specter and Santorum then scheduled last Tuesday’s Senate Appropriations Subcommittee hearing on the pension problem, but the pilot’s anger is bubbling over because those in attendance now believe the company purposely “pulled the rug out†from beneath the pilot group.
Today one moderate MEC member told me, “I lost what little respect I had for Seigel when I heard his testimony. Don't forget, the plan we were supporting came from management and we latched on to it with all of our effort. He made us (ALPA) look like idiots in front of the US Senate.â€
Another moderate MEC member emailed me, “They PROMISED in writing to protect our pension! This will screw the pilots over, the same pilots who have put him in this position, he had better be well aware if he kills the plan. It won't be pretty around here. I'll tell you that today I had 15 messages on my answering machine ALL of them said burn the place down. I've received over 40 e-mails 28 said burn the place down. This is total opposite of what I received during both T/A's.
In today’s edition of the Pittsburgh Post-Gazette, Ron Freundlich, spokesman for US Airways' unionized pilots, called Siegel's statement an outrage and a betrayal. He said it undercut the efforts of the company and the Air Line Pilots Association to persuade Congress to approve legislation allowing the airline to stretch out its pension payments. It tells the government and Congress that it doesn't have to act, he said. He said the pilots had already agreed to $565 million in annual wage and benefit cuts and pension plan reductions that would save the company about $575 million over seven years. Freundlich said the union would not agree to additional concessions.
I have never seen this type of anger and outrage by the pilot group who is the only employees who are being asked to sacrifice their pension, which will not be substituted by management’s plan. In fact, during testimony at Tuesday’s Senate hearing when pressed by Specter, Siegel said the company would offer a defined contribution plan that would provide pilots with less benefits than the pilots second pension concession.
The pilots remain livid and are not interested in the “gutting†of their retirement plan. Today the Pittsburgh Tribune-Review wrote This does nothing to relieve our concerns, Roy Freundlich, spokesman for the Air Line Pilots Association, said of the memo (from Siegel to the pilots). Without the details, we assume what they are trying to do is provide pilots with severely depleted benefits, Freundlich said. The union assumes management aims to lower its pension contribution without preserving pilots' retirement benefits.
In my opinion, if a legislative solution is not obtained, the company will distress terminate the pilots pension and abrogate the pilots contract. This will take the so-called “labor friendly†reorganization and transition it to an “un-labor friendly†reorganization and war could break out between management and the pilot group. I cannot tell you the number of times I have read posts or emails throughout the day the call Dave Siegel either Frank Siegel or Dave Lorenzo because I have lost count.
As you know, I believe it’s an insult to purposely mispronounce somebody’s name, but this expresses the depth of the problem that could lead to the liquidation of US Airways. If the company emerges from bankruptcy, there may never be cooperation again between the pilot group and management and this airline and its employees could relive Continental Airlines of the 80’s or Eastern Air Lines of the 90’s.
I believe it is best for US Airways and all of its employees for Dave Siegel and Rosemary Murray to use every waking moment to obtain a legislative solution to the pilots defined benefit problem, because without such relief, I believe this company could eventually liquidate due to this problem.
In Siegel's memo the the pilot group the chief executive said, I know how important this is to you and your families; however, in my opinion he and others have underestimated the depth of this statement.
Chip
34 AM allbuzness wrote: 
