UAL union voting on furlough plan
Mechanics consider voluntary layoffs to help offset job cuts
By David Kesmodel, Rocky Mountain News
November 30, 2004
United Airlines' mechanics are voting on whether to start a voluntary layoff program as they brace for more pink slips at the troubled carrier.
The union representing mechanics reached a tentative agreement with UAL Corp.'s United on a voluntary furlough program, a move that reflects the tenuous nature of the mechanic profession amid a prolonged industry slump.
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"We want to save some of the junior guys," said Richard Turk, an official with the San Francisco Bay Area chapter of the Aircraft Mechanics Fraternal Association. "Some of the guys who have more seniority would like to get severance pay and get out of the industry. It gives them an option to get out instead of just up and quitting."
Voting by mechanics began Nov. 24 and will end Dec. 14.
United, struggling to emerge from the industry's biggest bankruptcy, plans to cut its domestic seat capacity by 14 percent and increase its international capacity by 12 percent by March.
The move means United must reduce its work force, Alan Koehler, director of labor relations at United, said in a Nov. 18 letter to AMFA official Jim Seitz. The airline hasn't said how many mechanic jobs would be affected.
Under the proposed furlough program, mechanics who volunteer to be furloughed would be eligible for the weeks of severance pay available to the person who otherwise would have been furloughed. They also would receive medical and dental benefits for the same duration as those who were involuntarily furloughed.
When union-represented employees are laid off at United, they have the right to be recalled by the company at a future date in order of seniority.
Under the proposed furlough program, mechanics who take a voluntary furlough can choose at any time to be added to the active recall list, making them eligible to return to the carrier.
United is Denver's dominant airline and employs more than 700 mechanics and related workers at Denver International Airport. The carrier has about 7,000 mechanics and related employees across its system.
The United branch of the Association of Flight Attendants has a voluntary furlough program for attendants.
Chicago-based United has proposed $725 million in annual pay and benefit cuts and productivity improvements to its unions as part of its effort to emerge from bankruptcy. It plans to save another $639 million annually, on average, from 2005 through 2010 by ending traditional pension plans.
The proposed changes also could result in additional furloughs of mechanics and other employees.
Mechanics consider voluntary layoffs to help offset job cuts
By David Kesmodel, Rocky Mountain News
November 30, 2004
United Airlines' mechanics are voting on whether to start a voluntary layoff program as they brace for more pink slips at the troubled carrier.
The union representing mechanics reached a tentative agreement with UAL Corp.'s United on a voluntary furlough program, a move that reflects the tenuous nature of the mechanic profession amid a prolonged industry slump.
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"We want to save some of the junior guys," said Richard Turk, an official with the San Francisco Bay Area chapter of the Aircraft Mechanics Fraternal Association. "Some of the guys who have more seniority would like to get severance pay and get out of the industry. It gives them an option to get out instead of just up and quitting."
Voting by mechanics began Nov. 24 and will end Dec. 14.
United, struggling to emerge from the industry's biggest bankruptcy, plans to cut its domestic seat capacity by 14 percent and increase its international capacity by 12 percent by March.
The move means United must reduce its work force, Alan Koehler, director of labor relations at United, said in a Nov. 18 letter to AMFA official Jim Seitz. The airline hasn't said how many mechanic jobs would be affected.
Under the proposed furlough program, mechanics who volunteer to be furloughed would be eligible for the weeks of severance pay available to the person who otherwise would have been furloughed. They also would receive medical and dental benefits for the same duration as those who were involuntarily furloughed.
When union-represented employees are laid off at United, they have the right to be recalled by the company at a future date in order of seniority.
Under the proposed furlough program, mechanics who take a voluntary furlough can choose at any time to be added to the active recall list, making them eligible to return to the carrier.
United is Denver's dominant airline and employs more than 700 mechanics and related workers at Denver International Airport. The carrier has about 7,000 mechanics and related employees across its system.
The United branch of the Association of Flight Attendants has a voluntary furlough program for attendants.
Chicago-based United has proposed $725 million in annual pay and benefit cuts and productivity improvements to its unions as part of its effort to emerge from bankruptcy. It plans to save another $639 million annually, on average, from 2005 through 2010 by ending traditional pension plans.
The proposed changes also could result in additional furloughs of mechanics and other employees.
