Does this program apply to all employees or is it more in the mode of the 6 Million in bonuses paid to U Executives?
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United warns of ''brain drain''
>From the Crain''s Chicago Business Newsroom
December 16 14:06:00, 2002
By Steven R. Strahler
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Among a few other requests of the judge, UAL Corp. wants to keep an employee retention and severance program that could cost up to $107 million, depending on the extent of downsizing, the United Airlines parent says in its bankruptcy filing.
Elk Grove Township-based United indicated that the annual rate of officer turnover quadrupled, to more than 10%, during the 360 days prior to its petition this month, and if it keeps up, the carrier worries about its ability to operate and emerge from Chapter 11.
It cited Montie Brewer, formerly head of planning, who bolted (in March) for Air Canada, and Louis Mancini, formerly chief engineer, who went the same month to Chicago''s Boeing Co. Mr. Mancini''s chief deputy, James Keenan, was then promoted, only to leave for engine maker Pratt & Whitney.
Competitors (industry and geographic) have already begun and are likely to continue to prey on (United''s financial) anxieties and actively recruit the debtors'' key employees, the filing said. Turnover just below the rank of officers has been less affected, but court documents mentioned employee flight to Consolidated Trucking Co., Levi Strauss & Co., Kraft Foods Inc. and other non-airline firms.
For news headlines throughout the business day, go to: http://www.chicagobusiness.com
----------------------------------------------------------
United warns of ''brain drain''
>From the Crain''s Chicago Business Newsroom
December 16 14:06:00, 2002
By Steven R. Strahler
-----
Among a few other requests of the judge, UAL Corp. wants to keep an employee retention and severance program that could cost up to $107 million, depending on the extent of downsizing, the United Airlines parent says in its bankruptcy filing.
Elk Grove Township-based United indicated that the annual rate of officer turnover quadrupled, to more than 10%, during the 360 days prior to its petition this month, and if it keeps up, the carrier worries about its ability to operate and emerge from Chapter 11.
It cited Montie Brewer, formerly head of planning, who bolted (in March) for Air Canada, and Louis Mancini, formerly chief engineer, who went the same month to Chicago''s Boeing Co. Mr. Mancini''s chief deputy, James Keenan, was then promoted, only to leave for engine maker Pratt & Whitney.
Competitors (industry and geographic) have already begun and are likely to continue to prey on (United''s financial) anxieties and actively recruit the debtors'' key employees, the filing said. Turnover just below the rank of officers has been less affected, but court documents mentioned employee flight to Consolidated Trucking Co., Levi Strauss & Co., Kraft Foods Inc. and other non-airline firms.
For news headlines throughout the business day, go to: http://www.chicagobusiness.com
