United Airlines mechanics ratify labor pact -unionTue May 31, 2005 10:16 AM ET
CHICAGO, May 31 (Reuters) - Members of the union representing mechanics at bankrupt United Airlines, a unit of UAL Corp. (UALAQ.OB: Quote, Profile, Research) , ratified a five-year labor deal that cuts their wages by 3.9 percent, the union said on Tuesday.
The Aircraft Mechanics Fraternal Association said the deal, which grants United $96 million in average annual savings, was approved in a close vote but had no details on the exact tally.
UAL has said it needs $700 million a year in labor savings to exit Chapter 11 bankruptcy protection.
© Reuters 2005. All Rights Reserved.
CHICAGO, May 31 (Reuters) - Members of the union representing mechanics at bankrupt United Airlines, a unit of UAL Corp. (UALAQ.OB: Quote, Profile, Research) , ratified a five-year labor deal that cuts their wages by 3.9 percent, the union said on Tuesday.
The Aircraft Mechanics Fraternal Association said the deal, which grants United $96 million in average annual savings, was approved in a close vote but had no details on the exact tally.
UAL has said it needs $700 million a year in labor savings to exit Chapter 11 bankruptcy protection.
© Reuters 2005. All Rights Reserved.