International Association Of Machinists And Aerospace Workers



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27 Apr 2007  US Airways Change of Control Lawsuit Ruling

19 Apr 2007  US Airways Transition & Change of Control Update

13 Apr 2007  US Airways Change of Control Update

11 Apr 2007  UAL Profit Sharing

20 Mar 2007 
US Airways Change of Control Update

14 Mar 2007  M & R  US Airways Update

8 Mar 2007  M & R  US Airways Transition Update

7 Mar 2007 Fleet Service  US Airways Profit Sharing Questions and Answers

7 Mar 2007  US Airways Mtc Instructors Profit Sharing Q&A

7 Mar 2007  US Airways Profit Sharing Q&A

2 Mar 2007  US Airways Profit Sharing

1 Mar 2007  Fleet Service  US Airways Update

26 Feb 2007  Machinists File Suit over Change of Control Arbitration

26 Feb 2007  Machinists Court Filing

21 Feb 2007  Company submitted injunction to Change of Control Arbitration

21 Feb 2007   USAirways-PHX

16 Feb 2007  Fleet Service  US Airways Transition Discussions Continue

14 Feb 2007  US Airways Profit Sharing Update

12 Feb 2007  US Airways Seniority Integration Report

2 Feb 2007  US Airways Transition Update

18 Jan 2007  US Airways Change Control Grievance Update

12 Jan 2007   U S Airways Transition Update

9 Jan 2007   U S Airways Transition Update

 

March 29, 2007

UAL Labor Coalition - UAL Management Compensation

To: All IAM Members Employed by United Airlines

Dear Sisters and Brothers:



 Printable Version

A coalition of four AFL-CIO Unions (ALPA, AFA-CWA, PAFCA, IFPTE) and another organization (AMFA) have formed a coalition to protest United Airlines’ management compensation and bonus programs. The IAM, ALPA, AFA-CWA, PAFCA and IFPTE are already in a union coalition called the AFL-CIO. Some unions, however, have chosen to form a new coalition outside the AFL-CIO. The largest Union of UAL employees, the 20,000 IAM members of District Lodge 141, declined the invitation to join the new coalition. Participation by the IAM in this coalition would have required your Union to violate AFL-CIO union principles, doctrine and official policy, which we refused to do. The other AFL-CIO Unions in the coalition have chosen to violate AFL-CIO policy, and the AFL-CIO will address the violations.

I will discuss this matter in greater detail with the membership in the April issue of the District 141 Messenger (our monthly publication mailed to each member). The District 141 Executive Board (Assistant General Chairpersons and other Officers of the Board) were advised a number of weeks ago that we would not be participating in the coalition and to brief our Local Committees of this fact.

Let me make it very clear – we agree that UAL management's compensation and bonus programs are excessive and offensive for a company that has just exited from bankruptcy and forcefully used the provisions of the bankruptcy court to extract billions of dollars from their employees. It offends our members, union representatives and leadership at all levels of our Union.

This compensation complaint, however, and other issues raised by the coalition is somewhat late in being raised today. But I guess for some, it’s better late than never.

The fact is your Union, the Machinists Union, took on this fight during the bankruptcy court process when management compensation was being decided as part of United’s restructuring proposal to the court. The IAM was the primary union to argue against UAL’s proposed management compensation package. The grotesque size of the management incentive plan was the IAM’s principal objection to United’s plan of reorganization. Other unions’ arguments against management compensation were secondary and paled in comparison to the IAM’s efforts. The IAM unquestionably led the fight in bankruptcy court on this issue.

As bad as the current management compensation plan granted by the court is (and, in our view, it is reprehensible), the IAM's arguments helped reduce the original UAL management compensation proposal by forty-five percent (45%) from the initially proposed plan. The IAM was still not satisfied with the reduction and continued to argue for further reductions, but the bankruptcy court approved the compensation plan with the 45% reduction.

The IAM was the only Union to take up this fight a year and a half ago. Had it not been for the efforts of the Machinists Union the compensation package would not have been reduced by 45%. This reduction led to an additional 8,750,000 shares of stock to be distributed to employees and unsecured creditors. Details of the IAM’s fight and successful results are available on the District 141 website, www.iam141.org/ual.htm.

Although other unions are complaining now, a year and a half too late, the Machinists Union took the lead in fighting UAL in court. Press releases and public statements get attention, but only the Machinists backed up our outrage with strong action when it counted and produced results.


The IAM was also the only UAL Union to negotiate a defined benefit pension plan (the IAM NPP), which is still an issue for some unions in the coalition. Not even management employees have a pension plan. Again, while others whined and made idle threats, only the Machinists Union produced the results for our members.

We are working in the real world for our members and will not lead you down a path paved with promises that comes to a dead end. The IAM is preparing now for the next round of negotiations and will address our members needs within the full and legal rights afforded us under the Railway Labor Act - including self-help as a last resort if that need be the case.

Another issue raised by the coalition and already addressed by the IAM in your contract is the opportunity to open negotiations substantially earlier than the minimum mandated under federal law. This is already in your contract. However, the labor agreements as approved by the bankruptcy court are a part of UAL’s restructuring plan and the money loaned to UAL are based in part on these labor agreements and their duration.

The IAM has already been meeting with UAL’s corporate officers, station managers, directors and labor relations staff on a regular basis for months concerning other issues and operational concerns raised by the coalition, such as quality of life, jobs, etc. These meetings have already been scheduled to continue through the remainder of the year.

We will continue to explore with the Company other success sharing ideas and concepts. This is in addition to the success sharing and profit sharing already negotiated in our contracts for IAM members employed by United.

Unlike some ad hoc coalitions, we in the IAM have the ability, experience and resources to continue representing IAM members without conceding real union principles and ideals by which we have taken an oath to uphold and perpetuate for the good of working union families.

We will, in the true spirit of solidarity, continue to communicate with the AFL-CIO-affiliated unions representing other United employees as envisioned by the AFL-CIO, of which we are a proud, loyal member and longtime affiliate.

In Solidarity, I remain,

Fraternally,

S. R. (Randy) Canale
President & Directing
General Chairman

20 Dec 2006  US Airways Transition Talks Update

15 Dec 2006  US Airways Mechanic Transition Survey Results
Chart  Legend for Chart

29 Nov 2006  US Airways "Change of Control" Update

14 Nov 2006  US Airways Mechanic and Related Interim Agreement Reached            Interim Agreement Language

3 Nov 2006   US Airways Mechanic Transition Update   Click for Company's Proposal

19 Oct 2006  US Airways Transition Survey Open

9 Oct 2006  US Airways Maintenance Instructors Transition Team Formed

6 Oct 2006  US Airways Transition Team Report

3 Oct 2006  US Airways Sick Leave Grievance Settlement  Letter of Understanding  Actual Settlement

24 Sept 2006  NMB Issues Ruling on US Airways Stores  Read Ruling Here

18 Sept 2006  West Transition Talks Scheduled

14 Sept 2006  US Airways Seniority Integration Team Announced

13 Sept 2006  US Airways Instructor General Chair Assignment

13 Sept 2006  US Airways Transition Team Announced

 

IAM Files to Represent All Stock Clerks at US Airways

As the certified representative of the Stock Clerks at US Airways, the IAM has filed an application with the National Mediation Board (NMB) to represent all Stock Clerks at the carrier following its merger with America West Airlines. Stock Clerks from the former America West are currently represented by the International Brotherhood of Teamsters.

Separately, the IAM is awaiting an NMB decision on whether an election will take place for the combined carrier’s Mechanic & Related employees. Former America West Mechanics are also currently represented by the Teamsters, and US Airways Mechanic & Related employees are represented by the IAM.

The NMB ruled on June 28, 2006 that Stock Clerks are ineligible to vote in a Mechanical & Related election. The IAM immediately asked the NMB to determine if the Teamsters have submitted enough valid authorization cards to warrant a separate Stock Clerk election, but the Teamsters objected, prompting the new application.

“It is our position that the NMB should have automatically certified the Machinists as the representative of the combined Stock Clerks so we could have quickly entered into negotiations to provide them with the benefits of the IAM National Pension Plan,” said Transportation GVP Robert Roach, Jr. “The Teamsters, having already interfered and delayed the process for Mechanic & Related employees, are now stalling progress for Stock Clerks.”

The IAM is the certified representative for the combined Fleet Service group and their negotiations with US Airways have already begun.

US Airways MergerPage

District 141 Merger Page
US Airways Representation Election Information

1 Sept 2006  US Airways Stock Clerk Update

1 Sept 2006  Update for US Airways Mechanic & Related

11 Aug 2006  NMB Certifies IAM as Mechanic & Related Representative

11 Aug 2006  Read NMB Ruling

4 Aug 2006  IAM Files to Represent US Airways Stock Clerks

21 Jul 2006  US Airways Merger Update

14 Jul 2006  District 142 Officer's Election Results

30 Jun 2006  Scholarship Winners Announced for 2006

29 Jun 2006  NMB Investigator Issues Initial US Airways Ruling

22 Jun 2006  US Airways Merger Update

26 May 2006  US Airways Merger Update

12 May 2006  IAM Welcomes West Maintenance Instructors

12 May 2006  US Airways Merger Update

11 May 2006  NMB Determination - Case # R-7077

11 May 2006  IAM, TWU Reach US Airways Representation Accord

9 May 2006  IAM, TWU Reach US Airways Representation Accord

26 Apr 2006  US Airways Merger Update

21 Apr 2006  US Airways Merger Update

6 Apr 2006  US Airways Merger Update

24 Mar 2006   America West Transition Survey

24 Mar 2006  US Airways Merger Update

22 Mar 2006  Special Update

20 Mar 2006  US Airways Merger Update

3 Mar 2006  US Airways Merger Update

28 Feb 2006  It's all about jobs...

27 Feb 2006  NMB Rules Against US Airways

24 Feb 2006  US Airways Election Update

17 Feb 2006  US Airways Representation Election Update Mech & Related

16 Feb 2006 US Airways Representation Election Update Mech & Related

16 Feb 2006  US Airways Representation Election Update  Fleet

14 Feb 2006  Teamsters, TWU Threaten US Airways Workers

13 Feb 2006  US Airways Update - TWU Files for Election

District 142 Scholarship Information

District 142 Scholarship Application

IBT Files for NMB Election on US Airways

Letter to Members on Alleged Philadelphia Incident

US Airways Update 2 Feb 2006

US Airways Single Carrier Ruling Issued

IAM Requests NMB to Act on US Airways Single Carrier Ruling

America West Fleet Service Letter Re IAM Pension Plan


November 15, 2005 
Let’s Bring Our Jobs And Our Work Back Home-US Airways

November 15, 2005IAM Sets the Record Straight about the IBT AWA Scope Language

November 15, 2005
US Airways Pension Update

US Airways Update

US Airways Emerges From Bankruptcy, IAM Files for NMB Ruling

US Airways Health Plan Dependent Audit

US Airways Merger Aim: Fair Workplace Integration

US Airways - America West Merger Update

The Merger - Straight Facts About your Future pdf

US Airways - America West Merger Information

US Airways Fleet Service Pensions in Jeopardy

US Airways Merger Information

US Airways Q&A

US Airways Merger Information



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February 1, 2006

United Airlines Update - Finally!

To: All IAM Members Employed by United Airlines

Dear Sisters and Brothers,

After more than three years and tens of billions of dollars of sacrifice from employees, shareholders and creditors, United Airlines today finally emerged from bankruptcy.

The empty suits at World Headquarters are letting go of their bags of money only long enough to pat themselves on the back for a job well done. United has not survived because of its leadership, but in spite of it. The true heroes of this record-setting bankruptcy are IAM members and other front-line employees who work every day at reduced rates while delivering a first-rate product.

United’s bankruptcy was a war full of battles for the survival of our company, our contracts and our dignity. I am proud of the solidarity displayed by the IAM membership. It is that strength that enabled the IAM to negotiate the only defined benefit pension plan for any worker at this airline.

The company still faces many challenges, such as dealing with high fuel prices and low fare competition. I urge United to utilize the advantages its employees have provided and not squander our investment in the airline’s future.

Another major obstacle the carrier must overcome is recruiting and retaining qualified employees. United is operating short-staffed at many locations, and its reputation as an employer who breaks promises, eliminates benefits, forces confrontations and destroys pensions does not help recruitment.

The company has an opportunity to use its emergence from bankruptcy as a new beginning. We will soon find out if this is truly a new United Airlines. One thing you can count on is the Machinist Union’s vigilance in enforcing our contracts, defending our members and always acting in the best interest of the IAM membership.

Sincerely and fraternally,

S.R. (Randy) Canale
President and Directing General Chairman
IAM District 141




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February 1, 2006
NWA Settlement Proposal Q & A

February 1, 2006
Settlement Proposal/Strike Vote and Informational Meetings Schedule posted
Voting schedule by date
Voting schedule by location

February 1, 2006
Proposed NWA Medical and Dental Contributions Assuming Maximum Cap click here.

February 1, 2006
NWA Pension Information
Click here to view the Northwest Airlines Pension Plan for Contract Employees booklet (36 pages). It answers many questions our members have regarding their pension. Please read this booklet before contacting your union representative with any questions.
 

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January 30, 2006

Dear Sisters and Brothers,

As expected, the National Mediation Board (NMB) today issued its ruling that US Airways and America West Airlines are now officially operating as a single air carrier.

This ruling paves the way for the Machinists Union to work closely with the elected representatives for the former America West employees to reach a transition agreement with US Airways that extends the benefits of the IAM agreement and IAM National Pension Plan to new US Airways employees.

However, the Transport Workers Union (TWU) has 14 days to petition the NMB and show sufficient interest in a representation election. If the NMB orders an election, the process of securing a transition agreement will be delayed pending the results of the vote.

But even worse is the fact that if an election actually takes place, the loss of all union protection is the most likely outcome.

If 50% plus one of the eligible employees of the combined group do not participate in an election, there will be NO union and NO Fleet Service contract. Eligible employees include all active and furloughed Fleet Service employees of both airlines. Recently, the Stores Clerks on Allegheny and Piedmont were decertified the same way.

The membership will be advised as soon as more information becomes available.

Sincerely,

S.R. (Randy) Canale
President and Directing General Chairperson
IAM District 141

 

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January 20, 2006

Bankruptcy Court Approves UAL Plan

Print

The IAM was back in court this week to argue against United Airlines excessive and destructive compensation plan for top executives.

As expected, the judge approved United’s plan of reorganization and the executive compensation package it contains. Approval of the plan was the last major hurdle United faced before emerging from bankruptcy, which is expected early next month.

The amount of stock originally allocated to executives was 18,750,000 shares, or 15 percent of the restructured company. After objections were raised by the Machinists, other unions and the Committee of Unsecured Creditors, United agreed to reduce the amount by nearly 45 percent to 10,000,000 shares, or 8 percent of the restructured company.

The change is significant. Rather than going to United’s managers and directors, 8,750,000 shares will now go to employees and unsecured creditors. CEO Glenn Tilton, however, will receive his original and unreduced amount from the 8 percent designated for United’s managers and directors.

The Machinists Union still believes that ALL United Airlines employees should participate in the same success sharing plan. Shared sacrifice should result in shared reward.

Sincerely,

S.R. (Randy) Canale
President and Directing
General Chairman
IAM District 141


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January 13, 2006  2359CST
Machinists to Vote Northwest’s Proposal

Dear Sisters and Brothers,

District 143 and Northwest Airlines have been working late into the night all week to resolve our contract negotiations, and this evening we reached an understanding with the Company whereby we will present Northwest’s contract settlement proposal to the membership for your consideration.

Your Negotiating Committee was able to convince Northwest to move off of some of their initial proposals, and many of your Committee’s ideas are contained in the Company’s settlement proposal.

The understanding between the IAM and Northwest to vote the Company’s proposal is subject to finalization of some details and a review of the proposal’s language.

Complete details of Northwest’s proposal and a voting schedule will be available in the next few days. IAM members will have ample time to review the terms and have questions answered before casting their votes.

The Section 1113(c) trial to reject labor contracts for IAM members, Flight Attendants and Pilots will begin January 17, 2006. The IAM and Northwest will ask the judge to postpone the IAM’s portion of the trial until the ratification results are known.

Your entire Negotiating Committee thanks you for your continued support and solidarity.

In solidarity,

Your NWA Negotiating Committee

Robert B. De Pace, P/DGC
Gerald Bernson, Senior General Chair
Kevin Graf, General Chair
Steve Kelton, General Chair
J. Scott Peterson, General Chair
Sandy Weber, General Chair
Darin Wiger, PP/LL 1833
Jon Edman, SIMOP/LL 1833
David Carr, ESSC/LL 2763
Michael Gasper, ESSC/LL 1833
Joseph Pascarella, ESSC/LL 2319
Patricia Bligh, COFPS/LL 2319
Victoria Cheek, COFPS/LL 846
Pamela Schroeder, COFPS/LL 1833
Richard Suarez, COFPS/LL 1932
Dawn Harteau, COFPS/LL 1833
 


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December 23, 2006
On Friday December 16 General Vice President Robert Roach, Jr. called a meeting in Washington, D.C. with District 143 and Northwest officials so we could receive an explanation of Northwest’s Ground Co. concept.
 
Grand Lodge Representative (GLR) Marv Sandrin, IAM attorney David Neigus, District 143 labor counsel Joseph Guerrieri, District 143 financial analyst Tom Roth and myself were present.
 
GVP Roach made it perfectly clear to Northwest that their proposal to create a new entity to perform our work is not acceptable.  NWA’s position on Ground Co. has not changed from the original term sheet posted on the District 143 website. The airline claims that they must have Ground Co. in all stations except MSP and DTW.
 
On Monday December 19, GLR Marv Sandrin and I flew back to D.C. to meet with our attorneys and review our legal options. Since Northwest has provided very little information about Ground Co., we scoured other collective bargaining agreements in the transportation industry and other industries to try to understand how Northwest would implement their concept.
 
Northwest is proposing three different pay scales, but that is totally unacceptable to your negotiating committee and the membership. Your committee will not accept two thirds of our members working for a company that doesn’t even exist, nor can we endorse eliminating smaller stations without appropriate employee compensation or the option to bid another station. Northwest can’t guarantee Ground Co. will succeed, and the IAM can’t accept our members being used as guinea pigs for an untried concept. Northwest’s proposal is seriously flawed. 
 
As we have said in the past, the outcome of the bankruptcy process will not be pleasant for employees. It is the IAM’s goal to limit our members’ sacrifice to what is fair, equitable and absolutely necessary. Our jobs and our contract are on the line, and what we do will determine whether or not Northwest Airlines continues operating.
 
With the January 17, 2006 Section 1113(c) trial date fast approaching, your negotiating committee has decided to try and jump start negotiations by providing the Company alternative ideas to achieve the cost savings necessary for Northwest to survive.  
 
We expect a response from the Company next week, and full negotiations are scheduled to resume in Washington, D.C. on January 3, 2006. The IAM’s ideas should generate serious discussion and, hopefully, provide the momentum to reach an agreement that can be presented to the membership for ratification.
 
Your negotiators believe that any agreement must be framed in such a way that it addresses the needs of NWA while maintaining a livable wage and protecting as many jobs as possible. IAM members can only sacrifice so much before working for NWA costs more than the job is worth. If that happens, it will be time to shut the doors.
 
The Machinists Union is being proactive because it has become abundantly clear that Northwest is unable to respond to our questions and if this company is going to succeed, it needs a viable game plan.
 
The IAM is striving to reach an agreement, but if Northwest makes a voluntary agreement impossible, District 143 will present the Company’s final offer to the membership for consideration. Our jobs, our contract and our airline are on the line, and with the stakes that high we must all be prepared to make a difficult decision.
 
As your negotiators continue meeting with Northwest, our attorneys are preparing to fight for our cause in court, if necessary. Northwest must understand that there can be no positive outcome for anyone involved if a judge abrogates our contracts. A terminated contract allows IAM members to strike the airline. With 15,000 members striking a bankrupt airline that is trying desperately to continue operating, the results would be disastrous.
 
That is why the only solution to Northwest’s problems can come at the bargaining table, not the courtroom. If Northwest isn’t serious about reaching an agreement, this airline is doomed.
 
I thank GVP Roach and his staff for the support they are giving District 143 throughout this ordeal. Your District 143 negotiators have hung tough and are making the difficult decisions that no negotiator should ever have to make, and we all thank you, the membership. Without your support, we would not be able to wage this struggle.



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December 19, 2005 

Dear Sisters and Brothers, 

As the holidays approach, I want to wish each of you and your families a safe and happy holiday season and thank you for your continued support. The last couple of years have been very difficult for those employed in the airline industry and particularly for our members at US Airways and their families. However, we fully believe that there is hope on the horizon and we can see some opportunities for positive change. 

The merger of US Airways and America West provides some challenges as well as opportunities for our members. Since the announcement of the merger your Union has met with US Airways in an effort to negotiate a Transition Agreement for the Mechanic and Related employees. These efforts have been stalled due to the Single Carrier question and the objections filed by the IBT. Our goals remained unchanged. We want a full, fair and equitable integration of seniority for all employees on US Airways and America West. We want US Airways mechanic and related employees to be allowed to utilize their seniority throughout the combined US Airways / America West system. We want our furloughed US Airways mechanic and related employees to be recalled when vacancies occur at either US Airways or America West and we want to address several important issues, including pay and pension benefits. These goals can be achieved through a Transition Agreement. 

In support of these goals and in addition to negotiating with the Company, the IAM filed a petition with the National Mediation Board to have the Board legally declare that US Airways and America West are, in fact, being operated as one single transportation system. Without this ruling US Airways can continue to take advantage of the weak scope clause in the current IBT / America West Agreement by continuing to operate the two companies’ separately. 

The reality is that the current US Airways Agreement has strong scope language that protects our work versus the IBT / America West Agreement with a weak scope clause that allows widespread outsourcing of mechanics’ work. This must be stopped. This is one of the reasons we have pressed the NMB for a decision legally declaring what everyone knows: US Airways and America West are being operated as a single transportation system. While we anticipate a decision by the NMB in early 2006, the objection filed by the IBT claiming the companies are not operationally merged has delayed the process. 

The IBT’s delaying tactics stand in the way of expanding job opportunities for the US Airways mechanic and related employees. As a practical matter, a finding that US Airways is the surviving carrier would enable the IAM to require US Airways to bring the outsourced America West maintenance work back in-house and to recall hundreds of laid off mechanic and related employees as a result. 

Rather than seeking to protect all employees on the newly merged system, the IBT in previous bulletins proposed to favor America West mechanics. The IBT’s proposal would allow America West mechanics to bump into any IAM represented stations. On the other hand, America West staffed stations will be “fenced” so that access to those jobs held by junior IBT – represented America West employees will be denied to US Airways mechanic and related employees. The IBT calls that fair and equitable, but under the IBT proposal, US Airways mechanic and related employees who are bumped or have their positions reduced could not exercise their seniority to displace an American West employee with less seniority. This is neither fair nor equitable. The IAM, by contrast, will apply in the same manner as it has in the past its merger policy, which has been repeatedly found to be fair and equitable, where date of entry into the classification controls without any restrictions. 

The current America West scope clause permits unlimited outsourcing while protecting certain America West employees. In other words, the America West Agreement protects some people, but does not protect or maintain the work. The IBT gave America West great latitude to outsource mechanics work. If the America West scope clause were to be applied to the current US Airways agreement, an unlimited amount of maintenance work could be outsourced along with any protection for the US Airways employees. Only a strong scope clause can insure job security. 

The IBT has made a series of promises this season that it cannot deliver. For instance, the IBT says if you sign a card and vote for the IBT, they will reopen the current US Airways agreement.  Neither Section 6 of the Railway Labor Act nor bankruptcy law will permit them to do that, and they know it.  

The Teamsters won’t admit it, but their current America West agreement was used against our members to bring their wages down to an unacceptable level. You only have to look at US Airways bankruptcy court filings to see that the Company used the America West / IBT agreement in support of their argument that US Airways rules, wages and benefits were “too high”, and they needed to get down to the America West level in order to survive. 

The IBT has also taken the irresponsible and inconsistent position that signing a card is a no-lose proposition. That isn’t what they said at Continental when they were recently raided by AMFA. Here is what they put in their flyer, and I quote, “DON’T SIGN Signing a card could leave you without Union representation under the Railway Labor Act if an election were to take place and fewer than 50% plus one Continental mechanic and related employee voted you could end up without any Union representation. Without a Union, you could be at the mercy of Continental Management. That would mean: no bargaining rights, no seniority, no grievance procedure and no representation”  

“These are the IBT’s words not ours and they apply with equal force at US Airways” 

Even during these difficult times, the IAM has a viable and proven plan to improve the pension issue for the Mechanic and Related employees of US Airways. How? Through the outstanding IAM National Pension Plan. The IAM National Pension Plan is a strong, multi-employer plan that has grown to $7 billion dollars in assets and is celebrating its 45th anniversary. The plan pays out more than $300 million dollars in retirement benefits annually and, unlike the Teamsters plans is fully funded. (Learn more about the IAM National Pension Plan at www.iamnpf.org). We fully believe we can substantially improve our member’s pension benefits at a relatively modest cost to US Airways. This plan is already in place on US Airways property with the Maintenance Instructors and the Fleet Service employees. 

Let’s stand together through these difficult times. 

I wish you and your families a happy and safe holiday season.


In Solidarity,

 

William O'Driscoll
PRESIDENT-DIRECTING
GENERAL CHAIRPERSON



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December 12, 2005

US Airways-America West Integration Update 

Teamsters-CWA Reach Transition Agreement with US Airways 

Dear Sisters and Brothers, 

The Communications Workers of America (CWA) and International Brotherhood of Teamsters have reached a transition agreement with US Airways for the Customer Service Employees they propose to jointly represent.

In the transition agreement, the Teamsters and CWA acknowledge the fact the full Section 6 contract negotiations will not occur as a result of the merger.  The Agreement resolves pay differences between the two contracts and transitions America West workers into the existing US Airways-CWA agreement.

The agreement also addresses how seniority integration will be handled. One aspect that should concern workers at both airlines is the provision stating that there will be no stapling of all the employees of one airline to the bottom of the seniority list of the other airline. By expressly stating that the stapling of all employees is prohibited, the stapling of an unspecified number of employees is not only permitted, but is apparently being contemplated by the parties.

Unlike the Teamster’s ever-changing integration policy, the IAM’s position remains clear and consistent – integration should be based on an employee’s date of hire into the classification. This method is fair and unambiguous, which may be why the Teamsters refuse to agree to it.

The Teamsters and CWA are asking the National Mediation Board to rule on their joint representation of Customer Service workers at the same time at least one of the parties, the Teamsters, are objecting to the IAM’s request to rule on representation for the combined airline’s Mechanic & Related workers.

The IAM is also negotiating a transition agreement with US Airways, but the objection from the Teamsters is holding up the process.

It is the Machinists Union’s opinion that since America West workers will be covered by the terms of a transition agreement they should be active participants in the process. The Teamsters’ delay tactics are preventing current America West representatives from attending and participating in the IAM’s negotiations, but the IAM cannot reach a transition agreement without the participation of America West Mechanic & Related representatives. Their experience and knowledge of the America West agreement is valuable to the employees at both carriers.

The Teamsters’ interference is preventing the final resolution of any pay disparities between the work groups and participation in the IAM National Pension Plan (NPP) by the Mechanic & Related workers at the combined carrier.

As the IAM has previously stated, we are proposing that US Airways contribute into the NPP on behalf of Mechanic & Related employees of the combined airline. However, under NPP rules, a company must contribute a negotiated rate for at least 1,600 hours annually on behalf of a participant in order for the participant to receive a full year’s credit. Less than 1,600 hours will earn only a partial benefit.

If US Airways does not begin contributing to the NPP by March of 2006, the combined group of Mechanic & Related employees must wait until 2007 to receive their first full year’s credit. Unfortunately, the Teamsters have stalled negotiations in an attempt to squeeze a few months more dues from America West Mechanics.

Any talk of the Teamsters negotiating their own pension plan is a joke. No airline will agree to participate in any Teamster multi-employer plan because their gross underfunding creates an enormous liability for contributing employers.

The IAM’s strong scope language will also force maintenance the Teamsters allow America West to export to
El Salvador to be done by US Airways employees, creating job opportunities for furloughed Mechanic and Utility workers.

The only party that benefits from delaying the process is US Airways.

The Machinists Union is ready to work with America West Mechanic representatives to conclude transition negotiations so the combined Mechanic & Related workforce can benefit from the resolution of wage disparities, participate in a defined benefit pension plan and begin the recall of hundreds of US Airways workers.

All we need is for the Teamsters to stop delaying the process.

                                                          In Solidarity,

                                                              

William O'Driscoll
    PRESIDENT-DIRECTING
       GENERAL CHAIRPERSON



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December 12, 2005

IAM Objects to UAL Plan of Reorganization

To All IAM Members Employed by United Airlines


Print pdf 78KB

Dear Sisters and Brothers,

The Machinists Union today filed an objection in bankruptcy court to UAL Corporation’s Joint Plan of Reorganization. The complete IAM objection is available at www.iam141.org, and all members are encouraged to read it to understand the greed-fest United executives are planning.

Full Text of AM Objection pdf 685KB

The IAM objects to confirmation of the Plan because it includes two vague, yet lavish incentive plans to reward United’s management and board of directors for their bankruptcy achievements.  Any such reward is more properly shared by all the company’s stakeholders, all of whom (except top management) made huge sacrifices as part of this restructuring.

This management team and board of directors should not be rewarded for the sacrifices made by employees. While United’s management and board were busy gutting the wages, pensions and benefits paid to IAM-represented employees, they were also devising a plan to enrich themselves with the savings.

The plans are offensive, in part, because they could potentially provide bonuses to CEO Glenn Tilton of more than $100 million.  According to Fortune Magazine, Mr. Tilton is the highest compensated airline CEO in 2005 (up from the third highest paid airline CEO in 2004).  It is grotesque that Mr. Tilton is poised to receive a huge bonus for his “achievements” in United’s bankruptcy.  Any “success” attributable to Mr. Tilton is a direct result of the substantial cost savings provided by IAM-represented employees and other constituencies.

United Airlines’ employees are still struggling to deal with the effects of corporate mismanagement. At the same time, the executives who have kept the airline firmly entrenched in bankruptcy for three years are looking to gorge themselves on your concessions. This is simply unacceptable, and the IAM strongly objects to these provisions of United Plan of Reorganization.

A hearing will be held on the IAM’s and other objections on January 18, 2006. We will advise you of any new developments.

Sincerely and fraternally,

S.R. (Randy) Canale
President and Directing General Chairman
IAM District 141



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December 12, 2005 

US Airways Integration Update

To All Members at US Airways

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As the integration of US Airways and America West moves forward, events are unfolding that should concern every Fleet Service Employee at US Airways.

In a limited number of stations, individuals have attempted to circulate authorization cards on behalf of the union representing 800 ramp workers at America West. The move has the potential to force an election that could potentially result in decertification and the loss of the IAM National Pension Plan at US Airways.

IAM members recognized this latest threat to their contract and their pensions and to their credit, displayed their displeasure with unmistakable directness.

Elsewhere on the integration front, US Airways recently agreed to recognize an alliance between the Communications Workers of America (CWA), representing Customer Service Agents at US Airways, and the International Brotherhood of Teamsters (IBT), representing Customer Service Agents at America West. The alliance calls for joint representation by CWA and IBT representatives at the combined carrier and addresses wages and work rules, but does not resolve seniority integration for workers represented by the alliance at the combined carrier.

While the transition agreement has been recognized by US Airways and appears to move the two groups closer to full integration, it remains unclear if the National Mediation Board (NMB) will approve the IBT-CWA alliance.

The integration of all employee groups at the combined carrier, including Fleet Service, is contingent on a NMB finding of single carrier status for the merged airline. While such a ruling is anticipated, the objection by the TWU to the IAM petition for a single carrier ruling could result in a lengthy hearing process and additional delay before negotiations over transition issues for Fleet workers at US Airways and America West can begin.

As always, your solidarity continues to serve as an inspiration for all past, present and future IAM members at US Airways. Please continue to monitor IAM bulletin boards at work and the District 141 website at www.iam141.org for the latest information regarding integration developments.

In Solidarity,

S.R. (Randy) Canale
President and Directing General Chairman



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October 7, 2005

To the membership:

As relayed on the September 20, 2005 update, the appeal of the unemployment case this lodge was handling was in favor of the claimant, the member.  This ruling reverses the decision of the Appeals Referee which ruled the member disqualified from receiving unemployment insurance benefits.  Based on the oral arguments on points of law which were presented in front of the full commission at a hearing conducted on August 29, 2005 in Raleigh, North Carolina, the conclusions of law, as written in its entirety, on Commission Decision No. 05(OA) 3340 are as follows:

“In the present case, the competent and credible evidence contained in the hearing record supports the facts as found by the Commission.  The Commission concludes from the competent and credible evidence and the facts found there from that the claimant left work with good cause attributable to the employer.  The Appeals Referee erred when he failed to distinguish between the decision to quit and how the decision was implemented.  That is, the claimant’s decision to quit his employment was made because of the adverse changes in his employment terms.  The employer provided a method (the “Voluntary Separation Program”) by which the claimant could communicate and implement his decision to quit.  The permanent and unilateral reduction in the claimant’s hourly wage, standing alone, met the definition of good cause attributable to the employer for leaving work as defined in G.S. §96-14(1c). In addition, all of the adverse actions, considered as a whole, met the general definition of good cause attributable to the employer for leaving work. The Appeals Referee again erred in only applying the statutory provision related to the permanent and unilateral reduction in the claimant’s hourly wage”. 

“Based on the foregoing, Appeals Decision No. O–L–10115 must be reversed.  Furthermore, the claimant must be held not disqualified from receiving unemployment insurance benefits”.

           This decision will become final 30 days after mailing unless Judicial Review is perfected (Appealed). Any members which accepted the company’s separation package who were disqualified from receiving unemployment insurance benefits, or are receiving benefits which U.S. Airways is appealing, can reference this Commission Decision No. at their appeals hearing. If your claim is denied, you have ten days from the date your notice was mailed to you to appeal that decision. Hopefully the employment security commission will implement this ruling for any claims from U S Airways IAM Mechanic and Related members who chose to separate from the company because of the unilateral 16 to 19 percent pay reduction.  

If there are any questions on this issue that I may be of assistance with, please don’t hesitate to contact me at the local lodge, or by e-mail.

  

Fraternally,
Bill Wise
President@machinists1725.org
 (704)357-0027



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