Well, as we know, 44 +1 out of 145 does not show sufficient interest in
being represented, and the
instructors rejoin us as non contract personnel. Also, the TWU
rejoins the Association of Flight Attendants (AFA) in the category of
being a union representing no Delta employees.
the official tally from the National Mediation Board
Statement Regarding Pilot Ground Training Instructor Representation
ATLANTA, Aug. 9, 2002 – Delta Air Lines (NYSE: DAL) today
released the following statement in response to the results of the
representation election, in which Delta’s pilot ground training
instructors chose to return to non-union status:
"Delta’s management team has stated repeatedly the belief that it
is in the best interests of both the airline and Delta employees to
communicate directly and openly, without the intervention of a third
party. Therefore, Delta is pleased that the pilot ground training
instructors have chosen to return to non-union status."
Bankruptcy, Bankruptcy, Everywhere.
Remember, way back when the AFA organizing drive was well funded?
Remember when it could afford to pay masses of flight attendants from
other airlines to tell us that we needed the AFA? Do you also
remember their two main talking points: Delta flight
attendants "need the dignity and respect of a legally binding
contract," and "Delta flight attendants need a seat at the table."
Let us look at how AFA performance lives up to its slogans.
At US Airways, flight attendants were furloughed last year despite a
"no furlough" clause in their contract. Recently, US Airways
flight attendants took major benefit reductions in order to try to save
their company. At first, the US Airways Master Executive Council (MEC
) said no. When threatened with bankruptcy and a prospect of
court ordered reductions, it conceded.
At United Airlines (UAL), the AFA MEC is also saying no to wage and
benefit concessions. Read the following excerpt from a June 21, 2002
press release entitled "United Airlines Flight Attendants Refuse to
CHICAGO – Elected leaders from the Association of Flight
Attendants, AFL-CIO, representing United Airlines flight attendants
rejected a proposal from the carrier asking for wage and other pay
concessions totaling about $90 million over three years.
"Our Contract is closed, we are not paid on par with other
employees at our airline, and contract violations have not been
addressed," said AFA United Master Executive Council
President-elect Greg Davidowitch. "Flight attendants will not
discuss concessions with United under these circumstances."
United's management has given the AFA a term sheet that asks the union
for $100 Million in concessions. While the specifics are negotiable,
UAL wants a total of $100 Million. On the table for
discussion, management proposed a 5.1% cut in pay, canceling future lump
sum and wage increases under the current contract, cutting per diem to
$1.50 per hour, and increasing the costs to the employees for medical
coverage. The list goes on.
Despite the rhetoric coming from the AFA, UAL's management is serious
and has threatened to take UAL into bankruptcy if it
does not receive wage concessions from its employee groups. In
bankruptcy, the court could impose a contract and wage
the AFA question and answers on bankruptcy.
As you watch the AFA melodrama at UAL, remember their two campaign slogans. We predict that the AFA will have to take
concessions, and the very same volunteers will find that their much touted
contractual protections will be illusory.
United Airlines wants to cut labor costs 20% Workers:
It sounds like a restructuring
By Marilyn Adams
United Airlines has told its unions this week that it needs to cut annual
labor costs by about 20% for six years to qualify for federal loan
guarantees and avoid bankruptcy court, say people familiar with the talks.
The target, $1.5 billion a year, would be combined with $500 million in
savings in other areas. Some of the labor savings might be achieved
through work-rule changes instead of pay cuts.
The development prompted the head of United's Air Line Pilots
Association to question whether the Bush administration is using the Sept.
11-related loan program to permanently cut labor costs at United. Big cuts
in labor costs at United, the world's second-largest airline, likely would
ripple through the industry.
Pilot Paul Whiteford said Wednesday that he questions whether the Air
Transportation Stabilization Board -- established to aid the airline
industry -- is actually seeking a restructuring under the guise of a
The pilots union has been the only employee group willing to give
temporary contract concessions to help United recover from heavy losses.
That union's board had agreed to give up $520 million a year for three
years. Non-union employees were to give up $430 million over three years.
''If the plan now is a restructuring, that's a totally different plan .
. . to reach some other goal,'' Whiteford said.
Whiteford, who serves on the board of United's parent, UAL, declined to
discuss specific numbers. A UAL spokesman declined comment. The company is
on track to spend just under $7 billion in labor expenses this year.
UAL's demand puts the pilots and mechanics unions in a nearly
impossible position. Because UAL is more than 50% employee owned, both
unions have seats on the board. If UAL seeks Chapter 11 protection,
employees' equity would be wiped out, and United could ask the bankruptcy
court to void labor contacts.
UAL Chief Jack Creighton warned two weeks ago it would seek Chapter 11
protection if it can't win deep cost cuts from unions because it's unable
to raise cash through normal channels to pay off $875 million in debt this
fall. United has asked the government to guarantee $1.8 billion of a $2
At Wednesday's board meeting, UAL's directors heard from federal loan
board executive director Dan Montgomery about the program. Montgomery
didn't return a call Wednesday.
Union leaders said United's new numbers made them more pessimistic that
a cost-cut agreement will be reached before the carrier's deadline in
''Two weeks is not realistic,'' said Jeff Zack, a flight attendants
For more on the AFA and UAL, visit the AFA
UAL MEC website and read the "Dear
AFA" message. Also, you can read a copy of the concessions
that UAL management is seeking
We recently heard a rumor that AFA lead Organizer Nancy Lenk was
leaving. We do not know if she is leaving the Delta campaign,
leaving Atlanta, leaving her employment with the AFA, or leaving for an
all-expense-paid cruise to Cancun. Whatever the case, we would like
to wish her well on her journey. Although we disagree with
most everything she wrote, we recognize that she was hired to do a job.
She took a sputtering
AFA campaign and forced a vote. In the end, she got things
If the AFA Board of Directors had any sense, it would find a way to make her the
new AFA International President.
Bon Voyage, Nancy.
Still no word from the National Mediation Board (NMB) on the Delta case.
Two appointments were recently confirmed. With the NMB at full strength,
it may be coming soon.
August 2, 2002
FOR IMMEDIATE RELEASE
NATIONAL MEDIATION BOARD
Contact: NMB Public Information Line -- (202) 692-5050
Re: New Board Members Fitzmaurice and Hoglander Confirmed
The National Mediation Board has two new Board Members: Edward J.
Fitzmaurice and Harry R. Hoglander were confirmed last night by the United
Mr. Fitzmaurice comes to the Board from private law practice in Dallas,
Texas. His experience as a labor lawyer includes twelve years Of Counsel
to Hicks and Associates, and working as an Associate with Kern, Wooley and
Maloney representing underwriters at Lloyd's. While also practicing law,
Fitzmaurice was a Domestic Captain, Co-Pilot, and Flight Engineer for
Braniff International Airlines for seventeen years. He is a former Captain
of U. S. Marines, a graduate of Villanova University and attended Southern
Methodist School of Law.
Mr. Hoglander comes to the Board from his position as a legislative
specialist in the office of Congressman John Tierney. His work in the
airline industry includes six years as a labor representative to the
United States Aviation Bi-Lateral Delegation. He has served as Master
Chairman of the TWA Master Executive Council, Executive Vice President of
the Air Line Pilots Association, and as a Captain for Trans World
Airlines. Mr. Hoglander was a Captain in the United States Air Force, and
is a retired Lt. Colonel in the Massachusetts Air National Guard. He is a
graduate of Florida State University and the Suffolk University School of
Mr. Fitzmaurice was sworn in today, August 2, 2002. Mr. Hoglander will
be sworn in on Tuesday, August 6, 2002.
Do you think that unions should be held to the same financial reporting
standards as corporations? Do you think that every union member should
have right to decide if they want to continue to belong to a union?
This was e-mailed to us this month. We thought that you might be
Re: Labor Department Annual Report revision proposals for
corporations and unions
The Labor Department revision of LM-2’s, LM-3’s and LM-4’s legally
requiring unions to quantify how much of workers’ dues are funneled
into nonbargaining activities would help curtail union political abuses.
This reform will empower private-sector unionized workers to penalize
political, lavish, and wasteful union spending as soon as they see
it by resigning from the union and withholding their dues.
Unions Shielded from Certifying Accuracy of Financial Reports
In a July 10 roll-call vote, the U.S. Senate showed that its interest
in preventing future business accounting scandals does not extend to
labor union fraud. The Union Accountability Amendment of the
Public Company Accounting Reform and Investor Protection Act of 2002
(S.2673) was defeated by the 55 senators listed below. The
amendment was a minimal standard for union financial reports meant to
hold accountable union officers who deliberately file false financial
The amendment, offered by Sen. Mitch McConnell (R-Ky.), would have
required that union financial-disclosure forms submitted to the Labor
Department be independently audited, using procedures already
applicable to public corporations. Another provision in the
amendment would merely have required union presidents and
secretary-treasurers to certify the accuracy of the financial reports
as must now be done for public corporations. As was pointed
out in the Senate floor debate, the Labor Department reports that,
just in the past four years, there have been roughly 600 indictments
and 525 convictions for union fraud.
The following senators voted to kill the amendment that
would have required union presidents and secretary-treasurers to
certify the accuracy of their financial reports.
Daniel Akaka (D-Hawaii)
Max Baucus (D-Mont.)
Evan Bayh (D-Ind.)
Joseph Biden (D-Del.)
Jeff Bingaman (D-N.M.)
Barbara Boxer (D-Calif.)
John Breaux (D-La.)
Robert Byrd (D-W.V.)
Maria Cantwell (D-Wash.)
Jean Carnahan (D-Mo.)
Thomas Carper (D-Del.)
Lincoln Chafee (R-R.I.)
Max Cleland (D-Ga.)
Hillary Clinton (D-N.Y.)
Kent Conrad (D-N.D.)
Jon Corzine (D-N.J.)
Tom Daschle (D-S.D.)
Mark Dayton (D-Minn.)
Chris Dodd (D-Conn.)
Byron Dorgan (D-N.D.)
Richard Durbin (D-Ill.)
John Edwards (D-N.C.)
Russell Feingold (D-Wis.)
Dianne Feinstein (D-Calif.)
Bob Graham (D-Fla.)
Tom Harkin (D-Iowa)
Ernest Hollings (D-S.C.)
Daniel Inouye (D-Hawaii)
James Jeffords (I-Vt.)
Tim Johnson (D-S.D.)
Edward Kennedy (D-Mass.)
John Kerry (D-Mass.)
Herb Kohl (D-Wis.)
Mary Landrieu (D-La.)
Patrick Leahy (D-Vt.)
Carl Levin (D-Mich.)
Joseph Lieberman (D-Conn.)
Blanche Lincoln (D-Ark.)
Barbara Mikulski (D-Md.)
Zell Miller (D-Ga.)
Frank Murkowski (R-Alaska)
Patty Murray (D-Wash.)
Bill Nelson (D-Fla.)
Ben Nelson (D-Neb.)
Jack Reed (D-R.I.)
Harry Reid (D-Nev.)
Jay Rockefeller (D-W.V.)
Paul Sarbanes (D-Md.)
Charles Schumer (D-N.Y.)
Gordon Smith (R-Ore.)
Arlen Specter (R-Pa.)
Debbie Stabenow (D-Mich.)
Robert Torricelli (D-N.J.)
Paul Wellstone (D-Minn.)
Ron Wyden (D-Ore.)