AA-TWU-USair MOU

[bigjets]

The TWU, AA, and USair came up with a MOU in case of a merger. The TWU let us know we will get a 4.3% raise. The TWU did NOT mention that we will have to give up our 5% profit sharing, that was on Jetnet under restructuring. One step forward, one kick to the plumbs. I wonder what other half info do we get from the TWU?

I think the pilots are getting all sorts of good stuff, they deserve it, as they prove what they are worth and has union that understands what they are worth.

 

[700UW]

All ready posted two days ago here:

http://www.airlineforums.com/topic/54951-twu-merger-agreement/

 

[FWAAA]

All the more reason to replace that worthless union before it's time to negotiate the combined agreement following the merger.

The TWU did a poor job pretending to represent you before the bankruptcy, during the bankruptcy and now during the early stages of the probably inevitable merger.

As I've pointed out recently, over at DL, 2012 earnings were far north of $2 billion and the employees will split $372 million in profit sharing in less than three weeks. Third year in a row that DL employees have received multiple thousands of dollars in profit sharing. According to Bob Owens, they make more in guaranteed pay than you do. Their profit sharing will be more than 6% of their W-2 income for last year, on average.

It's one thing to be screwed by the man, but in this case, "the man" is your own union. You pay those clowns two hours of pay per month for that privilege.

 

[robbedagain]

what bothers me is that us decides to do back door deals with the TWU yet we have UNRESOLVED CONTRACTS

 

[bigjets]

This is the kind of talk we need from the TWU, instead of half info like, "we got you 4.3% pay raise" but omitting that you have to give up your 5% profit sharing.





http://business-news.thestreet.com/dallas-morning-news/story/us-airways-union-assails-back-room-deal-with-amr-workers/11824724


"This 4.3% raise is not even a down payment on what IAM members at US Airways will get at the conclusion of our negotiations," Pantoja said. "IAM members can rest assured that their negotiators will not ask them to accept such a paltry pay increase."
TWU represents about 21,000 mechanics, fleet service workers and other related trades at American while IAM represents about 5,700 fleet service workers and 3,500 mechanics at US Airways. Contract negotiations are ongoing after a 2008 contract became amendable in January 2012.

 

[Vortilon]

Hey, don't forget that the TWU also gave up any "me too" claim by unilaterally accepting this paltry 4.3% wage increase. So, we got that working for us as well.

 

[Realityck]

The TWU, AA, and USair came up with a MOU in case of a merger. The TWU let us know we will get a 4.3% raise. The TWU did NOT mention that we will have to give up our 5% profit sharing, that was on Jetnet under restructuring. One step forward, one kick to the plumbs. I wonder what other half info do we get from the TWU?

I think the pilots are getting all sorts of good stuff, they deserve it, as they prove what they are worth and has union that understands what they are worth.

I’m not a mathematician but the so called 5% profit sharing plan the TWU gave up in exchange for the base pay increase would have been worth an approximate onetime $625 bonus payment if AA had made I billion dollars in 2013. AA hasn’t made a billion dollars too often and hasn’t made a profit since 2000. For AMTs the 4.3 percent is worth 1.20 an hour or over $2500 annually. The 4.3% is worth close to 10,000 dollars for the four years before we can open the contract. This doesn’t include the value of it being compounded into the scheduled percentage pay increases and overtime rates. Profit sharing is worth, assuming record profits, $2400 for the four years before we can open the contract. All of the AA unions gave up profit sharing and the trade off the TWU made is a no brainer so far as I’m concerned. It takes a real optimist to believe that the combined talent of AA and US Airways management is going to produce a profit, much less record profits year over year. Also, to the best of my knowledge, none of the AA unions has put the transition deals they made with USAirways up for vote.


BTW, in case you missed this article:

IBT Gives ABF Concessions in the West

November 28, 2012: On the eve of bargaining with ABF, the International Union has given the company a 65¢ per hour concession in the 13 western states. Members were not consulted, and most are still unaware of the giveback.

The concession was quietly implemented on August 1, by prior arrangement between ABF and the Hoffa administration. On that date, ABF was required by the contract to increase pension and health and welfare payments by $1 per hour. In the west, the allocation was 35¢ to H&W and 65¢ to pension, but the Western Conference of Teamsters Pension Fund has not received any of the 65¢.
Instead, the money has been put into an escrow account, and the matter will be settled in the upcoming bargaining. It seems likely that the money will be given back to the company.

On November 29, Teamster officers and agents from all freight locals will meet in Kansas City to hear the IBT's proposed bargaining proposals and plans.

Meanwhile, management is busy softening up Teamster members. They mailed a DVD to all ABF Teamsters, making their case for concessions.

They are also making the case to Teamster officers. For example, in early November ABF Freight CEO Roy Slagle was given the floor to address Teamster officers from across the west to present a slide show on ABF's case for big concessions, including on pensions, wages, and health coverage. Slagle cited the YRC concessions and the growth of nonunion carriers.

With the company taking an aggressive posture on concessions, and the IBT already giving them away in advance of bargaining, it will be up to rank and file Teamsters to draw a line to protect Teamster standards and benefits.

 

[Chuck Schalk]

The TWU, AA, and USair came up with a MOU in case of a merger. The TWU let us know we will get a 4.3% raise. The TWU did NOT mention that we will have to give up our 5% profit sharing, that was on Jetnet under restructuring. One step forward, one kick to the plumbs. I wonder what other half info do we get from the TWU?

I think the pilots are getting all sorts of good stuff, they deserve it, as they prove what they are worth and has union that understands what they are worth.

are you kidding me, my pension gone, and now Jim Little negotiates away our 5.5% 40lk match to 3%!! BOHICA the TWU !!!!
oh thats right, the TWU ATD have their own union retirement......

when is enough going to be enough with these company unions.

For the love of our pathetic careers Tulsa sign an AMFA card and get away from the concessionary TWU and the Teamster salesman!!!

 

[AANOTOK]

Realitychk - Why do you fail to mention that "me too" was given away. Just curious?

Chuck - Where is it stated that our match went from 5.5 to 3, I haven' seen that.

 

[Bob Owens]

I’m not a mathematician but the so called 5% profit sharing plan the TWU gave up in exchange for the base pay increase would have been worth an approximate onetime $625 bonus payment if AA had made I billion dollars in 2013. AA hasn’t made a billion dollars too often and hasn’t made a profit since 2000. For AMTs the 4.3 percent is worth 1.20 an hour or over $2500 annually. The 4.3% is worth close to 10,000 dollars for the four years before we can open the contract. This doesn’t include the value of it being compounded into the scheduled percentage pay increases and overtime rates. Profit sharing is worth, assuming record profits, $2400 for the four years before we can open the contract. All of the AA unions gave up profit sharing and the trade off the TWU made is a no brainer so far as I’m concerned. It takes a real optimist to believe that the combined talent of AA and US Airways management is going to produce a profit, much less record profits year over year.

You left out the ME Too that we gave away as well, and can you tell us how this would affect the Equity Stake?

We gave up $2.2 billion for 4.8% of the Equity of the new AA, now US is going to get equity, doesnt that water down the value of our Equity stake? Will we still be entitled to that 4.8% equity stake in the whole company?

$2.2 billion is roughly $110,000 per member. Lets say the new company is worth $10 billion, our stake would only be worth $480,000, or $24 per member, so in exchange of $110,000 per member in concessions we get $24. Thats point zero two cents on the dollar.($0.0002)


Profit Sharing vs the raise, granted I'll take the bird in the hand but why give up the ME Too? If you are justifying giving up Profit Sharing because you feel the new company will not be profitable then why would you agree to concessions? If they are not profitable you do know what that means dont you? Another BK and a demand for more concessions. We are already dead last, by a wide margin, how much further are you willing to go?

AA did claim in court that they would be making nearly $3 billion a year in profits after the restructuring, wildly optimistsic, but they were using that projection to justify the cuts, claiming that we would get back nearly everything we were giving up due to profit sharing. US Management claimed the merger would generate $2billion in synergies, bringing it up to nearly $5billion, I dont believe it either, but then again I wasnt promoting concessions under the claim that it would pay off either. If the new company still wont be profitable then wouldnt it have made more sense to maximize pay and benefits until they inevitanly fail instead of throwing more good money after bad?

As far as $10,000 being added, well that means we will only make around $70,000 less than industry standard over the next four years instead of $80,000, not exactly something worth celebrating, we will still be behind our peers by around $70,000. In other words over the next four years AA basically gets a years worth of labor free compared to the rest of the industry(excluding US and UPS).

 

[AANOTOK]

Jim Little was at our local saying that our 4.8 equity would range anywhere from $20,000 to $48,000, depending on the merger. Don't really know where he came up with these numbers, but those were the ones he threw out.

 

[bigjets]

Bob Owens, can you tell us where we can read for ourselves that the TWU also gave up our me too clause and our 5.5% 401k match, thanks.

 

[enough already]

are you kidding me, my pension gone, and now Jim Little negotiates away our 5.5% 40lk match to 3%!! BOHICA the TWU !!!!
oh thats right, the TWU ATD have their own union retirement......

when is enough going to be enough with these company unions.

For the love of our pathetic careers Tulsa sign an AMFA card and get away from the concessionary TWU and the Teamster salesman!!!

I have not read or heard anywhere that the 401K match will be changed following a merger.

 

[AANOTOK]

Bob Owens, can you tell us where we can read for ourselves that the TWU also gave up our me too clause and our 5.5% 401k match, thanks.

Page 4 Number 7,8,9 states the "me too". Can't find the 401k.

http://twulocal513.o...derstanding.pdf

 

[Bob Owens]

Bob Owens, can you tell us where we can read for ourselves that the TWU also gave up our me too clause and our 5.5% 401k match, thanks.

The ME Too clause is one of the LOMs that are being eliminated. The language is in the MOU.

I didnt see any change in the 401K. That was in the original MOU from last year. At that time the company only wanted to match our base wages only, no OT, and the MOU with USAIR was for all wages.