Alpa Code-a-phone Update - August 30, 200

[USA320Pilot]

MEC CODE-A-PHONE UPDATE - August 30, 2004

This is MEC Chairman Bill Pollock with a US Airways MEC update for Monday, August 30th , at 1:30am with one new item.

The Negotiating Committee met with management Sunday afternoon at the Key Bridge Marriott in Arlington, VA. They received a counterproposal from the Company in response to our proposal of August 28. This counterproposal is now available on the pilots only home page under “Negotiating Committee Informationâ€￾ along with a Negotiating Committee update for the week ending August 22nd.

The MEC reconvened at 6:00 pm to receive the Company’s counterproposal. They recessed to read through the 49 page document and then reconvened again at 8:25pm.

On the heels of yet another sobering report by our advisors, the following proposal by the CLT F/O Rep and BOS F/O Rep was submitted, after an attempt to recess at 10:00pm to 9:30 Monday morning by the PIT F/O Rep, citing emotion and fatigue, was ruled out of order:

WHEREAS the MEC has received the Negotiating Committee’s report, and

WHEREAS it is incumbent upon the MEC to provide direction to the Negotiating Committee as to how best to proceed in these negotiations, and

WHEREAS the company’s last offer has been reviewed by the MEC and unanimously found to be unacceptable, and

WHEREAS it is in the best interest of the pilot group that a negotiated settlement be reached,

THEREFORE BE IT RESOLVED that the MEC directs the Negotiating Committee to continue table discussions with management in order to secure the best T/A that is achievable.

After some discussion in closed session, a second attempt by the PIT F/O Rep to recess to Monday morning without voting on the same motion failed. After a Roll Call vote to Call the Question failed (a vote to end debate on the resolution) the PIT F/O Rep asked once again to recess to Monday morning stating he was too tired to deal with the above resolution. The Vice Chairman of the Negotiating Committee was also tired and left the meeting early.

This was not our finest hour. After clear advice from our advisors and Negotiating Committee Chairman, I must report that critical negotiating time will go by without the MEC directing further action of our Negotiating Committee. Further MEC action is required since the Committee is acting on a prior roll called resolution that imposed restrictions on the negotiations. The MEC recessed after being in session for less than six hours. You unequivocally deserve better. We are running out of time and wasting opportunities.

The meeting recessed at 11:55pm and will reconvene at 8:00am Monday morning at the Key Bridge Marriott in Arlington, VA. to a hopefully better rested faction of the MEC who will cease with postponing and stalling tactics and address the work of our pilots!

All US Airways pilots are encouraged to attend. You may be very interested to witness first hand what your MEC does, or more importantly what a roll call majority may choose not to do. Either way, their decision will have serious consequences to each and every US Airways pilot. Please note that the hotel does not provide transportation from the airport and that portions of the meeting may be in closed session.

As always, please refer to the code a phone and the pilots only website for the latest information on Transformation Plan Negotiations.

Please remember we have 1,879 pilots on furlough.

Thank you for listening.

 

[Bud8EE]

The Pit FO rep did exactly the right thing. People rush to judgement out of frustration and fatigue in these kind of circumstances and it takes someone with common sense to recognize this. It is common practice of mediators to use such tactics as round the clock negotiations to close deals. Mediators rarely are concerned with the outcome of which side got the better deal so use such tactics to use fatigue and frustration as tools to get a deal done. That is their job. In this case the company is using the tired old tactic of deadlines and crisis negotiations to create the same scenario. By recessing the meeting it provides the clarity a good nights sleep and a fresh and alert mind provides when deliberating sensitive issues. Frustration compounded by fatigue is never good and especialy when making decisions in the moment that can and likley will have lasting reprecussions over many years. There is no doubt the company needs to transform itself to compete and likely needs employee participation. How much and what form talks should be taking place but the tired old deadline and threat tactics are a serious impediment to the process. Unfortunately for those who cry wolf over and over, one never knows if this time is legit or another ploy.

 

[USA320Pilot]

Bud:

The pension payment deadline, the ATSB financial covenant deadline, and the RJ financing deadline are not management deadlines. They are deadlines from others and that must be met or the airline will fail.

Regards,

USA320Pilot

 

[Bud8EE]

Bud:

The pension payment deadline, the ATSB financial covenant deadline, and the RJ financing deadline are not management deadlines. They are deadlines from others and that must be met or the airline will fail.

Regards,

USA320Pilot

[post="174004"][/post]​

Management counter proposals that are basically turnaround proposals or backwards movement is a process to take it to the eleventh hour and magnify this situation so as to have the desired affect that they seek, which a strike at the juglar of the contract not a meaningful cooperative approach to a serious problem. One of which is not labor's making by the way and management ineptitude of the last several years plays a signifigant part along with 9/11 and deteriorating economics in the industry. Only a select few in management are privy to what the actual d-day or d-hour is if it exists. Thats not to belittle the need for the compnay to change the way it does business in an expidited manner but d-day's along with the company's plans are their trump card that is always face down in these situations. Only management knows what the ultimate plan is and it's a guessing game for everyone else. Labor always has their cards face up which is a natural and serious disadvantage and the need to be thoughtful and deliberate can't be abandoned regardless of the situation and given the company's unapparent need for haste until is a "last best offer" should set off warning bells to be methodical. If it is as dire as the company states then Bruce Lakefield himself would be locked in a room with the NC until the deal is done. Of course he knows better and so should the MEC.

 

[hp_fa]

Could it also be that the PIT F/O wanted to get to his room and contact some of his constituents and get their opinions on some of the issues? Maybe he is trying to do his job as quickly as he can so that when, and if, a TA is agreed upon it might pass. A bad TA that will not pass would likely cause all deadlines to pass.

Let the men do the jobs that the people who did elect them elected them to do.

 

[USA320Pilot]

hp_fa:

You are so far out in left field as an outdie observer it's not even funny.

Regards,

USA320Pilot

 

[Phoenix]

hp_fa:

You are so far out in left field as an outdie observer it's not even funny.

Regards,

USA320Pilot

[post="174016"][/post]​

Your inability to remain calm is UNSAT. Wake up man. You are wound up tight as the strings on a banjo and being played like Bluegrass.

Pollock’s opportunistic chiding (whining) in a Code-a-phone is shameful. He is not a professional.

It is no wonder the pilots are being routed and some are tripping over themselves to give the gold in their teeth to save their job (but not the bottom 500 who will choose unemployment benefits over the "Soft landing" at MDA).


Respectrully,

Phoenix

 

[usfliboi]

Rush???? Doesnt sound like to me The Pit FO was in a rush to do anything. Playing games maybe, but sounds like this loose cannon needs to be recalled!

 

[delldude]

Rush???? Doesnt sound like to me The Pit FO was in a rush to do anything. Playing games maybe, but sounds like this loose cannon needs to be recalled!

[post="174023"][/post]​

YEAH....LETS RECALL THE NEGOTIATORS.. ...WE GOT TIME...

 

[Phoenix]

Perhaps the Neg Com could have reached an agreement by now if the previous NC (who got tossed out for failure) were to have quit being babies and given the new NC all of the written documents and notes that they have childishly refused to give...

How come Polly didn't mention that in the update?

 

[mwereplanes]

Pressure, from Pollock or the company, will not rush the 4 representatives who have the MAJORITY of pilots behind them into a deal.

And there will eventually be a deal.

Pollock's panicked message is a shameful example of his disdain for the MAJORITY of pilots he is supposed to be representing. Not only do we lack leadership in the corporate offices in CCY but obviously in the ALPA headquarters on our property. Truly shameful.

When this is over 320 and his minions will be living under a contract that is better than the one that was the "last, best offer" from the company. Even though he will be a copilot he will still support the "commuterizing" of US Airways because he will still have a job. Not so for about 800 of our fellow pilots.

mr

 

[networking]

No one should have to make any decision when they are suffering from fatigue. This seems to have been the case. Only good decisions are made when your mind is clear.

 

[Furloughedagain]

If the current deal is signed....320 will be a copilot?

Wow. Hear that? Thats the sound of the walls of CRM crumbling down.

 

[fatburger]

320,

8 hours of rest will not sink the company. The PIT f/o rep made a good judgement call and I commend him. I hope you don't let emotion get in the way of you doing your job like it does with your postings.

-fatburger-

 

[Analyst]

August 30, 2004

To our Fellow Pilots,

It is Monday morning, August 30, 2004, and we remain at the Key Bridge Marriott in Washington. Last evening at 6pm, the MEC reconvened to receive the Negotiating Committee’s report on the Company’s response to the NC proposal of yesterday. The company’s response was, not surprisingly, very similar to their August 22nd proposal, and remains unacceptable. Late Sunday night, a new motion was proffered to direct the Negotiating Committee to go back into negotiations to secure an agreement. After attempting to recess the meeting, PIT F/O Rep John Brookman spoke against this motion. Brookman again tried to get a recess and this was disallowed. The resolution is as follows:

RESOLUTION:

WHEREAS the MEC has received the Negotiating Committee's report, and

WHEREAS it is incumbent upon the MEC to provide direction to the Negotiating Committee as to how best to proceed in these negotiations, and

WHEREAS the Company's last offer has been reviewed by the MEC and found to be unanimously unacceptable, and

WHEREAS it is in the best interest of the pilot group that a negotiated settlement be reached,

THEREFORE BE IT RESOLVED that the MEC directs the Negotiating Committee to continue table discussions with management in order to secure the best T/A that is achievable.

Finally, the resolution was prevented from being acted upon by Brookman’s 3rd call for recess. The recess was called, and the MEC is to reconvene and consider this resolution at 8 a.m. this morning.

This may be our last council letter to you before we enter bankruptcy. We believe it is our duty to present to you the facts and unanimous opinion of our advisors as stated to all MEC members over the last several weeks. These professional advisors have repeatedly said that the consequences of going into bankruptcy without an agreement will be severe for this pilot group.

While some MEC members dismiss this advice as speculation, conjecture or even guesswork, they offer no supporting evidence of their position other than their opinion. We adamantly disagree; the stakes are too high for amateur opinions. The politics of delay, obstruction, hindrance, and thwarting of the process can only be viewed as obstructionism. The end result of which could be, when you finally vote on the TA, it will be more draconian than that which could have been negotiated. To us, this is unacceptable.

On Friday, our Senior Council, Mike Abram, was asked the following:

Question: What are the risks of not reaching an agreement with management?

Answer: I see three possible scenarios of not reaching an agreement and all involve the company going into bankruptcy. There is a high risk of an 1113E process, followed by an 1113. (an 1113E is emergency relief requested from the bankruptcy court and is usually granted within 24 hours with a ! motion either to deny or approve.) The consequences for pay, compensation and other elements of the contract are substantially worse for the pilots than if an agreement were to be reached before bankruptcy. The financial community and other stockholder’s will have a role to play and put severe constraints on management. When investors typically see a company enter bankruptcy they are looking for a reward; in this case, reshaping a company that has failed not once, but twice. They will demand a very low cost structure.

Mr. Abram also addressed the issue that we would be better in bankruptcy without an agreement, because the company will be desperate and thus the deal would be better. He responded that the company, in that condition, has much greater leverage over us due to their power of 1113E and 1113. Further, he stated that things will only get much worse. Mr. Abram also said that if the view of the MEC is that the pilots be consulted on their future, then the time to! do so is very near at hand.

Financial Analyst/Investment Banker Michael Glanzer: They (the company) will not strike a deal at the previous levels, and said he will take bets in increments of hundreds of thousands of dollars in support of that statement. The 1113E request from the court (without an agreement) will be 125% to 150% of whatever is on the table now, and based on a much smaller fleet. ATSB will not care about the size of the airline now, or the survival of the airline in 5 years. They will say, show me a business plan, and a fleet size that will pay me off sooner rather than later.

So, the situation is this. We have a proposal from the Company that absolutely no one wants to agree to. It is, as we told you back on the 24th, heavy-handed in every category, including pay, retirement, furloughs, work rules, benefits and scheduling. We have offered
motions and amendments to allow the NC to negotiate in good faith to get a better deal. These have been defeate! d by the roll call vote. We could not understand a lack of support for the NC (that the roll call members put in place) to negotiate. It is now apparent to us that one of the most important goals of the roll call group is to never have their names, or those of the NC, to be associated with an agreement that is concessionary. They are, we believe, going to force the
Company to impose working conditions, pay cuts, furloughs, and yes, even loss of the DC plan, rather than have it ever said that they helped in “giving it upâ€. Thus we believe, at worst, that you will not be getting a chance to vote because time will run out, and the company’s bankruptcy plan, without an agreement, will be forced upon you. Or, at best, they may allow you to vote on a plan that is the company’s last and final proposal. Their story then will be that the “give away†members of the MEC brought you this, and once again they will claim that their hands are clean.

Many MEC members, including your Reps! , have commented that they want the opportunity to get a deal that is better than the Company’s last offer. They want that better deal to be struck, and they want the pilots to have the opportunity to vote on it. We see no benefit whatsoever to a bankruptcy filing without an agreed upon settlement.

We want the NC and the entire MEC to stop thinking about saving themselves from a potential “give away†reputation, and start thinking of the pilots and the families that they represent.

In closing, we think that one member of the Negotiating Committee, Don Hollerbach, got it right. When speaking to those who roll called the resolution limiting the Negotiating Committee’s latitude at this late hour, he said: “Sending us in shackled sets us up for failure. Give us the weapons to do our job – to get an agreement. Don’t cut my leg off and ask me to go in and kick somebody’s ass. Let the pilots be the ultimate triers of fact.â€

Fraternally,

BOS Council 32 Mike Swiatkowski Garland Jones
CLT Council 90 Mike Cross Lance Svendsen
DCA Council 138 Bob Sauer Don Baier
LGA Council 135 Leo Guerrero Ray Belz