The economics of the industry have changed and every union has failed to represent their membership. Each union was told over and over as far back as early last year that change was needed. What did labor do?
Nothing, absolutely nothing, and every day the company's financial situation got worse, and so did the company's CBA proposals.
Prior to this round of negotiations, according to the DOT Form 41's, US Airways had the 3rd highest labor expense in the industry. It's obvious to the casual observer that this cannot continue for a failing company and failing industry.
Which legacy carrier is making money and which legacy carrier is not seeing pay and benefits cut to survive? Do I like this? No, of course not, but union resistance is making it worse.
ALPA was a clear case of the "just say no" crowd, with 4 people controlling the entire union, unnecessarily hurting the membership by becoming the first MEC in the history of the union to obtain a new agreement worse than the company's ask. That pattern is continuing with the company's latest public proposal to the AFA and the other unions too.
Every reader of this board was warned over and over again, as Jennyann has implied, but nobody should be surprised because it was a risk each union took.
The key two players, GECAS and the ATSB, and the Bush Administrations, could care less what we think we deserve to earn. They only care about one thing: a mathematical equation where revenue minus expense equals sustained profits.
The new GE deal requires major cost cuts to be approved no later than December 17, which is the same day the S.1113© hearing ends. This all but requires Judge Mitchell to "impose" contract modifications from the bench that day. Furthermore, the company's motion further requires the parties to abide by the RLA, which will also be court ordered and thus would prevent "self help" in the near-term, if not forever.
According to the IAM District Lodge 142 November 12 update, "In 1113© applications, the judge has only two options when making a ruling; reject the company’s application and leave the labor contract intact, or approve the application and terminate the labor agreement entirely. If the judge elects to abrogate the agreement, US Airways would then be free to impose wages, work rules and benefits as they see fit."
Again, there are two choices for the court: agree with the union or company proposal. Considering Judge Mitchell has agreed to vortually every company motion, what do you think he will do, probably no later than December 17 with the GECAS deadline?
Moreover, from the article that started this topic, it is clear the pending "imposed" cuts, which could be worse than today's offer, will be upheld by the courts and the Bush Administration. However, much of what is happening is due to a failure of union leadership to make the difficult choices and to protect their membership from further cuts.
The problem is you cannot fix "stupidity" and every reader on this board has been told over and over again this would occur.
People can post insults, act in denial, refuse to accept reality, and "shoot the messenger", but the facts are union resistance is going to make things worse. Without an immediate TA there will likely be a court or presidential order forcing people to work under "imposed" terms, if necessary, or they can resign. What is really sad is that each union could have had a better deal if they had reached an agreement prior to bankruptcy. Just look at what ALPA's RC4 did to the pilot group and you do not have to look any further.
Best regards,
USA320Pilot
