Cwa Update 11/04/2004

[noname]

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Additional stories are on www.CWA.net


11-04-04
Negotiations resume...it looks like the company will ask the bankruptcy court to reject our contract by filing an 1113 motion by November 15
Negotiations resumed today as CWA’ers met with management to present an alternative to the company’s 34% paycut proposal. We are trying to reach a cost cutting agreement that would still preserve our contract and maintain our salaries at a level that will not force us right out of the middle class.
Management did not immediately respond to our proposal. CWA’ers came to DC prepared for two days of negotiations, Thursday and Friday, but management said at the end of our sessions today that they will not have a counter-proposal to make tomorrow (Friday). Instead, they intend to make their counter-proposal on Tuesday, November 9. That is just six days before the anticipated filing of the 1113 bankruptcy motion asking the judge to reject our contract and allowing management to impose their drastic pay and benefit cuts.


CWA’ers then repeated to management that the 34% paycut demanded by management on 10/22 is unacceptable for many reasons:


It would cut our pay 34%, throwing many agents and their families into economic disaster;
There is no incentive for experienced agents to remain with the company when they can find higher paying work elsewhere (in spite of management’s claims to the contrary);
The cuts are disproportionate to the contributions made by other groups, especially by management who will take only a 5% pay cut (after receiving a 4% raise earlier this year);
The cuts are even lower – by far – than the average of the pay scales at the “Low Cost Carriers†that management says are undercutting US Airways.
Management wound up the meeting today with a presentation by the Sr. VP for Finance showing the company is still in serious financial condition – in spite of our 21% pay cuts! CWA’ers said that we acknowledge that the company is in trouble. That’s why we have been making significant proposals to cut costs since last April. But management insists draconian cuts which are unacceptable to the passenger service employees.
CWA’ers took the opportunity to drive home to the executives that, for the most part, passenger service employees have no confidence in the management of the airline, they resent the repeated raids on our pay and benefits, they object to the management refusing to participate in the cuts, and they resent the top execs leaving the company every six months with enormous severance packages.
Management replied that a $14 an hour job is better than no job at all, which is the line they kept repeating in bankruptcy court. CWA’ers made it clear we will fight to preserve our contract and our jobs. On that note the meeting ended.
CWA Local Officers and Staff

 

[kate]

It looks like they want to liquidate. When the top management isn't giving a dime back but all unions are asked to take extreme pay cuts, it's very clear what the plan is. They are playing on an unlevel field. They don't want to negotiate with the remaining union groups. I think the end of US as we know it is very near.

 

[Harry Callahan]

The word liquidate was on our local news tonight, said if unions could not reach agreement the company would well I already said the word.

 

[Trin03]

I totally agree with you. It is looking rather grim.

Is there anyone out there that can tell us what could/would happen with the cwa contract is the judge throws it out?

For instance, recalls, travel bennies, medical bennies, grievances?etc.

I am thinking of a usairways where management runs wild and loose.

 

[Justme]

I totally agree with you. It is looking rather grim.

Is there anyone out there that can tell us what could/would happen with the cwa contract is the judge throws it out?

For instance, recalls, travel bennies, medical bennies, grievances?etc.

I am thinking of a usairways where management runs wild and loose.

[post="198061"][/post]​

Trin03,

If the company's request to have the contract rejected is approved, it would be my guess that the proposal presented to the union on the date of filing the request under section 1113 would be put into place. So if no agreement is ratified by the time the judge approves the request (likely to be 15 January based on a 15 November filing) then expect the contract presented to the union on 15 November to be the new contract.

It would also be my guess that the 15 November proposal would be very similar to the most recent company proposal.

jm

 

[hopethingswillbeok]

If were not making money, then Management should take a 21 percent cut and see if that helps. I love how this comes from a Man we just hired at four hundred and some thousand a year, plus I think it was 16,000.00 a month for the next six months. Screw them, I say let's go and strike......

 

[Trin03]

Thanks JM...

Not a good thing at all. Guess we all must now make some difficult choices and be prepared to say good bye to alot of wonderful memories

 

[unit4clt]

Liquidation represents closure for all involved. And is the best alternative to the union busting going on at US.
With liquidation the weakest link, MANAGEMENT, will be eliminated.

 

[robbedagain]

has the unions raised this to the judge and if so what has the judge said? why not or can the unions get together meaning the afa cwa and the iam get together and try to get the judge to appoint a court appointed trustee to run this airline? and also would it help if they brought up the point of the fact that they have hired a new vampire who'll be getting 317000 plus and a signing bonus for the first six months? to me that is just flat out bad bargaining faith and of course with these band of vampires it will only get worse

 

[MsRes]

Now that the elections are over, maybe the "big boys" at the national AFL/CIO can stop their fund raising activities for political candidates and attending big democratic parties and actually help one of their unions....the CWA!!!!

The potential union busting that's happening at US Airways should attract the attention of all union leadership. What Judge Mitchell does could set precedence that will affect all unions in the future!!!!

 

[bookmdano]

US announces that it will no longer use outsourced TRX company based in PNS and PKB as their technical support center for internet support. But will shift the job to Atento Services where their call center is in Nicaragua. So if you need help booking your USAirways.com reservation the outsourced Managua team will be waiting to assist you.
www.atentoservices.com

 

[MCORORES]

Well not good news...I will wait to the 9th to really see what the heck is going on....would not be surprised if it the same old stuff, just different day.

 

[jimntx]

has the unions raised this to the judge and if so what has the judge said? why not...

[post="198101"][/post]​

robbedagain, you must get it out of your head that BK has anything to do with fairness. The judge is not there to referee between the company and its employees. This is not Labor Court. It is Bankruptcy Court. Under the BK law, the judge's only responsibility is to protect the rights of the creditors. As an employee, you are not a creditor.

I know it is splitting hairs, but the judge does not abrogate the contracts. The judge rules up or down, yes or no, on the company's request for permission to abrogate the contracts. His only concern will be if such action is in the best interest of the creditors.

 

[CynicalResAgent]

I have to say that I used to enjoy my job. I also wanna say that I have always, and still do provide excellent service to my customers. But, I resent management, and I despise working for ungrateful greedy execs and I lament what working here used to be like....

Now I cannot decide to move on now, or wait till the lights go out, pass go and collect $200.... I keep feeling like the lights will be out soon, and I'd hate to leave just a few weeks too early.... But after reading the way the company is handling the negotiations, and the mood I sense from my coworkers, I feel like this place could be gone anyday now.

What really bothers me is that I am a very loyal person. I am very loyal to friends, family and I feel cheated because I tend to be very loyal to my employer. But they have repeatedly shown me that it is foolish of me to give this place any loyalty. How I wish I had of gone to work at WN way back when......

 

[Justme]

robbedagain, you must get it out of your head that BK has anything to do with fairness. The judge is not there to referee between the company and its employees. This is not Labor Court. It is Bankruptcy Court. Under the BK law, the judge's only responsibility is to protect the rights of the creditors. As an employee, you are not a creditor.

I know it is splitting hairs, but the judge does not abrogate the contracts. The judge rules up or down, yes or no, on the company's request for permission to abrogate the contracts. His only concern will be if such action is in the best interest of the creditors.

[post="198134"][/post]​

§ 1113. Rejection of collective bargaining agreements
(b ) (1) (A) make a proposal to the authorized representative of the employees covered by such agreement, based on the most complete and reliable information available at the time of such proposal, which provides for those necessary modifications in the employees benefits and protections that are necessary to permit the reorganization of the debtor and assures that all creditors, the debtor and all of the affected parties are treated fairly and equitably; and

Jim, 1113 does address interest other than the creditors, albeit to a small and very subjective degree as reflected above. That is if we consider labor as an "affected party". What do you think?

Also, congratulations on your recall.

jm