[DIV]
[DIV]Sent: Thursday, December 19, 2002 12:17 PM[/DIV]
[DIV]Subject: Fwd: CWA Contract News Release[/DIV][/DIV]
[DIV][BR][/DIV][FONT face=arial,helvetica][FONT size=2]I[BR]RECOMMENDATION[BR]This document contains modifications to the 1999 CWA/US Airways Collective[BR]Bargaining Agreement and the 2002 Restructuring Agreement as proposed by US[BR]Airways under the threat of Bankruptcy Chapter 7, Liquidation and shutdown of the[BR]airline. The attached CWA Term Sheet cannot be called a result of “good faithâ€[BR]bargaining between US Airways and CWA, but rather an ultimatum from management to[BR]accept their demands or face the liquidation and sale of the Company and its assets. It is[BR]under the threat of liquidation and the loss of each member’s job at US Airways that your[BR]CWA bargaining team, including CWA Local Presidents and Staff, recommend your[BR]“YES†vote for this Amended Term Agreement.[BR]CWA members and furloughees will participate in a ratification process for the proposed[BR]Agreement, conducted by the American Arbitration Association. Your vote may be cast[BR]on the AAA telephone and Internet system, available 24 hours per day, seven days a[BR]week, until the voting deadline. You will receive a mailing directly from the American[BR]Arbitration Association explaining the voting process.[BR]Summary of Major Changes[BR](Concessions)[BR]Productivity and Revenue changes[BR]• Eliminate Internet Support Work and Express Agent work except that we keep[BR]Express Agent agreement covering Mainline stations that convert to Express[BR]stations;[BR]•[BR]Increase in the return on MDA job protection and benefits for furloughed[BR]mainline employees (see attachment A);[BR]• No extension of the contract to STT and STX, two stations that should by law be[BR]covered by the contract;[BR]• Allow SAR’s to queue lines, assist passengers with check-in, and baggage[BR]processing associated with kiosks;[BR]• Allow the company to use contractors to perform passenger service work where[BR]company charters are operated into non-CWA represented cities;[BR]• SARS and/or SkyCaps may issue boarding passes/seat assignments at curbside;[BR]• Allow 2 US Airways flights daily into Express cities, allowing Express agents of[BR]other companies to do the work on the mainline flights;II[BR]• Allow 4 US Airways flights daily into newly opened cities without giving those[BR]jobs to mainline employees, and allowing contracted employees from other[BR]companies to have those jobs.[BR]Pay and Benefits:[BR]• Increase the employee cost of our medical plan premiums, deductibles, co-payments,[BR]and prescription costs effective July 1, 2003. Employees will be[BR]allowed to change enrollment prior to implementation. See attached medical and[BR]benefit summary and charts;[BR]• Defer 5% of our salary for up to 18 months if US invades Iraq; or an act of[BR]terrorism occurs that has a material adverse impact on commercial aviation; salary[BR]to be paid back over the same number of months included in the deferral;[BR]• Postpone the defined benefit search decision until six months after the Company[BR]emerges from bankruptcy.[BR]Returns[BR]•[BR]Employees on voluntary furlough may retire from furlough consistent with[BR]existing Article 15 of the contract, the same as involuntary furlough, as long as[BR]there is an available system vacancy in the classification and status;[BR]• The company will allow parents of employees furloughed after 9/1/2001 to be[BR]considered “eligible family members†for purposes of online non-revenue travel;[BR]• The company is offering a profit sharing plan that requires the company pre-tax[BR]profits to reach 7% before it pays out.[BR]• Vesting in the equity stake we negotiated in the last concession agreement will be[BR]somewhat accelerated;[BR]• CWA Passenger Service will be given a seat on the US Airways Board of[BR]Directors equal with the pilots, mechanics and flight attendants.[/FONT] [/FONT]
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