IAM RampPension Update: What Do the Changes Mean?

[Jimmy Neutron]

http://www.iam141.org/us/index.html

It seem s everyone's about had it with the obvious "concession Stands closed" remarks when it comes to US Fleet service, as it seems that our group continually becomes the scape goat of all industry Fleet service groups in the country, the list is long and the road has been very hard as it seems our group has had every law, rule, contractual obligation and guarantee broken and taken right out of our hides...

There is not a US Fleet member who has not been affected negatively and seems the gouging will just continue, hard to believe we are the only ones that to break the mold, It all seemed to start with the vote imposed during the Piedmont merger,, how many laws were broken there (the only group in the company made to vote again against all laws and even the NMB's own rules) 1st in the industry to have a contract abrogated by a judge, the only US employee group to have the 60 day rule driven through our hearts ( and yes there are still 20+ year employees working under this scenario ) the only US group to give up our Profit Sharing Plan post BK....(seems we again lost out on this one)

The continual outsourcing of our jobs, blatant disregard for our grievance procedures:

"USAirways grievance mediation was scheduled to be held next week in PHL, using a mediator from the National Mediation Board. This is a program we have been working on for almost a year and next week was to be the first series of hearings using the NMB.
Unfortunately, we have been notified by the NMB that due to the large number of contract negotiations needing mediators’ help, the grievance mediation program must wait. The mediator originally assigned to our cases has now been called in to the Continental Flight Attendant negotiations."

and the list goes on and on...

Now it seems we we be told, not asked that our pension will be cut basically in half by the Trustees of the IAM National Pension Fund. Now I don't care one bit about how the economy is, what's happening at other carriers, (former NW IAM members now gone due to Delta merger and subsequent representation election losses) all I want is my contract that we have now and are stuck with to be enforced and the continual kicking the dog when it's down routine to STOP!

Now to clarify what I read here, it seems that this robbery will not be able to take place while we are still under our current contract. :

"For the immediate future there will be no change to your pension benefit or future accrual rate. The changes, as outlined, will not go into effect until one of two things happen. First, our upcoming contract negotiations with USAirways would need to be completely finished and ratified by the membership. The effect date of change would be the first of the month following ratification. Secondly, the changes are required to be implemented no later than January 1, 2014. Whichever date comes first will be the effect date."

So as mad as I and a lot of other members are about this, knowing that they won't be changing it under our noses without merit or negotiations makes me feel a bit better. For us the bleeding needs to STOP, enough is enough and we all must stand up in this next negotiations and let our District know where we stand...

I hope this helps to clarify some misconceptions that have been fueling many fires and arguments in the break rooms.

Happy Holidays to everyone and be safe

 

[roabilly]

http://www.iam141.org/us/index.html

It seem s everyone's about had it with the obvious "concession Stands closed" remarks when it comes to US Fleet service, as it seems that our group continually becomes the scape goat of all industry Fleet service groups in the country, the list is long and the road has been very hard as it seems our group has had every law, rule, contractual obligation and guarantee broken and taken right out of our hides...

There is not a US Fleet member who has not been affected negatively and seems the gouging will just continue, hard to believe we are the only ones that to break the mold, It all seemed to start with the vote imposed during the Piedmont merger,, how many laws were broken there (the only group in the company made to vote again against all laws and even the NMB's own rules) 1st in the industry to have a contract abrogated by a judge, the only US employee group to have the 60 day rule driven through our hearts ( and yes there are still 20+ year employees working under this scenario ) the only US group to give up our Profit Sharing Plan post BK....(seems we again lost out on this one)

The continual outsourcing of our jobs, blatant disregard for our grievance procedures:

"USAirways grievance mediation was scheduled to be held next week in PHL, using a mediator from the National Mediation Board. This is a program we have been working on for almost a year and next week was to be the first series of hearings using the NMB.
Unfortunately, we have been notified by the NMB that due to the large number of contract negotiations needing mediators’ help, the grievance mediation program must wait. The mediator originally assigned to our cases has now been called in to the Continental Flight Attendant negotiations."

and the list goes on and on...

Now it seems we we be told, not asked that our pension will be cut basically in half by the Trustees of the IAM National Pension Fund. Now I don't care one bit about how the economy is, what's happening at other carriers, (former NW IAM members now gone due to Delta merger and subsequent representation election losses) all I want is my contract that we have now and are stuck with to be enforced and the continual kicking the dog when it's down routine to STOP!

Now to clarify what I read here, it seems that this robbery will not be able to take place while we are still under our current contract. :

"For the immediate future there will be no change to your pension benefit or future accrual rate. The changes, as outlined, will not go into effect until one of two things happen. First, our upcoming contract negotiations with USAirways would need to be completely finished and ratified by the membership. The effect date of change would be the first of the month following ratification. Secondly, the changes are required to be implemented no later than January 1, 2014. Whichever date comes first will be the effect date."

So as mad as I and a lot of other members are about this, knowing that they won't be changing it under our noses without merit or negotiations makes me feel a bit better. For us the bleeding needs to STOP, enough is enough and we all must stand up in this next negotiations and let our District know where we stand...

I hope this helps to clarify some misconceptions that have been fueling many fires and arguments in the break rooms.

Happy Holidays to everyone and be safe

Excellent post Jimmy...

I have to agree with all of your observations. It does seem that Fleet Service is the ‘whipping post’ of the industry. I have to attribute this to two things.

First, the Airlines are of the mindset that we are bottom tier employees whom they would absolutely love to outsource. Second, the Airlines know that the Railway Labor Act works in their favor when it comes to contract negations.

From my perspective, Unionism and Solidarity are the only tools available for us to even attempt to preserve our status. Believe me... if we were not a represented collective bargaining unit, none of these observations would be needed... we simply would not be employed by the carriers to begin with!

Now, as far the pension changes are concerned... I was just as blindsided as the rest of us. After reading the releases, I agree that the present pension benefits are to remain unchanged until one of the two scenarios you described above transpires.

Please correct me if I’m wrong... but I think it is important to note that all presently accrued and vested benefits are NOT affected. Retirees that are currently collecting benefits will continue to do so at the current rate.

Members who are not retired, and have vested and accrued benefits will NOT be adjusted for the benefits they have already earned.

Members who are not retired, and have vested and accrued benefits will continue to accrue benefits at the current rate until the date of January 1, 2014... or until we ratify a new contract. This does not mean your entire future rate will be cut in half... just accrual rates from that point in time forward.

So entrenches and prepares for the onslaught...

BroBilly

 

[dexter]

Praytell, was the Grand Lodge's Pension slashed also?

 

[700UW]

The IAMNPF is separate from the IAM its run by a trustee appointed by the IAM reps and the company reps on the pension board.

 

[john john]

The IAMNPF is separate from the IAM its run by a trustee appointed by the IAM reps and the company reps on the pension board.

So why the change to fleet service only and not UAL and USAirways IAM mechanic and related.

 

[700UW]

That I dont know.

Change Information

Maybe this will help.

 

[charlie Brown]

So why the change to fleet service only and not UAL and USAirways IAM mechanic and related.

John john

I can answer your question, even though you probably wont agree with the answer. Only the fleet for U.S Airways out of your above mentioned groups were on the Pension A group. UAL and Mechanics were already on the B group for the pension. Only people that were on the A group gets affected by this cut. They are basically bringing us all down to the B group.
And Jimmy, while I agree with your post completely, our contract is being upheld. Us Airways still has to put 1.05 per employee into our pension. Thats what our contract states. It dosent say anything about what that 1.05 will get us. That IMO is where we get screwed. We were always told by former and some present members that this is a guaranteed pension. Well what they didnt tell us is that the "RATE" of that pension is not guaranteed. It sucks for all of us. But if anything, it should make us much more picky at negotiating table. I for one will need something pretty sweet to get me to vote for something that I know is going to shrink my pention as soon as its voted in.

 

[john john]

John john
UAL and Mechanics were already on the B group for the pension. Only people that were on the A group gets affected by this cut.

IAM/Teamster vote over at UA/CO
Who and what determines A or B group


You guys got served up

 

[700UW]

And the CWA has done any better?

You have no pension, you dont represent the west, the IBT does, and you havent even gotten a post merger contract.

IAM has gotten raises for fleet and Mechanics, M&R is going for their 2nd post merger cba, as will fleet.

Now who got served up?

 

[charlie Brown]

IAM/Teamster vote over at UA/CO
Who and what determines A or B group


You guys got served up

Those groups that got into the pension before April 1, 2003 were in the A group. Those that got in after that date, were B group. As far as I understand it.

 

[john john]

And the CWA has done any better?

Yes . and as far as the pension goes there both connected to the economy and management union negotiations
401k returns can increase on upswing. IAM pension its is up the “trustee appointed by the IAM reps and the company reps on the pension board.”

 

[john john]

and you havent even gotten a post merger contract.

Same time schedule as IAM AFA TWU USAPA
I think you getting confuse with transition agreements and full section 6 negotiations

This is a IAM tread on the pension being cut please add your wisdom to that

 

[john john]

Those groups that got into the pension before April 1, 2003 were in the A group. Those that got in after that date, were B group. As far as I understand it.

http://www.iam141.org/docs/contract05UApce.pdf

Letters of Agreement
Letter05-01PRFSIT
July 1, 2005
Mr. S. R. Canale
President and Directing General Chairman
International Association of Machinists
and Aerospace Workers - District 141
1771 Commerce Drive, Suite 103
Elk Grove Village, IL60007
Dear Randy:
This letter will confirm the agreement between the IAMAWand United Airlines in the
negotiations leading to the 2005-2009 IAM Agreements with respect to participation in
the IAM National Pension Plan.
Subject to Paragraph 5 below, the Company agrees to participate in the IAM National
Pension Plan (“NPP”) in accordance with the following terms.
1.Participation. All full-time and part-time active employees who are represented by the
International Association of Machinists and Aerospace Workers shall be eligible to
participate in the Plan effective March 1, 2006 or beginning on the first day of
employment, if later. Notwithstanding the above, contributions on behalf of new-hire
employees will be made retroactively after the first sixty (60) calendar days of service
have been completed.
2.Contribution Rate. There shall be no contribution prior to March 1, 2006. The contri-
bution rate shall be equivalent to 4.0% of “Considered Earnings” and Success Sharing
Payments effective March 1, 2006; 5.0% effective March 1, 2007, 6.0% effective
March 1, 2008; and 6.5% effective March 1, 2009. The Company will not be required
to contribute more than the contribution rate set forth in the preceding sentence.1
Considered Earnings shall include base pay, overtime, holiday pay, longevity pay, sick
pay, vacation pay (while employed), shift differential and premiums, employee 401(k)
pre-tax contributions, and Flexible Spending Account contributions but shall exclude
expense reimbursement, incentive or profit sharing payments, imputed income or
other similar awards or allowances. Actual Contribution Rates shall be derived by
applying a one-time adjustment factor to the foregoing contribution rates, as applica-
ble, to reflect the difference between Considered Earnings and the Hourly Pension
Rate Compensation, as defined below, for all IAM represented employees under a
mutually agreeable methodology. The parties agree to work together to develop a
mutually agreeable methodology for converting the contribution rate to a cents per
hour rate. The Company’s contribution per hour worked shall be adjusted automati-
cally as the Hourly Pension Rate Compensation changes.
1
This provision will not limit any withdrawal liability.
189
Letters of Agreement
3. Contribution Base. The Company shall make the applicable cents per hour contribu-
tion on behalf of each eligible participant for all hours for which compensation is
received by the employee (including vacation, sick leave, OJI, Union business and
other paid leave), up to a maximum of forty (40) pay hours per week.
4.Benefit Levels and Other Terms. District Lodge 141 and United hereby adopt and
agree, subject to Paragraph 5 below, to be bound by the Trust Agreement, dated May
1, 1960, as amended, creating the I.A.M. National Pension Fund and the Plan rules
adopted by the Trustees of the I.A.M. National Pension Fund in establishing and
administering the foregoing Plan pursuant to the said Trust Agreement, as currently in
effect and as the Trust and Plan may be amended, from time to time.
5.Conditions of Participation. The Company’s agreement to participate in the NPPshall
be subject to the following conditions.
a.The Company’s verification of the accuracy of the information and representa-
tions in the letter of May 26, 2005 from S.R. Canale to Pete Kain.
b.Agreement of the PBGC that the contribution rates set forth in Paragraph 2 shall
not be considered an “abusive follow-on plan.” If PBGC does not approve these
contribution rates, the contribution rates shall be reduced as necessary to obtain
PBGC approval and rates of pay shall be adjusted accordingly.
190
Class Classifications Hourly Pension Rate
Compensation Definition
A Classifications Covered by the
Ramp and Stores Agreement
Base rate at top-of-scale for Ramp
Serviceman Class plus line premium and
maximum longevity
B Classifications Covered by the
Public Contact Employees
Agreement
Base rate at top-of-scale for Customer
Service Representative Class plus
maximum longevity
C Classifications Covered by the
Security Officers’Agreement
Base rate at top-of-scale for Security
officer Class plus maximum longevity
D Classifications Covered by the
Food Services Agreement
Base rate at top-of-scale for Food Service
Employee Class plus maximum longevity
E Classifications Covered by the
Fleet Technical Instructors and
Related Agreement
Base rate at top-of-scale for Fleet
Technical Instructor Class
F Classifications Covered by the
Maintenance Instructors
Agreement
Base rate at top-of-scale for Maintenance
Instructor Class including license and
skill premium and override
Letters of Agreement
c.NPPmeeting the following criteria:
(1)The ratio of inactive to active participants in the Plan is not greater than 2
including the Company.
(2)The Company’s projected average annual Plan contributions are not
greater than 25 percent of total projected annual plan contributions,
including the Company. Asomewhat higher percentage may apply if the
Plan uses the direct attribution method and the other criteria are met.
(3)The NPPis not less than 100 percent funded for vested liability based on
the market value of the Plan’s assets and vested liabilities (using an earn-
ing assumption not greater than 7 1/2 percent) determined as of a date on
or about 90 days before the Company joins the Plan.
(4)The Plan is maintained by a reasonably diverse group of reasonably finan-
cially-sound employers.
(5) The Company will have the opportunity to nominate a representative to
sit on the NPPBoard of Trustees.
(6)There are no major problems with Plan administration (such as
Government investigations or litigation that pose a significant risk to the
Plan), and the cost of Plan administration is reasonable.
(7)The Company may waive any of these requirements in its sole discretion.
6.Alternative Pension Benefit Plans. In the event the conditions set forth in Paragraph 5
are not satisfied 90 days prior to the Company’s proposed date to exit bankruptcy or
by March 1, 2006, whichever is earlier, the Company and the Union will meet to agree
upon the terms of an alternative pension benefit plan for IAM-represented employees.
The Contribution Rate shall be as set forth in Paragraph (a) below.
a.There shall be no contribution prior to March 1, 2006; the Contribution Rate
shall be 4% of each eligible employee’s “Considered Earnings” and Success
Sharing Payments effective March 1, 2006; 5% effective March 1, 2007; 6%
effective March 1, 2008; and 6.5% effective March 1, 2009.
b.In the event the conditions set forth in Paragraph 5 are satisfied but the
Company’s exit from bankruptcy is delayed beyond March 1, 2006, the
Company shall make a monthly contribution to the alternate pension benefit plan
beginning with the later of (i) March 1, 2006 or (ii) the first day of the calendar
month following the Exit Date; provided, however, that in the event the Exit
Date follows March 1, 2006, contributions will accrue from March 1, 2006
through the Exit Date and will be contributed in a single lump sum as soon as
practicable after the Exit Date.
191
Letters of Agreement
7. This agreement shall replace the letters of agreement in the existing IAM Agreements
establishing a defined benefit plan for benefit of IAM-represented employees, and any
related provisions of the agreement or side letters of agreements that contemplate
maintenance of a defined benefit pension plan. The Company shall have no further
obligation under the IAM Agreements to maintain the Ground Employees’
Retirement Plan or the Management, Administrative and Public Contact Defined
Benefit Pension Plan, and the IAM shall not oppose termination of such plans.
8.No contributions provided for in Paragraphs 2 or 6 above will be made unless (1) the
IAM withdraws with prejudice any and all opposition to termination of the Ground
Employees' Retirement Plan and the Management, Administrative and Public Contact
Defined Benefit Pension Plan, including but not limited to any appeal of the
Bankruptcy Court's order approving the Company's settlement agreement with the
PBGC or any motion to stay termination of those plans; or (2) any opposition by the
IAM to the termination of the Ground Employees' Retirement Plan and the
Management, Administrative and Public Contact Defined Benefit Pension Plan is
resolved such that termination of those plans occurs. In no event and at no time shall
the Company be obligated to maintain the Ground Employees' Retirement Plan or the
Management, Administrative and Public Contact Defined Benefit Pension Plan in
addition to a) participation in the NPP; or B) the Alternative Pension Benefit Plans
under the terms set forth above. Nothing in this Letter of Agreement shall be con-
strued, deemed or characterized by UALor the Company as any agreement of any
form by IAM that the Plan should be terminated, or as limiting IAM’s right to proceed
against the PBGC under ERISA§ 4003 to challenge the termination date of the Plan.
Sincerely,
/s/ Peter B. Kain
Peter B. Kain
Vice President - Labor Relations
Accepted and Agreed to this
1 st day of July, 2005
/s/ S. R. Canale
S.R. (Randy) Canale
President and Directing General Chairman
International Association of Machinists
And Aerospace Workers-- District 141
http://www.iam141.org/docs/contract05UApce.pdf
http://www.iam141.org/airlines/ual.html

 

[john john]

Those groups that got into the pension before April 1, 2003 were in the A group. Those that got in after that date, were B group. As far as I understand it.

http://www.iam141.org/docs/contract05UAramp.pdf

Letters of Agreement
Letter05-01PRFSIT
July 1, 2005
Mr. S. R. Canale
President and Directing General Chairman
International Association of Machinists
and Aerospace Workers - District 141
1771 Commerce Drive, Suite 103
Elk Grove Village, IL60007
Dear Randy:
This letter will confirm the agreement between the IAMAWand United Airlines in the
negotiations leading to the 2005-2009 IAM Agreements with respect to participation in
the IAM National Pension Plan.
Subject to Paragraph 5 below, the Company agrees to participate in the IAM National
Pension Plan (NPP) in accordance with the following terms.
1.Participation. All full-time and part-time active employees who are represented by the
International Association of Machinists and Aerospace Workers shall be eligible to
participate in the Plan effective March 1, 2006 or beginning on the first day of
employment, if later. Notwithstanding the above, contributions on behalf of new-hire
employees will be made retroactively after the first sixty (60) calendar days of service
have been completed.
2.Contribution Rate. There shall be no contribution prior to March 1, 2006. The contri-
bution rate shall be equivalent to 4.0% of Considered Earnings and Success Sharing
Payments effective March 1, 2006; 5.0% effective March 1, 2007, 6.0% effective
March 1, 2008; and 6.5% effective March 1, 2009. The Company will not be required
to contribute more than the contribution rate set forth in the preceding sentence.1
Considered Earnings shall include base pay, overtime, holiday pay, longevity pay, sick
pay, vacation pay (while employed), shift differential and premiums, employee 401(k)
pre-tax contributions, and Flexible Spending Account contributions but shall exclude
expense reimbursement, incentive or profit sharing payments, imputed income or
other similar awards or allowances. Actual Contribution Rates shall be derived by
applying a one-time adjustment factor to the foregoing contribution rates, as applica-
ble, to reflect the difference between Considered Earnings and the Hourly Pension
Rate Compensation, as defined below, for all IAM represented employees under a
mutually agreeable methodology. The parties agree to work together to develop a
mutually agreeable methodology for converting the contribution rate to a cents per
hour rate. The Companys contribution per hour worked shall be adjusted automati-
cally as the Hourly Pension Rate Compensation changes.
1
This provision will not limit any withdrawal liability.
189
Letters of Agreement
3.Contribution Base. The Company shall make the applicable cents per hour contribu-
tion on behalf of each eligible participant for all hours for which compensation is
received by the employee (including vacation, sick leave, OJI, Union business and
other paid leave), up to a maximum of forty (40) pay hours per week.
4.Benefit Levels and Other Terms. District Lodge 141 and United hereby adopt and
agree, subject to Paragraph 5 below, to be bound by the Trust Agreement, dated May
1, 1960, as amended, creating the I.A.M. National Pension Fund and the Plan rules
adopted by the Trustees of the I.A.M. National Pension Fund in establishing and
administering the foregoing Plan pursuant to the said Trust Agreement, as currently in
effect and as the Trust and Plan may be amended, from time to time.
5.Conditions of Participation. The Companys agreement to participate in the NPPshall
be subject to the following conditions.
a.The Companys verification of the accuracy of the information and representa-
tions in the letter of May 26, 2005 from S.R. Canale to Pete Kain.
b.Agreement of the PBGC that the contribution rates set forth in Paragraph 2 shall
not be considered an abusive follow-on plan. If PBGC does not approve these
contribution rates, the contribution rates shall be reduced as necessary to obtain
PBGC approval and rates of pay shall be adjusted accordingly.
190
Class Classifications Hourly Pension Rate
Compensation Definition
A Classifications Covered by the
Ramp and Stores Agreement
Base rate at top-of-scale for Ramp
Serviceman Class plus line premium and
maximum longevity
B Classifications Covered by the
Public Contact Employees
Agreement
Base rate at top-of-scale for Customer
Service Representative Class plus
maximum longevity
C Classifications Covered by the
Security OfficersAgreement
Base rate at top-of-scale for Security
officer Class plus maximum longevity
D Classifications Covered by the
Food Services Agreement
Base rate at top-of-scale for Food Service
Employee Class plus maximum longevity
E Classifications Covered by the
Fleet Technical Instructors and
Related Agreement
Base rate at top-of-scale for Fleet
Technical Instructor Class
F Classifications Covered by the
Maintenance Instructors
Agreement
Base rate at top-of-scale for Maintenance
Instructor Class including license and
skill premium and override
Letters of Agreement
c.NPPmeeting the following criteria:
(1)The ratio of inactive to active participants in the Plan is not greater than 2
including the Company.
(2)The Companys projected average annual Plan contributions are not
greater than 25 percent of total projected annual plan contributions,
including the Company. Asomewhat higher percentage may apply if the
Plan uses the direct attribution method and the other criteria are met.
(3)The NPPis not less than 100 percent funded for vested liability based on
the market value of the Plans assets and vested liabilities (using an earn-
ing assumption not greater than 7 1/2 percent) determined as of a date on
or about 90 days before the Company joins the Plan.
(4)The Plan is maintained by a reasonably diverse group of reasonably finan-
cially-sound employers.
(5)The Company will have the opportunity to nominate a representative to sit
on the NPPBoard of Trustees.
(6)There are no major problems with Plan administration (such as
Government investigations or litigation that pose a significant risk to the
Plan), and the cost of Plan administration is reasonable.
(7)The Company may waive any of these requirements in its sole discretion.
6.Alternative Pension Benefit Plans. In the event the conditions set forth in Paragraph 5
are not satisfied 90 days prior to the Companys proposed date to exit bankruptcy or
by March 1, 2006, whichever is earlier, the Company and the Union will meet to agree
upon the terms of an alternative pension benefit plan for IAM-represented employees.
The Contribution Rate shall be as set forth in Paragraph (a) below.
a.There shall be no contribution prior to March 1, 2006; the Contribution Rate
shall be 4% of each eligible employees Considered Earnings and Success
Sharing Payments effective March 1, 2006; 5% effective March 1, 2007; 6%
effective March 1, 2008; and 6.5% effective March 1, 2009.
b.In the event the conditions set forth in Paragraph 5 are satisfied but the
Companys exit from bankruptcy is delayed beyond March 1, 2006, the
Company shall make a monthly contribution to the alternate pension benefit plan
beginning with the later of (i) March 1, 2006 or (ii) the first day of the calendar
month following the Exit Date; provided, however, that in the event the Exit
191
Letters of Agreement
Date follows March 1, 2006, contributions will accrue from March 1, 2006
through the Exit Date and will be contributed in a single lump sum as soon as
practicable after the Exit Date.
7.This agreement shall replace the letters of agreement in the existing IAM Agreements
establishing a defined benefit plan for benefit of IAM-represented employees, and any
related provisions of the agreement or side letters of agreements that contemplate
maintenance of a defined benefit pension plan. The Company shall have no further
obligation under the IAM Agreements to maintain the Ground EmployeesRetirement
Plan or the Management, Administrative and Public Contact Defined Benefit Pension
Plan, and the IAM shall not oppose termination of such plans.
8.No contributions provided for in Paragraphs 2 or 6 above will be made unless (1) the
IAM withdraws with prejudice any and all opposition to termination of the Ground
Employees’ Retirement Plan and the Management, Administrative and Public Contact
Defined Benefit Pension Plan, including but not limited to any appeal of the
Bankruptcy Court’s order approving the Company’s settlement agreement with the
PBGC or any motion to stay termination of those plans; or (2) any opposition by the
IAM to the termination of the Ground Employees’ Retirement Plan and the
Management, Administrative and Public Contact Defined Benefit Pension Plan is
resolved such that termination of those plans occurs. In no event and at no time shall
the Company be obligated to maintain the Ground Employees’ Retirement Plan or the
Management, Administrative and Public Contact Defined Benefit Pension Plan in
addition to a) participation in the NPP; or B) the Alternative Pension Benefit Plans
under the terms set forth above. Nothing in this Letter of Agreement shall be con-
strued, deemed or characterized by UALor the Company as any agreement of any
form by IAM that the Plan should be terminated, or as limiting IAMs right to proceed
against the PBGC under ERISA⁄ 4003 to challenge the termination date of the Plan.
Sincerely,
/s/ Peter B. Kain
Peter B. Kain
Vice President - Labor Relations
Accepted and Agreed to this
1 st day of July, 2005
/s/ S. R. Canale S.R. (Randy) Canale
President and Directing General Chairman
International Association of Machinists
And Aerospace Workers-- District 141
192

 

[roabilly]

Hmmm...

Why do I keep seeing CANALE'S name pop up?

I'm with Charlie Brown on this one... let me guess what the main theme of proposals for negotiations may be!