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Machinists Ratify US Airways’ Restructuring Proposal
Washington D.C., September 17, 2002 – Mechanic & Related employees at US Airways today ratified contract amendments proposed by the company as part of the bankrupt carrier’s restructuring program. The vote carried by 57 percent, according to the International Association of Machinists and Aerospace Workers (IAM).
Today’s vote marks the second time US Airways’ Mechanic & Related employees were polled on the company’s restructuring proposal. An initial vote, held on August 28, 2002, resulted in membership rejection. A re-vote was scheduled after US Airways’ CEO David Siegel acknowledged statements he made prior to the initial vote might have led to confusion over the consequences of rejection.
Bankruptcy proceedings are complex and can have serious consequences for employees, said IAM District 141-M President Scotty Ford. The decision to hold a re-vote was made when it was clear that numerous employees received misleading information.
The proposal ratified today covers US Airways’ 6,800 Mechanic & Related employees represented by IAM District 141-M. The carrier’s 5,400 Fleet Service Employees, represented by IAM District 141, approved a separate US Airways proposal on August 28, 2002.
Ratification of this proposal restricts US Airways from seeking further cost reductions from IAM members in bankruptcy court, said Ford.
The IAM is the largest transportation union in North America representing 150,000 airline and railroad employees in the United States and Canada. For more information about the Machinists Union, visit www.goiam.org.
Washington D.C., September 17, 2002 – Mechanic & Related employees at US Airways today ratified contract amendments proposed by the company as part of the bankrupt carrier’s restructuring program. The vote carried by 57 percent, according to the International Association of Machinists and Aerospace Workers (IAM).
Today’s vote marks the second time US Airways’ Mechanic & Related employees were polled on the company’s restructuring proposal. An initial vote, held on August 28, 2002, resulted in membership rejection. A re-vote was scheduled after US Airways’ CEO David Siegel acknowledged statements he made prior to the initial vote might have led to confusion over the consequences of rejection.
Bankruptcy proceedings are complex and can have serious consequences for employees, said IAM District 141-M President Scotty Ford. The decision to hold a re-vote was made when it was clear that numerous employees received misleading information.
The proposal ratified today covers US Airways’ 6,800 Mechanic & Related employees represented by IAM District 141-M. The carrier’s 5,400 Fleet Service Employees, represented by IAM District 141, approved a separate US Airways proposal on August 28, 2002.
Ratification of this proposal restricts US Airways from seeking further cost reductions from IAM members in bankruptcy court, said Ford.
The IAM is the largest transportation union in North America representing 150,000 airline and railroad employees in the United States and Canada. For more information about the Machinists Union, visit www.goiam.org.