TWU Mechanic and Related T/A - Important Questions

[Bob Owens]

After reading through the entire T/A Agreement Language I have a question for anyone on the negotiating team to answer in detail.
The language below has been inserted into Article 1. Page 7

Was this a Union Proposal or a Company Offer?

Was there any specifics discussed regarding sale or spin-off of Overhaul that would fall under a confidentiality agreement that would prohibit public discussion or disclosure?

What was the offering party's intent of this language insertion?



Article 1 Recognition and Scope



Every employee regardless of station but especially those at Tulsa and AFW should view this language as a very significant item.

Language like this does not just appear out of nowhere without cause and should raise concern. Yes it protects us but why does it read as if there is already something in the works?

This was the company offer, like pretty much 99% of the contract, the committee had no input whatsoever in the writing of it. Its useless.

Here's how it went down.
Don had apparently met with the company without the committee the night before, or earlier in the morning prior to the committee getting together. Don told us the company added industry leading spin off protection language and a Wage Opener provision that will keep us number 2 in the industry. He added that this could be our last chance to come to an agreement and that it could be out of our hands, that this is the best offer the company is going to make and we should not even consider making counter proposals and vote on it as is, Todd Woodward made the motion to vote on the proposal with a published Roll Call vote which was seconded by Steve Luis.

We were never even given the opportunity to see the language prior to voting on it.

The fact is that system protection is our spin off protection, as system protection erodes it enables the company to spin off bigger and bigger pieces of the operation. We currently have enough people without system protection, to close all our class II stations or spin off AFW. This language isnt spin off protection, its spin off guidelines.

Should AA spin off an OH base thats exceeeds the 20% of total value (if any do or not I dont know) to an MRO those workers would no longer be subject to the RLA. Which means that if an MRO bought them come May 5, 2013 they could impose new terms and the workers would be free to strike, or they could sell it to a shell company, which files for BK right after the purchase and get the court to impose new terms.

Voting NO leaves us just as protected as we are now. Voting Yes makes a layoff /spinoff more likely because of the doubling of the ASM Cap. This will probably lead to an accellerated retirement of the S-80s and the transfer of those routes to Eagle as they get the E-175s. The Pilots and FAs will work out a deal where they get something out of the transfer, we wont.Our concessions will give the company the money they need to buy them off.

Here's how I see it going down if this passes.

If we vote YES the company will start hitting the Class II stations first, transferring those facilities to Eagle as fast as the E175s become available. Using rough numbers, (I didnt check) lets say we have around 7500 Title I with system protection right now. That normally drops by around 500/year, if this passes it will probably spike to around 1500 within a year after DOS as guys from Class II stations elect to hit the streets rather than transfer(their options will be limited to (DFW,MIA,JFK, LAX, ORD, AFW or TUL), and others in the high cost cities simply bail, this large exodus will allow the company to push AMTs out of the bases and backfill with SMAs. So a year after DOS System protection is down to around 6000. Total Tile I will be down to around 8500, or less. As the MD-80s are phased out Tulsa will continue to shrink, as Tulsa shrinks the company will continue to force AMTs out to the line to backfill attrition. The attrition rate will stay at around 1000 or more a year through 2013.

By the time we get the next agreement following this TA, 2015 or so ( the company will never settle a contract on time if they can drag it out and get away without paying retro, plus more system protected guys leave) , nearly all our Class II operations will be Eagle, Eagle will have around 500 airplanes and AA will have around 450 airplanes, those with system protection will be less than 4000. At this point the company could easily sell off both AFW and Tulsa. They would have five line class I stations where they do B checks and call them "maintenance Bases as well, since the definition of Maintenance Base doesnt have the word "only" in it. The B-checks will be staffed primarily with SMAs. They will also have DWH should they decide to spin off both Tulsa nad AFW where they can do some light OH work and have line support.

As AMTs leave and are replaced by SMAs it makes Tulsa a more attractive buy for an MRO. Whether or not they actually do ever sell it doesnt matter, they will be able to if they want and in 2015 they can offer system protection as a means to get another concessionary contract in place. By 2015 those without ststem protection will outnumber those with system protection. The company will get out of the Pension business in exchange for System Protection.

The Vermont Plan will be complete, without ever filing for BK.

 

[TWU informer]

For those who fail to read the T/A and beliieve the language only proffers employment and doesnt protect pay:

(h) Merger, purchase, or acquisition of another company: In the event of a merger, purchase, or acquisition of another company, involving that entire company or a substantial portion of that company by the Company, the TWU and the Company will meet to discuss the merger, purchase, or acquisition. The Company will provide the TWU with information concerning the proposed merger, purchase, or acquisition at the earliest feasible time to allow for the Union to prepare for those discussions. Those discussions will include the impact of the merger, purchase, or acquisition upon the TWU represented employees.

(1) The integration of the seniority lists of the respective employee groups will be governed by the provisions of Sections 3 & 13 of Allegheny-Mohawk, 59 CAB 22 (1972), provided that no employee on the master seniority list will be adversely impacted in rates of pay, hours, or working conditions by the integration.

(2) The rates of pay, rules, and working conditions contained in the Basic Agreement, as amended, will not be changed in any way absent agreement of the TWU and will not be open for collective bargaining in the event of a merger, purchase or acquisition of another company nor will the TWU or the Company have any obligation to bargain upon changes thereto, except as provided in Article 47 – Duration of the Basic Agreement.

(3) The parties agree to submit to final and binding arbitration by an arbitrator approved by the National Mediation Board all disputes between the TWU and the Company which are not settled in the meetings provided above within six (6) months of the effective date of the merger. The costs of the arbitration will be shared equally by the parties and there will be only one such arbitration proceeding which will be the sole and exclusive remedy for all such disputes.

(4) It is understood that the provisions of Article 1(h)(1), (2), and (3) will not apply to the Company’s purchase of assets of another airline which does not result in the integration of employees.

I really get the feeling most are making post based on emotions, have not read the agreement, and are making decisions based on highlights by the TWU or the Videos from Bob and Chuck.

Please read the entire agreement and make an informed decision based on fact not emotions.

 

[TWU informer]

This was the company offer, like pretty much 99% of the contract, the committee had no input whatsoever in the writing of it. Its useless.

Well I disagree that Labor Protection Provisions that insure my employment and seniority integration in the event of a spin-off are useless.

It may be useless to you with your current standing on the seniority list and your station of employment, but what about those of us that could be directly affected by a spin-off?

I actually find this to be positive language if a spin-off were to happen.

And you call it useless. How Ironic.

You were removed from negotiations at what point?

Were there ever any discussions regarding a possible spin-off or sale of Manitenance Operations?

 

[Mr Red]

Well I disagree that Labor Protection Provisions that insure my employment and seniority integration in the event of a spin-off are useless.

It may be useless to you with your current standing on the seniority list and your station of employment, but what about those of us that could be directly affected by a spin-off?

I actually find this to be positive language if a spin-off were to happen.

And you call it useless. How Ironic.

You were removed from negotiations at what point?

Were there ever any discussions regarding a possible spin-off or sale of Maitenance Operations?

Its time to make a stand or DIE drinkin the Coolaid!!

 

[Tex-Mech]

For those who fail to read the T/A and beliieve the language only proffers employment and doesnt protect pay:

Please read the entire agreement and make an informed decision based on fact not emotions.

You are trying to combine language that protects us and our contract in a merger or aquisition, with language on a different page that specifically applies to sale of substanial assets and a proffer of employment. Two completely different animals. At no time is AA going to merge with your example-Spirit aero, but we may merge with say Spirit Airlines. With the airline our contract is protected, and with the Tulsa Spirit MRO it is not.

You need to carefully read the language and know the difference between a merger and a substanial sale of assets.

 

[DallasConehead]

Its time to make a stand or DIE drinkin the Coolaid!!

Yea??? What exactly are you prepared to do Mr. Red?

 

[will fix for food]

Voting NO leaves us just as protected as we are now. Voting Yes makes a layoff /spinoff more likely because of the doubling of the ASM Cap. This will probably lead to an accellerated retirement of the S-80s and the transfer of those routes to Eagle as they get the E-175s. The Pilots and FAs will work out a deal where they get something out of the transfer, we wont.Our concessions will give the company the money they need to buy them off.

Here's how I see it going down if this passes.

If we vote YES the company will start hitting the Class II stations first, transferring those facilities to Eagle as fast as the E175s become available. Using rough numbers, (I didnt check) lets say we have around 7500 Title I with system protection right now. That normally drops by around 500/year, if this passes it will probably spike to around 1500 within a year after DOS as guys from Class II stations elect to hit the streets rather than transfer(their options will be limited to (DFW,MIA,JFK, LAX, ORD, AFW or TUL), and others in the high cost cities simply bail, this large exodus will allow the company to push AMTs out of the bases and backfill with SMAs. So a year after DOS System protection is down to around 6000. Total Tile I will be down to around 8500, or less. As the MD-80s are phased out Tulsa will continue to shrink, as Tulsa shrinks the company will continue to force AMTs out to the line to backfill attrition. The attrition rate will stay at around 1000 or more a year till 2013. As those AMTs leave and are replaced by SMAs it makes Tulsa a more attractive buy for an MRO. Whether or not they actually do ever sell it doesnt matter, they will be able to if they want and in 2015 they can offer system protection as a means to get another concessionary contract in place.

By the time we get the next agreement following this TA, 2015 or so ( the company will never settle a contract on time if they can drag it out and get away without paying retro) , nearly all our Class II operations will be Eagle, they will have around 500 airplanes and AA will have around 500 airplanes, those with system protection will be down to around 4000. At this point the company could easily sell off both AFW and Tulsa. They would have five line class I stations where they do B checks and call them "maintenance Bases as well, since the definition of Maintenance Base doesnt have the word "only" in it. The B-checks will be staffed primarily with SMAs. They will also have DWH should they decide to spin off both Tulsa nad AFW where they can do some light OH work and have line support.

Did you forget that Eagle is going to be sold too? Garton is travelling around the system saying either Republic or Skywest will be the purchaser, most likely Skywest. When that happens you can bet they will dump the 135's and most if not all of the 140's and backfill with their own aircraft.

Eagle is far more likely to end up with about 150 planes than some sort of E-175 led 500 airplane fleet.

Besides, E-175's are a violation of the pilots scope clause. Unless you think they are going to cave on that.

 

[Bob Owens]

Did you forget that Eagle is going to be sold too? Garton is travelling around the system saying either Republic or Skywest will be the purchaser, most likely Skywest. When that happens you can bet they will dump the 135's and most if not all of the 140's and backfill with their own aircraft.

Eagle is far more likely to end up with about 150 planes than some sort of E-175 led 500 airplane fleet.

Besides, E-175's are a violation of the pilots scope clause. Unless you think they are going to cave on that.

They've been selling Eagle for 20 years. Eagle exists as a means for AMR to split its workforce.

The pilots will get something for it. Then the next round of talks the company will use whatever they gave the pilots as propaganda fodder to try and make the pilots contracts look onerous.

Kind of like how the company uses all our 3P work to make it look like the workers are costing the company more than any other carrier. 3P work involves labor, thus increases the amount the company spends on labor, this labor cost gets charged against the ASMS but it doesnt produce any ASMs, it produces revenue.

 

[Bob Owens]

Good Grief! Read the language. It does matter, a YES vote places that labor protection provision language of employement and seniority protection into a/new current agreement. If it were to take place under the Voted NO agreement those protections are not there. How can you say that doesnt matter?

The Line AMT should be concerned because there is alot of high seniority in Tulsa and AFW and they will bumping those lower in seniority before they hit the street. Sure the Labor Protection Provision doesn't appear to apply to them. But when the bumping starts it will directly affect them in a negative way.

I don't recall this Labor Protection Provision even mentioned in the Bob Owens and Chuck Schaulk video release. In fact until now nobody has mentioned this. Instead we are busy name calling and badgering each other over our personal opinions.

I've been putting stuff out on it and talking about it with our members. I think we have some stuff on our website forum as well.

 

[Mr Red]

Yea??? What exactly are you prepared to do Mr. Red?

Look for another job !! The choises seem to be yes=suicide no=leathal Injection by AA
Pick ur Poision !

 

[TWU informer]

Bob Owens

Did you or any other negotiating committee member sign confidentiality statements during negotiations?

 

[olderguyAMT]

Here's how it went down.
Don had apparently met with the company without the committee the night before, or earlier in the morning prior to the committee getting together. Don told us the company added industry leading spin off protection language and a Wage Opener provision that will keep us number 2 in the industry.

My question is about what Don said to the committee about being #2 in the industry.

If the Wage Opener language is OPEN and intentionally vague, what is the guarantee of being 2nd from the top.


What percent of the form of internal equity for other classifications in the respective Title Group? It is interesting to note that no specific percentage number is given. Any Comment ?

.

Here is the Wage Opener language,
" ATTACHEMENT 47.1 - Wage Adjustment Provision (“Wage Opener”)
In the event workers at comparable airlines (WN, FL, DL, B6, CO, UA, US) amend their collective bargaining agreements, prior to the amendable date of this agreement, and these amendments lower the current standing in compensation of the TWU classifications listed above, the TWU will notify the company in writing of its intent to ‘open’ compensation negotiations limited to the following areas:
Chart Rate or Base rate
License/skill premiums
Line premiums
Longevity Pay
Weekend Premiums Midnight retention premiums All other shift premiums
It is understood between the parties that the purpose of this ‘wage adjustment’ provision is to ensure that the TWU classifications mentioned above, maintain their compensation standing with the industry comparators up until the amendable date of this agreement. In addition, it is intended to provide a percentage based form of internal equity for all other classifications, within the respective Title Group, covered by the AA/TWU Mechanic and Related agreement. "

 

[inspector clausou]

Don't think it really matters for those that remember they limit the amount of bumping to the line (if i remember it was limited to 10 percent last time). So if yes or no i have the seniority to hold my job on the line. Unfortunatly some people are more intersted in justifing this agreement in their minds by saying its not that bad or i have mouths to feed. Instead i would be more concerned with the Eagle ASM langauge and the "spin off protection" because yes in Tulsa and AFW you could be living on $12.00 an hour wishing you could bump to the line. Don't kid yourself they will not cripple the line operation by allowing wholesale bumping. Again read the agreement and make your decision, part of your decision should include history at AA. The history of we will bring SR's into the shop on an attrition basis (not), The history of the me too clause etc.. Unfortunatly most of us want to beleive and help the company but we usually are repaid by a swift kick in the butt, after 20 years i just dont trust them. Why do the have to put the crap in the contract about the exceptions to the ASM seat cap "historically speaking equals 12.5 percent" instead of saying we want a 12.5 percent cap? Because 2 years from now they will say, will it used to be "historically 12.5 percent" now its 35 percent. They just can't be trusted to keep their word and act in a reasonable and logical manner. Untill they change the attitude at AA that "we know the cost of everything and the value of nothing" . If you have enough time with AA and look at it i cant vote on something that has not been written yet ie. profit sharing at the maintenance basses, Hanger 5 in DFW, they just CAN"T BE TRUSTED TO DO THE RIGHT THING! BOTH AA AND TWU!

 

[Bob Owens]

My question is about what Don said to the committee about being #2 in the industry.

If the Wage Opener language is OPEN and intentionally vague, what is the guarantee of being 2nd from the top.


What percent of the form of internal equity for other classifications in the respective Title Group? It is interesting to note that no specific percentage number is given. Any Comment ?

.

Here is the Wage Opener language,
" ATTACHEMENT 47.1 - Wage Adjustment Provision (“Wage Opener”)
In the event workers at comparable airlines (WN, FL, DL, B6, CO, UA, US) amend their collective bargaining agreements, prior to the amendable date of this agreement, and these amendments lower the current standing in compensation of the TWU classifications listed above, the TWU will notify the company in writing of its intent to ‘open’ compensation negotiations limited to the following areas:
Chart Rate or Base rate
License/skill premiums
Line premiums
Longevity Pay
Weekend Premiums Midnight retention premiums All other shift premiums
It is understood between the parties that the purpose of this ‘wage adjustment’ provision is to ensure that the TWU classifications mentioned above, maintain their compensation standing with the industry comparators up until the amendable date of this agreement. In addition, it is intended to provide a percentage based form of internal equity for all other classifications, within the respective Title Group, covered by the AA/TWU Mechanic and Related agreement. "

The company wrote this language and Don insisted that we vote on it unseen. We could not debate it because we could not see it, all we had was Don's word on what he said it would do, IMO he was wrong, or worse, either way he doesnt have to live under it.

The language is useless. Its fluff to try and get this POS to pass. First of all it does not clearly state that our position will be maintained, it states that certain conditions will trigger "negotiations" with the "intent". Well they could "negotiate" for four years, like they have with our Dispatchers. There is nothing stopping the company from demanding further concessions during these "negotiations".

This deal was written by the company, nearly everything in bold in the TA is a new concession the company sought, and most of the stuff that isnt in bold is a concession they got in past agreements. We cant let the company, the International and those who are sympathetic to the company get away with this again. We must vote no and keep voting NO until we get something decent.

 

[TWU informer]

Bob Owens

Did you or any other negotiating committee member sign confidentiality statements or agreements during negotiations?