Drippy Quill
Senior
- Sep 11, 2003
- 262
- 0
November 24, 2004
The parent of United Airlines on Wednesday asked an Illinois bankruptcy judge to allow it to reject labor contracts with its unions if it is unable to achieve additional cost savings by January.
In a filing with the US Bankruptcy Court in Chicago, UAL, which filed for Chapter 11 protection from creditors in December 2002, said the carrier needs an additional USD$725 million of annual savings from its unions.
UAL also asked that all employees' pay be reduced by 4 percent from January 1 until the company emerges from bankruptcy protection. It also wants to remove any requirement in collective bargaining agreements that United maintain any defined benefit pension plans.
A hearing on the motion is expected on January 10, 2005 before US Bankruptcy Judge Eugene Wedoff.
(Reuters)
The parent of United Airlines on Wednesday asked an Illinois bankruptcy judge to allow it to reject labor contracts with its unions if it is unable to achieve additional cost savings by January.
In a filing with the US Bankruptcy Court in Chicago, UAL, which filed for Chapter 11 protection from creditors in December 2002, said the carrier needs an additional USD$725 million of annual savings from its unions.
UAL also asked that all employees' pay be reduced by 4 percent from January 1 until the company emerges from bankruptcy protection. It also wants to remove any requirement in collective bargaining agreements that United maintain any defined benefit pension plans.
A hearing on the motion is expected on January 10, 2005 before US Bankruptcy Judge Eugene Wedoff.
(Reuters)