You're right, there was NO arbitration. It was actually the successorship clause that was waived. All employee groups at TWA did this, but only after AA had obtained control of the company with debtor-in-possession financing and threatened to have the courts throw out the entire labor agreements under chapter 1113 BK if we did'nt. USAirways folks should understand this, as it was the same section of BK law that was used to threaten and intimidate them into losing their pensions.
Mostly true, although the TWA pilots did back down from the DOH position, which really would have been a windfall for them. They hired a consultant to devise a list that reflected the demographics of both pilot groups, nicknamed the "rightful place proposal". It was DOH in some places, ratioed in others and stapled the bottom 130 TWA pilots. It was very similar in methodology to what Nicolau used, and the APA pilots laughed at it and dismissed it summarily. THIS IS IMPORTANT: The legislation that the TWA pilots sought did NOT seek DOH, only that Allegeheny-Mohawk labor protective provisions be applied to the merger, and that an arbitrator be allowed to decide seniority. The TWA pilots would have killed for the opportunity to have George Nicolau hear the case and decide their fate (and still would).
Again, mostly true. The TWA MEC did not realize that they had no leverage, and if they had, there would have been a slightly better deal available. There are, however, some really lingering questions as to how loyal ALPA National was to the TWA pilots and whether more could have been done in light of the fact that they had for years been actively courting the APA to come back to ALPA. That is what the lawsuit is about.
Agreed. And if AA ever merges with another carrier, that same legislation will probably screw the former TWA employees again. It's still the right thing to do, though.
Yep.
It should be noted that TWA was not IN bankruptcy when the merger with AA was announced. The BK was a pre-packaged deal that was planned for and arranged for a year prior to the takeover to void certain contracts that AA did not want. This, as opposed to the condition of US in early 2005 where they were on their 2nd trip through BK in a few years and facing certain liquidation. Still, The Nicolau award was much, much kinder to the US pilots than what the TWA pilots got.
BTW, someone stated that TWA had "many, many" trips through BK. Not true. There were two.