BPR Special Meeting Recap (Day 1): May 1, 2012
The Board of Pilot Representatives meeting began at approximately 0905 ET on Monday, April 30, at the USAPA offices in Charlotte. All BPR members where present with the exceptions of Eric Ferguson, DDR for John Scherff; George Maliga, DDR for Roger Velez; and Jamie Wiedner, DDR for Eric Jordan.
After President Hummel called the meeting to order, he addressed possible reordering of the agenda. Extensive discussion was conducted before approving the following agenda (to be conducted in specific order):
In addition to Officer Reports, the agenda will include:
1. Prepare for APA President Bates with Legal/Merger/NAC
2. Briefing by APA President David Bates
3. Board review after Bates briefing with Legal/Merger/NAC/Business Intelligence including Review of BPR and Officer Communications
4. Interview of Professional Negotiators
5. Interview of Negotiating Committee candidates
6. Resolution concerning the recording of BPR meetings
7. Committee appointments
8. Discussion on a Professional Standards Initiative with US Airways Chief Pilots
9. Board discussion and resolutions concerning the Pension Investigation Assessment
10. Age 60 PBS resolution
11. Discussion with USAPA General Counsel Brian O'Dwyer including:
a. Dismissal of NY status quo litigation
b. NC Permanent Injunction
c. LifeLock Protection
12 Briefing and discussion of Office Staff
13. Review of past Board business that has been tabled for needed actions and/or possible dismissal
14. (Day 2 at 1000) Doug Parker introduction and presentation to the BPR on Tuesday, May 1st
The Board of Pilot Representatives further agrees the agenda may be reorder to accomplish time critical actions for the pilots.
The amended agenda passed by unanimous vote.
At approximately 0945 the Board voted to go into executive session unanimously.
At 1220 the BPR returned to "Open Session" and broke for lunch.
At approximately 1300, President Hummel reconvened the BPR meeting for a presentation from Allied Pilots Association (APA) President Dave Bates and APA Negotiating Committee Chairman Neil Roghair.
Captain Bates discussed how the original process began back when US Airways was looking for a merger partner. In January, US Airways had a team talking with various Wall Street contacts and concluded with a meeting between Doug Parker and the APA. The original meetings were kept quiet and limited to a few members of the APA board. Those meetings led to a meeting in Phoenix. According to Captain Bates, the expectations were low, but the results were high. Dialog was conducted with the previous USAPA President but it was decided to wait until after the USAPA Officer elections to continue talks.
Captain Bates then discussed the current status with American Airlines (AMR) and the results of the discussions with US Airways. AMR is suffering from a poor corporate culture and has lost its previous leading position with business travelers. AMR is currently in bankruptcy and the unions are facing a 1113 motion by AMR to reject their Collective Bargaining Agreement (CBA). The discussions with US Airways were surprisingly productive and resulted in a Conditional Agreement that will exceed current Delta pay rates in the second year of the agreement. Captain Bates continued that the merger process will not be easy, as it has big obstacles and strong opponents.
However, if the CBA succeeds, Captain Bates stated that they need other pieces to fall into place such as a new Transition Agreement, fences, and then the representational issues (who will represent the pilots: APA, USAPA, Teamsters, etc). The last issue that will have to be addressed is seniority, which is governed by the McCaskill-Bond Amendment. Captain Bates also pointed out that the APA is neutral on the current USAPA seniority issue.
Extensive questions were then accepted and answered from pilots in attendance regarding the terms agreed to by APA and US Airways. Of note:
Seniority will be address at a later date.
The majority of APA's required concessions ($130 million) are frozen pensions and in productivity.
Seat pay protection and furlough protection.
US Airways management agreed not to lose one pilot job.
APA wants USAPA's help so that everyone is happy with our future contract. The 1113 motion will be decided by bankruptcy court by June 6.
APA Negotiating Committee Chairman Neil Roghair then continued the presentation with saying APA "tried to put ourselves in your shoes." Captain Roghair commented that the current agreement with the APA and US Airways included Airbus Narrow-Body pay rates of $171/hr at Date of Signing (DOS) and approximately $200 at year five. The Airbus 330 rates will be $216/hr at DOS and $250/hr at year five.
Captain Roghair then discussed the transition to a Preferential Bidding System (PBS) and scheduling parameters similar to Delta. The flying cap will be 83 hours but allow the ability to fly to FAR's. The 12-month average maximum will be 90 hours per month. Work rule changes for the APA will include a new trip trade system, PBS, duty day and augmented flying provisions, crew rest seats (APA has better provisions, which include blocking of the adjacent seat), and sequence protection. One big issue is to preserve the provision that requires reserve pilots to be "reasonably available via ground transportation."
Captain Bates concluded that negotiations are not over, but Management shows a willingness to negotiate. After their presentation, questions from the BPR and the members at large were answered. Extensive questions from the Board and pilots at large were answered by Merger Counsel Pat Szymanski.
At approximately 1550, a 10-minute break was taken.
Questions and answers continued until approximately 1600 when Scott Haglund, professional negotiator for the Teamsters, made a presentation to the Board, followed by questions and answers from the Board and pilots at large.
At approximately 1700, the Board went into closed Executive Session to discuss Agenda Item 3: Board review after Bates briefing with Legal/Merger/NAC/Business Intelligence including Review of BPR and Officer Communications.
The Board recessed at approximately 1845 to reconvene at 0900 ET today, May 1.
