American Airlines Flight Attendants "Narrowly Reject" Concessions - AMR Headed For Bankruptcy

Fox News Channel ^ | April 15, 2003 | N/A

[kcvl]

It's not just them (flight attendants) that it will be hurting it's about 8 to 10 thousand other people!


"If the company declares bankruptcy, it could result in another 8 to 10 thousand job losses."

[discostu]

See what I mean, here we have a union refusing to allow their dieing company one last gasp of air and hope for survival. Unionizing is never an solution.

[ambrose]

I don't get the WNBA references. Is the WNBA about to go belly up?

[Hodar]

Reminds me of a relative who is a pilot for a major recipient of the multi-Billion dollar bailout (at taxpayer expense). Pilots got a 30% raise, Corporate VP's got a 40% raise. Then, as the money was spent, the Pilots were asked to give 20% back, while the VP's wanted to keep their money.

Yep, that's how our tax-dollars were used by the major airlines, to dole out raises to a select few; not to stabilize the industry. I say, let the bankruptcies start rolling in.

[b4its2late]

IMHO, not too bright. They're cutting off the hand that feeds them.

[Doctor Stochastic]

Some time ago PBS ran a two hour show on the demise of Eastern Airlines (anyone remember them?) When they went under, throwing thousands out of work, the head of one of the unions said, "I've been working 50 years to kill Eastern."

[kcvl]

American Airlines, the world's largest carrier, is in much the same position as United. It is awaiting votes on most of $1.8 billion in annual labor concessions that it negotiated with its labor groups last week. Its unions are expected to deliver results of the voting on Tuesday.

Union leaders have said that members are uneasy over the cuts because they last for so long — six years — and provide for annual raises of only 1.5 percent. Officials at that union halted voting late this week because of disagreements with American over terms of the concessions, but voting resumed yesterday.

[Phantom Lord]

My cousin is an American Airline Stewardess.

Not for long.

[The Old Hoosier]

Oh, don't worry. The federal government will save them from having to compete in the marketplace.

[kcvl]

April 3, 2003

American's flight attendants would take 15.6% pay cut

American Airlines' flight attendants would see their pay cut by 15.6 percent effective May 1 under their proposed wage concession with the airline.

The Association of Professional Flight Attendants, which represents American's 26,000 flight attendants, released a summary of the concessions on the public area of its Web site. The concessions also include no pay increase effective Jan. 1, 2004, and a 1.5 percent salary increase on May 1 of the years 2004 through 2008.

In addition, flight attendants would no longer receive furlough pay, holiday pay, longevity pay, or night pay, and would see their vacation reduced by 33 percent. Concessions also include eliminating benefits for overage leaves, crew meals and part-time flying.

Although the summary available to the public does not mention any layoffs, various media reports have said up to 2,000 flight attendants would be laid off under the plan.

The flight attendants' retirement benefit plan would remain unchanged, the union said.

The proposed agreement also includes profit sharing of up to 15 percent of eligible pay, if a threshold is met. The union would receive 17.9 percent of 37.88 million outstanding AMR shares, as well.

Union members must vote on the proposed agreement before it takes effect.

American Airlines asked its three unions to make $1.8 billion in permanent cost cuts in order to stave off bankruptcy.

[Dog Gone]

Trading in the shares was halted about 45 minutes ago.

[chiefqc]

So stupid, let me see what is better:

Make some concessions, keep my job, and feed my family

OR

Make no concessions, lose my job, collect unemployment, continue to pay union dues.

Duh, I don't know let me ask my local union leader as soon as he returns from golfing.

Talk with just as he was leave for a vacation for four week at some resort. Could'nt go into detail and explain entire reason, vacation you know, but advised me to not give into any concessions.

Assured me he would look into the problem when he returned from his extend vacation, in the mean time hang in there he's with us all the way, oh and by the way don't miss any dues payments or I would be out of the union and then he would not be able to help me at all.

Just before hanging up to rush off for his vacation he wanted to know what my name was again so that he would remember it when he returned. Had no pen to write it down but don't worry he has a good memory, see you later uh, uh, uh oh whatever good bye.

[RooRoobird14]

I'm sure none of us would want to willingly accept pay and benefits cuts, but good grief--are the flight attendants on drugs or something?

Their "professional skills and experience" will (if they're lucky) get them covetted graveyard shift waitress positions at Denny's.

[WhatHappenedtoAmerica]

As a pilot for American that voted for these cuts, it stinks that a few hundred FA's will be responsible for our company (probably) filing bankruptcy. One thing many of you aren't aware of is that the FA's got a great new contract just before 9/11. I hadn't heard of one that wasn't pleased with it. Now after 9/11, a terrible economy, a war, increased competition and a company on the verge of bankruptcy what is their response? They haven't given up one thin dime. It's too bad they won't have to bear the brunt of what follows. Such is life.

[John Jorsett]

The trouble with brinksmanship is that sometimes you go over the brink. Sounds like one of those times.

[kcvl]

It is currently 1:50 P.M. Central Time. The APFA Board of Directors continues to meet at this hour to discuss the results of the APFA Ballloting. At the conclusion of the call, the hotline and the web site will be updated.

---

It is 11:50 Central Time on Tuesday, April 15, 2003. This is George Price, APFA National Communications Coordinator, with a special APFA Hotline Update.

The APFA Board of Directors will meet via conference call at 12 Noon Central Time to discuss the results of the APFA balloting on the company's restructuring participation agreement.

Once the Board has been briefed, we will update the hotline and the web site with the results.

The volume of calls coming into the APFA regarding the results has inundated the APFA switchboard. We ask members to be patient and rely on the web site and the hotline for information to the extent possbile.

Thank you for calling.


http://www.apfa.org/public/Hotline/hotline_top.html

[MaggieMay]

Mine is also.

[bneal]

FYI, United Airlines were faced with approximetly the same cuts and the Bankruptcy Courts reduced the cuts to only 9%. They made out in court OK so far. I wish they would post the "actual" cuts which would cause tired and overworked flight crews. Wanna fly on one of those flights?

[PBRSTREETGANG]

Is the WNBA about to go belly up?

Well the league would already be "belly up" if it wasn't subsidized by the NBA. At this point in time, since their collective bargaining agreement expired last September 15th, the players felt this was a great time to hold out for more perks such as free agency. Unfortunately, for them, they are completely out of touch with the economic reality in 2003. I believe they have a deadline to reach a labor agreement by this Friday (the sides don't seem remotely close) or the next season will be canceled.

[mewzilla]

They'll find out the hard way. Taking a cut isn't pleasant, but it beats unemployment and no bennies at all.