Friday, May 28, 2010

Panel seeks more answers from UAL/CAL on merger

Editorial:
This last Thursday Congress had a hearing on the merger with United Airlines and Continental Airlines. A few of Congressman’s concerns are job loss, higher prices and loss of service.

As I was watching this hearing I just fell on the floor laughing at how some in Congress can take a merger and spin it to President Obama . Senator Cornyn was asking why the head quarters for the new company will be based in Chicago and pointed the blame at President Obama.

Well if he had any insight he have would know that the city of Chicago gave United Airlines $37 million to move to down town. The local government claims the use of tax payers dollars would bring in more revenue and that the employees of United would spend more then $6000 a year. Corporate welfare?? (Mayor Daley is a Democrat; I am an equal opportunity critic.)

If you would like to watch the hearing, Bob the IBT Coordinator out of IAD found the link. Click here (fast fwd to 15 minutes). One thing I would ask is you listen to MR. Tilton and MR. Smisek, MR. Tilton, one word "profit", MR. Smisek, "employees". Tell me what you think, you can email me by clicking on the link on the right hand side of our Blog.

If you would like to read more on the correspondence click here to read the companies response to the Judiciary Committee

Jock

Friday, May 21, 2010

Airline Division Director Meets with UAL and CAL Management

In Washington this week, Airline Division Director David Bourne and IBT Staff Attorney Ed Gleason held meetings with Doug McKeen Vice President of Labor Relations for United Airlines, and Mike Bonds,Vice President of Human Relations and Labor Relations for Continental. The Company officials were in Washington for meetings with the National Mediation Board regarding ongoing contract discussions at their respective properties and the pending merger of UAL and of CAL. Bourne also discussed with McKeen and Bonds, the ongoing negotiations involving the mechanics and related workgroups. They all expressed a desire and a commitment to reach agreements in a timely fashion. In speaking about the meetings, Director Bourne said, “The meetings were very positive and I appreciate both gentlemen taking time to sit down and discuss the negotiations and the merger. I reiterated to both that during the process, we will maintain our neutrality in terms of the merger, however, we intend to monitor both companies very closely regarding the treatment of their employees and their approaches and attitudes both in terms of contract discussions and employee treatment and respect. As is the case in all airline mergers, good, solid working relationships between management and labor are an essential component to success. I am very pleased that we have such relationships with both United and Continental and I am equally pleased that the carriers are as committed as the Teamsters are in strengthening those relationship even more.”

Wednesday, May 19, 2010

Teamsters Demand Transparency On Maintenance Safety, Security Standards

At today’s Alaska Air Group [NYSE: ALK] shareholder meeting, Teamster-represented Horizon Air mechanics and pilots will demand the company disclose the standards used for outsourced aircraft maintenance and how the company enforces those standards.

“Alaska Air Group shareholders know all too well the devastating impact an airline tragedy can have on the security of our nation, the safety of our passengers and the bottom line of business,” said Capt. David Bourne, Director of the Teamsters Airline Division. “That’s why the company’s increased reliance on contract repair facilities, which are not subject to the same regulatory standards as the company’s in-house maintenance operations, is of such great concern to all of the company’s stakeholders.”

This year, Alaska Air Group blocked shareholders from voting on whether the company should disclose its policies related to maintenance standards and oversight procedures, arguing to the Securities and Exchange Commission that it is not a significant public policy issue and therefore not an appropriate issue for investors to consider.

The Transportation Department’s Inspector General has warned that mistakes can be made by untrained and ill-equipped personnel at aircraft repair shops in the U.S. and abroad. It also has found there to be “security vulnerabilities” – including susceptibility to sabotage – at airport and off-airport repair stations.

In fact, according to a Feb. 2 USA Today article, Congress has barred the Federal Aviation Administration from certifying any new foreign repair station until the Transportation Security Administration (TSA) issues a rule to improve security.

Still, Alaska Air Group outsources all of its Alaska Airline’s heavy maintenance and now seeks to outsource all of the heavy checks for its regional carrier, Horizon Air.

“I don’t want the plane I fly to be maintained by the lowest bidder who is not subject to the same regulatory standards as our own mechanics,” said Capt. Trevor Bulger, a 10-year Horizon Air pilot. “Aircraft maintenance is not the place to cut corners.”

“It’s time that Alaska Air Group adopt and disclose a single, enforceable standard for all aircraft maintenance operations to protect the security of our country, the safety of our passengers, and the best interests of our company,” Bourne said.

Teamsters

Tuesday, May 18, 2010

No WSP Grace Period on Cell Phone Enforcement

(Olympia)—The Washington State Patrol announced today that it will not offer a grace period when texting while driving and failure to use a hands-free device become primary traffic offenses on June 10.

It is common for the state patrol to offer an educational grace period when a new law requires drivers to change long-standing behavior.

“Drivers have already had nearly two years to adjust their driving habits,” said WSP Chief John R. Batiste. “We will fully enforce this law from day one.”

Laws prohibiting texting and requiring hands-free devices took effect in 2008, but have been considered secondary violations. Officers had to witness some other infraction in order to make a traffic stop. The new designation as primary offenses mean police can stop drivers for a texting or cell phone violation alone.

Batiste is disappointed that the laws’ previous status didn’t win more voluntary compliance. In some cases there was outright defiance.

“They would look right at our troopers with phones held to their ears,” Batiste said. “They knew that without another violation we couldn’t do anything.”

The texting and cell phone requirements are intended to save lives and reduce injuries by eliminating these two major sources of driver distraction.

Since the laws went into effect in 2008, WSP has written approximately 3,000 tickets and given about 5,900 warnings. The patrol believes the number of collisions caused by inappropriate use of mobile devices is greatly under-reported.

“Few drivers are going to admit they were on a cell phone, or texting, after a crash,” Batiste said. “We are choosing to take action before a collision occurs in hopes of preventing these needless tragedies.”

The fine for a violation is $124.

Thursday, May 13, 2010

Interesting Article

SAO PAULO (Dow Jones)--The company arising from the proposed merger of Continental Airlines Inc. (CAL) and UAL Corp.'s (UAUA) United Airlines will initially focus on integration and it is premature to talk about the possibility of taking stake in Brazilian airlines, Jeff Smisek, the chief executive of Continental and the planned CEO of the merged company, said Thursday.

"We plan to work with our new partner (Brazil's leading airline) TAM in the region," he told Dow Jones Newswires at an event in Sao Paulo.

On Thursday, TAM S.A. (TAM, TAMM4.BR) joined the Star Alliance group of global carriers of which both United and Continental are members.

Brazilian lawmakers are considering proposals to raise the limit on foreign shareholdings in Brazilian airlines to 49% from 20%, widening the scope for strategic alliances with international carriers.

According to Glenn Tilton, chief executive at United Airlines, the merged airline, which would be the world's largest, will focus on cementing the alliance formed with TAM as means of expanding coverage in South America.

Newswires


-By Alastair Stewart; Dow Jones Newswires; 5511 3544-7072; alastair.stewart@dowjones.com

Tuesday, May 11, 2010

Teamsters Applaud Federal Rule Change

Teamsters General President Jim Hoffa today applauded the National Mediation Board for changing a federal rule that now makes it fairer for airline and railway employees to form unions.

The rule change was published online today in the Federal Register and affects more than 570,000 airline and railway employees. The rule change allows workers to form a union if a majority of the employees who vote support it.

Click here for the rest of the story

Monday, May 10, 2010

UAL-CAL Proposed Merger – IBT Update

"Updated" As you know, on May 3, 2010, UAL Corporation (UAL) and Continental Airlines (CAL) announced their agreement to merge “as equals.” As is the case with all airline mergers, the UAL-CAL merger and all of its details are complex, will require many layers of United States and foreign government approval, and will take quite some time before it actually is completed. That said, however, UAL and CAL have stated that they expect these approvals to be concluded and the transaction to be closed by the end of 2010. Additionally, while UAL and CAL work towards completing the transaction, they have committed in their merger agreement to honor their existing collective bargaining agreements.

The UAL-CAL proposed merger raises a number of labor-related questions that affect you as Teamster-represented employees at both carriers. Mergers also tend to create a large number of rumors, some of which have some basis is fact and reality, and others which don’t.

In order to provide you with hard facts relating to the merger and in an effort to minimize the disruption caused by ill-founded rumors, we will periodically post “Q&A” Updates. This is the first such Update, and addresses some of the important, basic issues and questions relating to the proposed UAL-CAL merger.

Click here to view the Q&A from Continental Airlines.
New Q&A from the Airline Division

Friday, May 7, 2010

Special Edition TAMC Newsletter Out

Dave has a very good articles on Airlines and bankruptcy, aslo an arbitriation win for the mechanics at Frontier Airlines. Lastly a joint venture between Chris Moore, TAMC Chair and Tim McAninley, TWU-ATD Communications Coordinator on "Professional Responsibility".
Click here to view it.

Jock

Annual Hearing Testing

Attn: United Seattle Employees,

On June 1st and 2nd, 2010. There will be a mobile hearing test vehicle in Seattle to perform annual hearing tests for all employees.
It will be at the GSE building:
June 1st – 06:00 until 17:00
June 2nd – 14:00 until 22:00
Before you show up for your hearing exam, you need to fill out two forms in advance.
1. Audiometric Examination Record
2. Patient Consent: Audiogram testing
Both are available from your Supervisor.
If you do not elect to have your hearing tested, you need to sign the “Audiometric Testing Refusal Form”, also available from your Supervisor, and it will be put into your personal file.
If you are not at work on these dates, you can go to US Healthworks and have you hearing test accomplished.

Thursday, May 6, 2010

AA and the TWU

AA and the TWU reached a Tentative Agreement for the Mechanic & Related Contract, May 5, 2010. You can read a summary of changes here.

Wednesday, May 5, 2010

Merger Process

To see the process for the merger between United and Continental click here for a flow chart

Merger is Discussed

The Union negotiating committee met in Chicago on May 3rd and May 4th to discuss the many aspects of the merger announced by United and Continental on May 3rd. The committee discussed the impact that such a merger will have on seniority issues, including the legal process and practical matters relating to seniority integration and NMB “single carrier” determinations.” The committee also discussed various negotiating scenarios and tactics now that the merger has been announced. The committee also developed questions for inclusion in a “Q &A” memo that the Airline Division will distribute to both the United and Continental mechanics’ groups. The Continental mechanics are also developing questions for inclusion in the memo.
According to press reports, if the Government approves the merger, such approval will not come until late this year or early next. In the meantime, independent United and Continental negotiations are continuing. We are working with UAL to secure future negotiation dates and expect that we will be back at the table shortly. Continental negotiations are set for the week of May 24th to the 28th.
Concerning the possible merger with United, the negotiating committee is working in conjunction with the IBT Airline Division and the IBT Legal department to address the membership’s concerns with a memorandum. The current UAL collective bargaining agreement does address Successorship and Mergers in Article III. In addition to the information found there we have included Sections 3 and 13 of the Allegheny Mohawk LPP’s.
Section 3. Insofar as the merger affects the seniority rights of the carrier’s employees, provisions shall be made for the integration of seniority lists in a fair and equitable manner, including, where applicable, agreement through collective bargaining between the carriers and the representatives of the employees affected. In the event of failure to agree, the dispute may be submitted by either party for adjustment in accordance with section 13.
Section 13. (a) In the event that any dispute or controversy (except as to matters arising under section 9) arises with respect to the protections provided herein which cannot be settle by the parties within 20 days after the controversy arises, it may be referred by any party to an arbitrator selected from a panel of seven names furnished by the National Mediation Board for consideration and determination. The parties shall select the arbitrator from such panel by alternatively striking names until only one remains, and he shall serve as arbitrator. Expedited hearings and decisions will be expected, and a decision shall be rendered within 90 days after the controversy arises, unless an extension of time it is mutually agreeable to all parties. The salary and expenses of the arbitrator shall be borne equally by the carrier and (i) the organization or organizations representing employee or employees or (ii) if unrepresented, the employee or employees or group or groups of employees. The decision of the arbitrator shall be final and binding on the parties.
(b.) The above condition shall not apply if the parties by mutual agreement determine that an alternative method for dispute settlement or an alternative procedure for selection of an arbitrator is appropriate in their particular dispute. No party shall be excused from complying with the above condition by reason of having suggested an alternative method or procedure unless and until that alternative method or procedure shall have been agreed to by all parties.

Tuesday, May 4, 2010

IBT Press Release about the proposed United-Continental Merger

Here is a link to the Press Release. Here

Also if you would like to see both United's and Continental's mechanics agreement. Thanks to Bob Fisher out of IAD was kind enough to provide some server space.
United
Continental

Daily Hub Capacity.

Departures
Huston: CAL 662 UAL 12
Chicago: CAL 23 UAL 615
Newark: CAL 409 UAL 18
Denver: CAL 13 UAL 424
San Francisco: CAL 15 UAL 424
Wash-Dulles: CAL 10 UAL 294
Los Angeles: CAL 26 UAL 197
Cleveland: CAL 178 UAL 14

Source Aviation Daily

"Let's Fly Together"

For more information on the up coming merger the companies have put together a web sit. Here is the link. www.unitedcontinentalmerger.com

Sunday, May 2, 2010

Continental, United airlines agree to merge

The deal is done: Continental and United airlines have agreed to merge.
Both company's boards met on Sunday and approved the merger, according to sources familiar with the proceedings. A formal announcement comes early Monday.
The carrier will be based in United's home of Chicago and take United's name, the sources said. Jeff Smisek, chairman, CEO and president of Houston-based Continental, will be CEO of the merged carrier and he will have offices in Houston and Chicago, they said.
United's CEO Glenn Tilton will become non-executive chairman until Dec. 31, 2012, or on the second anniversary of the closing of the deal, whichever is later. Then Smisek takes the helm as chairman.
The deal — which had earlier bogged down over price — will be an all-stock swap. Continental shareholders get 1.05 United shares for each Continental share they own.

Full Article Click Here