Ruling in the RUL Arbitration

The arbitrator has issued a ruling in the resource utilization arbitration case. Unfortunately the arbitrator denied the grievance. A copy of the award can be found here: 

http://teamsterair.org/sites/teamsterair.org/files/uploads/ibt_united_rul12715_oanda.pdf 

The post hearing briefs and transcripts will be posted right after the holidays.

Ratification Process Update

Ballots, along with the complete company proposal, should be in the mail this week and will be counted on January 25th. The ballot will contain two questions; the first is whether or not you accept the company proposal and second; an authorization to seek release from mediation to enter self help, or as it is more commonly known, a strike vote.  

The proposal along with the mechanic seniority list can be found at: 

www.teamsterair.org.  

A report from the seniority integration committee will be posted on the website this week. In addition, the flight simulator technician seniority list will be posted. Please look for your Local’s updates to determine when and where informational meetings may be held. Tele town halls will also be held to answer questions on the contract and the proposed health and welfare benefits. Look for those times to be announced in a future Dispatch.

Information On Proposed Contract For UAL Mechanics Now Available

United Airlines has made a final contract offer. The ballot for ratification by electronic voting will be mailed to United Airlines Teamsters’ homes before December 25, 2015, and will be counted at noon (Eastern) on January 25, 2016.

Click here for the contract changes.

Cover letter from the Airline Division

Brothers and Sisters,
The UAL Proposal, which is available on our website at http://teamsterair.org/node/2400, is the complete close out proposal given to the union negotiating committee by the company. While it would certainly have been better if the parties were able to reach a tentative agreement, that did not happen in this step of negotiations. The Company passed what it characterized as a comprehensive close-out agreement to the union committee, and the union committee believed that the company’s close-out proposal met conditions of a “last best and final” offer that should be presented to the membership for a vote. It is now up to you to determine the next course of action. A yes vote on the proposal would mean that this proposal would become the new amalgamated agreement, and a no vote would send the parties back to mediated negotiations, following the process of the Railway Labor Act.
The ballot for ratification by electronic voting for the United Airlines Proposal will be mailed to your homes before December 25, 2015, and will be counted at noon (Eastern) on January 25, 2016.
There are significant changes in this proposal from the current three standalone Agreements covering the s-CAL, s-UAL and Air Micronesia mechanics. Some of those changes are positive, some neutral and some are negative.
To begin, the company’s proposal represents a total economic increase of approximately two hundred million dollars annually, which represents an improvement of over $22,000 to topped out members above current compensation in each year of the contract. This increase is offset somewhat by other economic work rules, however, as you will see in the paragraphs below.
The improvements include an initial 25% increase in wages on the date of signing; an average bonus check of $9000; furlough protection for everyone on the seniority list with facility protection for the SFO Maintenance Base and the Houston Maintenance Base; sUA restoration of two floating holidays and 100% pay for sick leave; sCO faster vacation accrual; a buy out of up to one hundred thousand dollars; and several less significant improvements that were bargained over the course of negotiations.
The offsets to the above improvements include mostly those things that were not finalized in bargaining. They include a longer scale for new hires; a 10-year recall right that eliminates the recall rights of a majority of those currently on furlough, all of whom today have lifetime recall rights; a reduction in the profit sharing formula down to 5% of pre-tax profit with a trigger for 10% of pre-tax profit in excess of a pre-tax margin of 6.9%; a change in the duty time limits; and several other matters that can be found in the attached package.
The company’s proposal also maintains the current CARP pension plan for existing s-CAL mechanics and gives the current s-UAL mechanics an opportunity to vote to become participants in the CARP (including current s-CAL 401k matching contributions) or to opt instead to retain s-UAL’s current 401k mandatory company contributions with increases of $100, $200, or $300 monthly, depending on years of service, in the company’s mandatory contribution. The company’s pension proposal would also eliminate new entrants into CARP if the sUA group elects not to enter, and all new hires would be covered only by a 401k plan.
The health and welfare benefits contained in this proposal would be an improvement for a slight majority of the group and an increased cost over the current plans for the rest of the group. The proposed plan is better, however, than the 2016 company offered health and welfare benefits, which was the company’s original benefits position, for a vast majority of the membership.
To be clear, the offsets to the improvements in this proposal are sizeable, and we urge you to please review the entire contract carefully to determine whether it is acceptable or not. Most Locals will be holding informational meetings in order for you to get a better understanding of the company’s proposal. It is now up to you to make the decision on how to proceed.
Fraternally,

David P. Bourne, Director
Clacy Griswold, Int’l Representative Teamsters Airline Division UAL Negotiating Committee Chairman
Robert C. Fisher, Int’l Representative UAL Negotiating Committee Co-Chairman

Negotiations Update

 Negotiations Update

October 23, 2015

 

The International Brotherhood Teamsters today announced an agreement to put a proposed joint contract out for ratification for members working at United Airlines. The deal, if approved, would cover the company’s aviation maintenance technicians and related workers.

The proposed contract would combine the subsidiary groups of workers formerly associated with Continental and Continental Micronesia with United. In all, more than 9,000 technicians and related employees would be covered under the single agreement. 

The IBT and United worked under the guidance of the National Mediation Board to conclude the negotiations. Details of the proposed agreement will be released shortly. Voting on the contract will begin within one to two weeks.

Negotiations Update

October 1, 2015

Meetings were held through the weekend (12 hour sessions) and into this week in an effort to conclude the bargaining and reach an equitable deal for the membership.  United passed a comprehensive proposal to the union on Saturday.  The committee at-large and various sub-committees spent Sundayin discussions to develop a comprehensive counter proposal.

We presented the counter on Monday and spent the next day’s waiting on response from the company.   While waiting, sub-committees continued working out the final remaining open issues.  

Both parties’ proposals included the “four corners” needed to achieve an agreement: wages, healthcare, scope, and pension, but the final vision of the two sides remains drastically different. We had hoped that the change in leadership at United would create a more realistic direction in finally fulfilling their long standing promise to technicians.  We had also hoped that the new regime would recognize our sacrifices and hard work in helping to create the most profitable quarters ever enjoyed by this company.  Unfortunately, the new direction that has been advertised to the public has not yet made its way down to the company negotiators and we are stuck with more of the same.  

Although both parties worked long hours throughout the two weeks, it became clear that we would not conclude bargaining and come to an agreement in principal during this session. The direction of the company made it evident to us that they would need to expand their economic platform if they intend to come close to our member’s expectations. 

With that realization, we suspended talks for this session. Our desire is that the company representatives go back to their leadership and discuss the current situation. We are prepared to continue towards reaching an agreement that will satisfy the membership or the union will move to the next step of bargaining process. Hopefully the company will recognize the opportunity that is now available to them and make some real efforts to create a fix.   

Additional sessions have been scheduled in mid-October to continue towards our goal of an industry leading agreement.  

Negotiations Update September 5, 2015

FST Sub Committee Meets 

The Flight Simulator Technician subcommittee met with the Company September 1^st through the 3^rd in Houston. On the 3^rd, the subcommittee successfully concluded discussions regarding all outstanding non-economic proposals for the Flight Simulator Technicians and Related Members. As a result of this weeks’ bargaining, the FST group has now been successfully integrated into the amalgamated Technician and Related Agreement. It was extremely important to have this subcommittee’s work completed before the scheduled two weeks of mediated negotiations beginning September 21^st. With this work complete, the FST subcommittee can focus its attention on the outstanding economic issues in lock step with the Technician and Related Negotiating Committee.  

TeamCare Update 

Monday September 1^st a meeting was held at TeamCare headquarters in Rosemont IL. TeamCare and Union Representatives discussed outstanding issues related; for the most part, to administration aspects of our benefits proposal. Prior to this meeting, the Union Benefits committee received the information from United Airlines for 2016 benefits and costs. The subcommittee is confident, from what was reviewed, that the proposal the committee ultimately brings before the members will provide an enhanced benefit over company provided benefits. The subcommittee is attempting to setup an additional meeting with TeamCare and Company representatives prior to our September 21^st negotiation session.

Mechanics Update - August 14, 2015

The parties met this week in Las Vegas.  Among the items addressed were an IBT counter proposal to the Health and Welfare (Article 16), Letters of Agreement, and facilities maintenance Article 3 issues. The facilities committee is very close to agreement on language terms for this section.  Further discussions were held regarding JFK with 3 LoA’s signed, preserving as many local positions as practicable. The MSAP program was also discussed in a separate subcommittee.

The IBT Health and Welfare subcommittee met on Tuesday, in an internal caucus with IBT Legal Counsel Ed Gleason and Benefits Actuary Gaelle Gravot of Cheiron, to address language issues in the Article 16 proposal as well as developing a counter to the Company’s most recent proposal.  The amended IBT health care proposal was passed to the Company on Wednesday. A new counter proposal from the company is expected in the next round of talks.

LOA’s from all three CBA’s were discussed, resulting in some new LOA’s which were discussed to address new circumstances or clarify existing ones. In addition, some obsolete LOA’s were removed by mutual agreement.  Some existing LOA’s will be amended as changes to contract language dictate.

Articles Article 3 and Article 6 were TA’d for the body of the language. There are a few LOA’s tied to these Articles which still remain open. Article 14 was discussed through the week and great progress was made towards the finalization of this Article.

Members from the Seniority Committee were on hand again this week to continue work on merging the lists. Unfortunately, this small group is not able to work continuously due to scheduling conflicts with other meetings involving the Company’s representative to the committee or the IBT committee members. Although the meeting opportunities are limited, the committee remains on hand to take advantage of any availability to meet and continue merging the list. During this week, the committee continued to address adjustments in company seniority and put together a check list for the next meeting. The committee spent a majority of their time together resolving many outstanding seniority disputes from many sUA, sCMI, and sCO stations. We were able to resolve most of these protests to the satisfaction of the members. Some of these complaints had been several years old and we are pleased that many of these matters were settled.   

There will be sub-committee meetings scheduled, interim to the next scheduled round of formal negotiations in September, to address language on several remaining non-economic articles.  All agreements reached in these meetings will come before the full committee for review and approval prior to being signed.

Mechanics Update, July 31, 2015

The parties met in Las Vegas the week of July 27, 2015 at the direction of Mediator McGuckin. The process of working in subcommittees continued through the session. Several Articles (listed below) required adjustment/clarification prior to being TA’d. The FST negotiations committee and the Company met through the week to discuss language applying to their craft. The FST negotiation committee will meet with the company September 1^st -3^rd in IAH.

Discussions continued on Article 16 (Benefits). The Company’s Article 16 proposal was presented and meetings were held to clarify their positions on several items. The full benefits committee will be present, and briefed, on the results of those talks during the August 10^th session. This will happen before the Article is presented to the full rank and file negotiating committee. Input is required from TeamCare on costing issues prior to a full economics benefit pass. Once approved by the committee, the counter proposal will be presented to the company.

The Article 14 (Safety and Health) subcommittee had productive discussions during the week and presented the Article to the full committee for approval. This was then passed to the Company. The Company countered, and the subcommittee is in the process of review. Discussions will continue with the Company during the next session.

Article 5 (Vacancies) was TA’d late on the evening of the 30^th along with an LOA regarding how supervisors that hold seniority may return to the craft in the future. Article 6, (RIF and Recall) discussions are ongoing, but will need input from Legal prior to finalizing language for this Article.  Article 21 (General and Misc) and Article 22 (Transportation) were finalized in subcommittee. These Articles were reviewed by the negotiations committee and TA’d.

A special committee on JFK met with Company representatives in ongoing discussions regarding issues surrounding our members stationed there. It is the goal of this committee to minimize disruptions for members in the New York point.

The tenor of the talks remained positive through this session. Negotiations will resume August 10^th in Las Vegas at the direction of the Mediator.

Negotiations Update

 

Sub UA Medical Arbitration Update 

As many of you are aware, the 60 days time frame prescribed by the arbitrator in this decision has passed. The arbitrator contacted the parties for a status update and she was informed that an information request was made by the Division, that the Company had provided information and that the Division's actuary, Gaelle Gravot, was digging through the data. The arbitrator then suggested since it appeared the parties were making progress she would not immediately reconvene the panel. If however it looks like the parties are unable to come to agreement she would quickly schedule the remedy hearing. 

JFK Update 

The Airline Division informed the Company, without prejudicing its position in the current RUL arbitration that the Company was in violation of the resource utilization letter. The Company disagreed and per the terms of the letter a summit meeting will take place. If the matter cannot be resolved then the issue will move forward to arbitration. Copies of the letters between the Division and the Company can be found on the Airline Division website (www.teamsterair.org) or by clicking the links below: 

http://teamsterair.org/sites/teamsterair.org/files/uploads/pdm-bourne2015-07-06ltrrejfkredeployment.pdf 

http://teamsterair.org/sites/teamsterair.org/files/uploads/07915bourneltr_tomckeen.pdf 

 

FST Committee Meets in Chicago 

On Thursday, Gene Bray, Randall Overstreet, Don Ramsey, Bob Fisher and Clacy Griswold had an opportunity to meet and discuss, with Company representatives, objectives and processes for furthering our goal in reaching an amalgamated agreement. The open discussions included maintaining our current process and supplementing our time spent in the Technician negotiations in sub-committee meetings with the Company, addressing issues and language concerns from both sides. To better facilitate these discussions we are going to bring the full committee back together the last week of this month. Depending on the progress made, dates will be set accordingly to maintain momentum and in paralleling the Technician advancement in mediation. We will update accordingly as we have during previous negotiations. 

TAMC Newsletter is Ready

The new edition of the Teamster Aviation Professional is ready to read. Volume 6, Issue 2 of the newsletter includes detailed reports on recent actions and negotiations at United Airlines, the TAMC role at the Aerospace Maintenance Competition, the ongoing push to end unfair subsidies at Gulf nation carriers, and much more! 

Click here to read the newsletter. 

Articles and reports in this edition include:

• Airline Division Board & Staff Meet at Unity
• UAL Mechanics Picket Shareholders' Meeting in Chicago
• TAMC Report on the 2015 Aerospace Maintenance Competition
• Airline Division Director Capt. David Bourne Hikes for Wounded Vets
• TAMC Support for Allegiant Pilots Continues Following Investigation
• Teamsters Partner with Industry, Unions in Open Skies Fight
• Airline Division Rep Bob Fisher Speaks to Students at Embry-Riddle
• Negotiations Roundup: ExpressJet, Frontier, NetJets, and United Airlines 

The Teamster Aviation Professional is the official newsletter of the TAMC. Its pages are filled with essential news and information from Teamster airline mechanics and leading TAMC members who are fighting every day for airline safety and the advancement of our craft. 

The TAMC is the voice of airline mechanics - and this is our publication. The newsletter is distributed electronically and is designed to reach mechanics nationwide. It keeps aviation mechanics up to date on the issues that are important to us. In addition to updates from the Airline Division on what the TAMC is doing on Capitol Hill and throughout the industry, the newsletter regularly includes articles from members that deal with topics from ASAP to outsourcing. 

Check out the latest issue of the Teamster Aviation Professional today!

Willis Tower Rally and Picketing

Over 100 IBT members gathered at Willis Tower in Chicago on June 10th in a show of strength and unity to demonstrate frustration with the Company's lack of urgency in negotiating the promised industry-leading contract for United Technicians. The picketers were so loud and boisterous at 233 Wacker Drive that they could be heard in the shareholders meeting being held 10 stories above. They were so raucous that they could be heard all the way to Lake Michigan, according to reports of passersby.

Several of the demonstrators also attended the shareholders meeting. These Teamsters accounted for roughly half of the total attendees at the meeting. Several of the Teamster members in attendance asked questions of Jeff Smisek and the Board of Directors, related to the Company’s finances, governance, and operations. Canned answers were given and were of no meaningful substance. Meeting attendees believed this action by the Company showed blatant disrespect for its technician workforce. Mr. Smisek promised additional time for questions at the end of the meeting but, contrary to that promise, he and the BOD cut short the promised Q&A and unceremoniously walked out of the room to jeers from the IBT represented share owners.

The demonstration and shareholders meeting activities were coordinated; and advice given, by Carin Zalenko and Louis Malizia of the IBT Capital Strategies Division. Carin and Louis held a pre-rally meeting on June 9^th that lasted several hours to prepare those that would be asking questions at the shareholder meeting. Pictures and video were taken by Fred Nye and should be on the Airline Division Page soon.

In a press release prior to the event, rank and file negotiator John Laurin, a 29-year United Airlines maintenance technician; explained the need for the protest by saying, “as employees and shareholders of this company, we have a long-term interest in the success of the airline and it’s time for management to do the right thing and offer us a well-deserved, industry-leading contract.”

“I would like to thank all those who attended the event” said Division Representative Bob Fisher. “In addition, I would like to also thank the Local Principal Officers for doing whatever it took to get their members to the event in such large numbers.”

Future activities and demonstrations are being planned and will be announced when finalized. Rank and file member cell phone videos of the June 10^th demonstration are posted at:

https://www.youtube.com/channel/UC7YF9kQqjHVjnmJJLZzuZfA

To view press coverage of this event, click the links below:

http://www.bizjournals.com/chicago/news/2015/06/10/united-airlines-mechanics-pound-the-war-drums-as.html?ana=yahoo

http://www.chicagotribune.com/business/breaking/ct-united-airlines-protest-0611-biz-20150610-story.html

http://www.marketwatch.com/story/united-airlines-maintenance-workers-warn-shareholders-of-problems-at-airline-2015-06-10

Interviews are ongoing with radio stations and if they are picked up the clips will be linked in the next Dispatch.

Special Update

June 9, 2015

 

UNITED AIRLINES MAINTENANCE WORKERS TO WARN SHAREHOLDERS OF PROBLEMS IN THE FRIENDLY SKIES

Teamsters to Protest Airline Mismanagement at Company’s Annual Meeting  

(CHICAGO) – On Wed., June 10, at 8 a.m., United Airlines [NYSE: UAL] aviation maintenance technicians and related support personnel will rally outside the company’s annual shareholders’ meeting to warn investors and customers of turbulence ahead.

More than 9,000 Teamster aviation maintenance workers who are critical to United’s operations are losing patience as the company drags its feet on reaching a fair collective bargaining agreement five years after the United-Continental merger announcement. The workers’ last contract became amendable in January 2013.  

United-Continental workers, shareholders and customers have been loyal through tough times, shouldering the burden of myriad problems—including integration and customer service issues—that have taken a toll on United’s earnings and reputation.

United Airlines came in last among traditional carriers in the JD Power Customer Satisfaction Survey released in May.  

The company appears willing to risk United’s turnaround by provoking a labor dispute with its large maintenance and related workforce.

WHO: United Airlines maintenance and related workers

WHAT: Rally and march outside United Airlines’ annual shareholders meeting

WHEN: Wed., June 10, 2015 at 8:00 a.m., CDT

WHERE: Willis Tower, 233 South Wacker Drive, Chicago, Illinois, 60606

VISUALS: United workers chanting, with signs that read, “Turbulence at United.”

Event Planned for Annual Shareholders Meeting

June 5, 2015 

As previously reported in the Dispatch, mediated talks have not been going well. As a result the negotiating committee requested of the Division that all possible legal pressure be brought to bear on the Company to move these talks forward. The first planned event will take place at the annual shareholders meeting at Willis Tower in downtown Chicago on June 10^th at 8am. The event will include a demonstration and hand billing prior to the meeting, followed by attendance of the meeting, to demand an industry-leading contract now. 

There will be a preparation meeting on June 9^th at 6:00pm CST at the Chicago Airport Hilton to discuss the events for the following day. The meeting room will be pointed out to members when they enter the hotel lobby. If you are planning to attend on the 10^th please make every effort to attend the preparation meeting on Tuesday evening. Members that wish to attend the shareholder meeting must bring their proof of ownership of shares. For many of you this came in the mail in and is titled Annual Meeting Notice & Admission Ticket. You will not be able to enter the shareholders meeting without proof of shares. 

ALL members are strongly encouraged to attend to show the Company we are serious about bringing these talks to conclusion. Again, you deserve it, and only an industry-leading contract will bring these talks to an agreement! If you cannot attend, and have not yet voted your shares, please see your Business Agent to discuss how you can help. 

The rank and file negotiating committee is looking forward to your assistance.

The rally address and times follow:

WHEN:            Wed., June 10, 2015 at 8:00 a.m., CST

WHERE:         Willis Tower, 233 South Wacker Drive, Chicago, Illinois, 60606

In Solidarity,

 

Clacy Griswold

Airline Division Representative

International Brotherhood of Teamsters

Arbitration Update May 2, 2015

A decision has been reached in the sub UA medical arbitration case. The majority decision is sustained in part and denied in part. The Board ruled that the institution of a 90-10 coinsurance violated Art 16 of the Collective Bargaining Agreement. With respect to the other increases such as co pays and out of pocket maximums the Board ruled that those elements were not in violation of Article 16. According to the decision; “The remedy is remanded to the parties for a period of 60 days, after which the remedy will be returned to the Board for resolution. The Board maintains jurisdiction of the remedy portion of this Award.” When a remedy has been agreed upon it will be reported in the Dispatch. 

What this decision established was that the with the HMO’s there was a three decades old practice of not instituting, or describing a possible, split in respect to coinsurance. In writing the opinion the arbitrator found; “Thus, the language in the Agreement providing employees with an HMO option, when read together with the Company’s description of its HMO offerings, in the context of the Company’s practice over more than 30 years, persuades a majority of the Board that the Company violated Article 16.A.2. of the Agreement when it imposed 90% co-insurance as part of its HMO offerings, a change that was not in line with employee expectations."

While it is disappointing that the out of pocket maximums were not considered protected aspects of the plan, in practice, the co-insurance would be the big reason for why a member would hit that limit. In other words the ruling on the co-insurance essentially shields most members of HMO plans from ever paying close to the out of pocket maximums. As the Board discussed; “A majority of the Board agrees that the effects of introducing co-insurance into a long-standing existing program can be significant.  At worst, in the case of inpatient services, in the absence of annual out-of-pocket maximums, the financial impact on employees can be extreme.  At best, with an existing annual out-of-pocket maximum cap, it is likely that more employees will be bumping up against that cap and, in some cases, chronically.” 

The full decision along with the transcripts can be found here.

http://teamsterair.org/sites/teamsterair.org/files/uploads/arbtranscriptday1-3.pdf

http://teamsterair.org/sites/teamsterair.org/files/uploads/arbitrationtranscriptday2.pdf

Dispatch did not have the link to the award. It can be found here
http://teamsterair.org/sites/teamsterair.org/files/uploads/subuamedarbitrationdecision.pdf

(Please note that the court reporter made a mistake in the day one hearing and titled this hearing as between Continental and the IBT. The day two transcript is correct.)

Negotiations Update March 1, 2015

The parties met February 23^rd through the 26^th in face-to-face negotiations under the direction of the NMB in Newark.  The IBT passed Article 16 – (Health and Welfare), for review.  After the IBT made the pass there was a Q and A session on the general structure of the TeamCare plan as it was proposed.  There were follow up questions throughout the week. Towards the end of the session, the Company presented a list of questions for TeamCare and the answers will be provided shortly.

On Wednesday, the rank and file committee reviewed its wage proposal from the January meeting in Houston. That analysis was then relayed to the mediator.

Direct negotiations will continue the week of March 9^th in Rosemont IL.  At that time, the full comprehensive proposal will be passed.

Tentative negotiations dates have been set in each of the following months through July and will be published here as they are firmed up.