"UAL mechanics' fight of cuts called 'reasonable'"

Tuesday, February 1, 2005

Mechanics' fight of cuts called 'reasonable' 
BY FRANCINE KNOWLES
The Chicago (IL) Sun-Times


United Airlines mechanics' hard-line stance against the bankrupt carrier's
management and their union's threat to strike isn't out of character or
unreasonable, say labor and aviation experts.

The mechanics in 2003 rejected temporary wage cuts and other contract
changes, prompting the bankruptcy court to impose those changes.

The workers also that same year voted to switch their union representation
to the Aircraft Mechanics Fraternal Association, after concluding the
International Association of Machinists and Aerospace Workers union, which
had represented them for nearly 60 years, wasn't tough enough in
negotiations with the airline.

AMFA, which represents 7,000 mechanics and related employees at the airline,
on Friday said its members overwhelmingly rejected a tent- ative five-year,
$98 million concessionary contract proposal. That proposal would have
reduced mechanics' pay by 5 percent, aircraft cleaners' pay by 10 percent
and included other concessions.

Workers also voted by an 89 percent margin to give AMFA the right to call a
strike. Spokesman David Quinn said Monday the union will weigh what action
it will take following court approval to grant United Airlines authority to
impose temporary pay cuts of 9.8 percent. But he said the union is prepared
to strike if the airline seeks to impose permanent cuts by voiding the
current contract that workers agreed to in 2003. That agreement included 13
percent pay cuts to help the airline emerge from bankruptcy.

"The mechanics are a very sophisticated union," said Daniel Swinney,
executive director of the the Center for Labor & Community Research.
"Knowing the reputation of this union, clearly management must do more to
gain confidence in their business plan."

Labor and aviation experts added that unlike flight attendants and pilots,
who approved pay and benefit cuts Monday, mechanics may be more defiant
because they work in a highly skilled trade, and their skills can be more
easily transferred outside the industry.

"We're looking at fairness and equity," Quinn said Monday.

Aviation industry consultant Michael Boyd said the union isn't out of line
in seeking a quid pro quo agreement. 

"They should be asking for something," he said. "It's been two years, and
they're [United] talking about significant pay cuts."

Union members' no vote followed AMFA's unsuccessful efforts to get the
airline to agree to restore some cuts as the airline's financial situation
improves, he said. It also followed the airline's rejection of other means
to reduce costs, besides pay and benefit cuts, he said. The union declined
to disclose those proposals Monday.

Regarding any concessions the union is asked to make, "it's a reasonable
expectation to get a return on their investment," Swinney said.

Boyd expects the airline will ultimately work out a payback deal with the
union.

But United spokeswoman Jean Medina suggested that's unrealistic.

"We don't see the [industry] environment dramatically changing," she said.
"Fuel prices are at record highs, and air fares" have stayed at historic
lows, she said.


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