Dear Council 70 Flying Partners,
Much has been happening and you may not have been aware that our AFA attorney's filed a petition asking Judge Mitchell to reconsider the 4-month 21% pay cut he granted USA management.
The appeal has been heard and the news is not good. Please read both articles below.
FYI: Management's cuts were unfairly much LESS than what we have burdened with.
When is Enough, Enough?
Take Care and Fly Safe,
Mollie McCarthy
LEC President
Council 70 PHL/PHW
Article 1:
Unions intend to have their day in court over wage cuts
By Steve Halvonik
TRIBUNE-REVIEW
Thursday, November 18, 2004
The petition by two US Airways unions to have a 21 percent wage cut reconsidered has been almost forgotten, overtaken last week by US Airways' request that a U.S. bankruptcy judge void its union contracts and replace them with $1 billion a year in wage and benefit cuts.
In early November, the Association of Flight Attendants and International Association of Machinists and Aerospace Workers asked U.S. Bankruptcy Judge Stephen S. Mitchell to reconsider his Oct. 15 decision that put the emergency 21 percent cuts in place. They said he had not given them credit for more than $100 million in pension savings he granted the airline, which could reduce wage cuts to as low as 5 percent.
Their rollback request remains on the docket for a hearing today in U.S. Bankruptcy Court in Alexandria, Va. However, it may be dismissed without argument because the airline's unions are focused now on another date: Dec. 2, when Mitchell will hear US Airways' request to terminate all of its labor contracts and replace them with the $1 billion in wage and benefit cuts on its 28,000 workers.
Referring to the rollback request, Teddy Xidas, president of AFA Local 40 in Pittsburgh, said, "What chance do we have of winning?''
The AFA had planned on sending actuaries to today's court hearing, to challenge US Airways' calculations on why it needed 21 percent pay cuts imposed on workers for four months. Now, it has decided to withdraw financial experts and leave the case in the hands of lawyers, said a member of the negotiating team.
The IAM, however, plans to have its lawyers in court today, said spokesman Joseph Tiberi. "We will put up arguments" against the pay cuts, he said. US Airways' attempt to terminate its labor contracts has increased union saber-rattling. About 6,000 customer agents, represented by the Communications Workers of America, have voted to strike if its labor contract is terminated; and the AFA will begin taking a strike vote next week.
Yesterday, the AFA reported modest progress in negotiations with US Airways for a contract that would replace the emergency wage cuts. "The company needs to resolve these negotiations quickly," said Perry Hayes, president of the AFA master executive council at US Airways.
The union said it hopes to reach an agreement by Thanksgiving. Talks will resume next week.
The IAM also met with the airlines' negotiators yesterday and will again today, Tiberi said.
The AFA held a rally Downtown yesterday to protest the possible loss of pensions, the pay cuts and other benefits.
About 100 people, including AFA members and members of two other unions -- the Communications Workers of America and the IAM -- chanted "enough is enough," saying they've been asked to give repeated concessions to an airline that's improperly using bankruptcy court to scuttle labor contracts.
Union members passed out fliers promising random strikes across the country if a bankruptcy judge voids contracts.
Michael Boyd, an aviation analyst based in Evergreen, Colo., said he spoke with several US Airways workers during a layover in Erie last weekend. He said he was taken aback by the level of employee hostility toward the company. He blamed management for the poisoned culture.
"US Airways has a brilliant flight plan for February,'' Boyd said. "But they're trying to ram concessions down employees' throats, and they are not going to take it.''
Article 2:
Bankruptcy
Judge Leaves Temporary Pay Cuts Intact at US Airways
Thursday November 18,
2004 2:51pm
WJLA/NewsChannel
8/Alexandria, VA
 Alexandria,
Va. (AP) - A bankruptcy judge in Alexandria refused
Thursday to reverse his decision allowing temporary 21 percent
pay cuts on some US Airways workers.
U.S. Bankruptcy Judge Stephen Mitchell kept intact the ruling
that he imposed last month to help the Arlington-based airline
save cash and avoid liquidation.
Lawyers for the International Association of Machinists and
Association of Flight Attendants had asked Mitchell to
reconsider his ruling, saying the airline had requested
steeper pay cuts than are necessary to ensure the airline's
survival while in bankruptcy.
The airline has asked the judge to terminate labor contracts
with its machinists, flight attendants and passenger service
employees and have a judge impose new contracts with pay cuts
ranging from 6 to 27 percent, along with termination of the
flight attendants' and machinists' pension plans.
A hearing on the issue is scheduled to begin December 2nd.
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