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In This Issue - Voluntary Furlough III (VF -3) Pilot's Reach TA on Additional Concessions - It Has Been Said, That In Life, Timing Is Everything - AFA Scheduled to Meet With Management on Tuesday and Much More!

IMPORTANT READ: This is the PHL News-Line 70 from Mollie McCarthy LECP. If you would like to respond to Mollie, please use this email address mmccarthy@afausairways.org. This newsletter is also available on the PHL page of AFA US Airways. Subscribe to News-Line 70 from here. 

  
December 15, 2002

Dear Members of Council 70, 

Well, we have a lot to go over, so let's get started.

Voluntary Furlough III (VF -3)

Unfortunately, we ended up with only 589 eligible volunteers willing to take the VF 3. Sadly, the company now says this will mean approximately 266 will be involuntarily furloughed. Of the 266 only 221 are currently on active status. The involuntary furloughs will reach the spring of 2000. 

Breakdown of the VF 3: 

392 - 4.75 months 
66 - 12 months 
40 - 18 months 
13 - 24 months 
8 - 30 months 
70 - 36 months 

We have been told the list will be posted no later than noon on Monday December 16, 2002. Displacements are expected to be from PIT and CLT to LGA and PHL

Here is what our numbers look like today. FYI, this is before the VF 3's or furloughs take place. All numbers are approximates

6712 - Active (AVL)
915 - Combination of Leaves-Supervisors-MED-LTD- OJI-COM etc.
2221 - Voluntary Furlough's (VF1 & VF 2)
826 - Furloughed
10,674 - Total


Pilot's Reach TA on Additional Concessions

ALPA's Negotiating Committee Reached a Tentative Agreement for Additional Reductions in Wages, Work Rules and Benefits.

The US Airways ALPA MEC has ratified LOA 83 "Accelerated Small Jets" and LOA 84 "Supplementary Cost Reductions." 

To the best of my knowledge, the $101 million per year additional cost reductions had not been ratified up to the time of this writing. In addition, we understand the specifics on the changes to their retirement are not yet available. 

Regardless, it is still very important for every USA flight attendant to know what is happening with our brothers and sisters at ALPA. Not just because they are fellow crew members and labor unionists, but because what they do can also affect us through our contractual 'Me Too's.'

I guess, in a way, you could say we have already been in negotiations. There are approximately 14 different 'Me Too's' throughout our contract. These 'Me Too's' tie us to the pilot's in some way or another. When any of these 'Me Too's' come into play during negotiations, the pilot's have control. When they get, we get and when they give, we give also (without being asked). 

Many of you still remember the 'Duty Rig' give back in the early '90's. What most do not know is that many flight attendant groups from other airlines have even worse 'Rigs' or none at all. Even after the big give back in 1992, our duty rigs were still better than the majority of flight attendants at other airlines. What happened then and what appears to be happening now is unfortunate, I will not try to tell you differently. On the upside, if there can be such a thing during concessionary negotiations, the ALPA NC did save the 'Trip' rig and also managed to come back with better 'Duty Rigs' than the company originally asked for. Although, at first glance, losing the floor and ceiling on the VM 'looks' innocuous enough, I believe losing the floor will hit us hardest of all. 

The dispute on whether or not to stay attached to the pilot's by way of the 'Me Too's' has gone on for years with both sides having valid arguments. However, especially during these trying times, THE MOST important reason to keep the 'Me Too's,' regardless of what has happened in the past is often missed during the debate. 

So why should we stay attached to the pilot's through the 'Me Too's'? The main reasons are twofold. First, the pilot's contract controls the block hours and secondly, they have Federal protections and regulations that we do not. Many of the FAR's are written to protect the cockpit crew only. Our contract stipulates that the company must abide by a majority of these same FAR's, however there is one that we do not have and because of a 'Me Too', it helps protect jobs and better working conditions for our flight attendants. I won't go into it here, we'll let management figure it out without our help. 

There was a period when I believed we could do better if we broke away from the pilot group. With the present combination of our 'labor friendly' management and the instability of our industry, this is not that time. 

Below are the links to the ALPA TA and the two LOA's.

FYI: Please note the following correction to ALPA's original announcement. 
The tentative agreement (TA) modified the duty rigs from 1:2 for day and 1:1.75 
for night to 1:2.25 for day and 1:2 for night. The 1:3 trip rigs was NOT modified.

ALPA TA 'Attachment A', 
Accelerated Small Jets - Letter #8
Supplementary Cost Reductions - Letter #84

It Has Been Said, That In Life, Timing Is Everything 
AFA Scheduled to Meet With Management on Tuesday

On December 11, 2002, Dr. Bronner (RSA) was quoted, in the press, as saying:

"We've got to get out of here now," … "We've got to get something filed in the court by or around the 20th of December, so that we can get out of bankruptcy before anything worse happens to us." 

On December 12, 2002, a federal judge granted USA an extension for filing their reorganization plan. 

A series of events, we may find note worthy: 

First, we have Dr. Bronner's quote, a bit unusual, as it appears he was kept 'In The Dark' about seeking an extension. Shortly thereafter, came the announcement that USA & ALPA had reached a tentative. The morning after the TA is announced, a federal judge grants USA management an extension until January 31, 2003, for filing their bankruptcy reorganization plan. After the dust settles, AFA receives a call from the company asking to meet. 

The MEC will have a conference call on Monday, December 16, 2002. AFA and USA have scheduled a meeting in Crystal City on Tuesday, December 17, 2002.

As a reminder, here is what is written in the July 2000, Restructuring Agreement (RA), that was ratified by a majority of our members:

"In the event the Company files a petition for bankruptcy and US Airways determines to request additional modifications to the AFA Restructuring Agreement to support reduced cash flows, to secure debtor-in-possession financing, and/or attract capital, the Company and AFA will meet to negotiate regarding such additional modifications to the mutual satisfaction of both parties within fifteen days of such determination. Neither party will be required to reach agreement regarding such modifications and the failure to reach such agreement will not affect the commitments in this letter."

Therefore, we meet on Tuesday.

Here is the link to a news article about the extension just in case you missed it.
US Airways Gets More Time to File Plan

Retirement Systems of Alabama (RSA)
Dr. Bronner in control

Retirement Systems of Alabama (RSA) CEO, Dr. David Bronner, seems to be in the news almost everyday making one unbelievable comment after another about our company and our contracts Who is the man behind RSA, who gives him his information?  Of the numerous statements Dr. Bronner has made lately, there was one in particular, besides the BIG one about 'Chapter 7 it', that gave me pause.  New York Times, December 8, 2002 "Mr. Bronner asserted it was vital for the airline to obtain work rules from the unions "that are in this century, and not in the last century."

Many of you who have read Dr. Bronner's comments, have written asking how you can contact him? Here is the information I was able to find:  CEO RSA - David Bronner (334) 242-5718 dgbrsa@bloomberg.net Retirement Systems of Alabama 135 South Union Street Montgomery, Alabama  36104 Toll Free 1-800-214-2158 http://www.rsa.state.al.us/

When I read that, I instantly recalled Mr. Wolf using almost that exact phrase when speaking to our MEC a little over one year ago at a meeting in Crystal City. I find it hard to believe Dr. Bronner has seen all our labors contracts, much less read them. But I will give him the benefit of the doubt. What I would really like to know is this; how many revenue paying passengers did we lose with Dr. Bronner's threat to 'Chapter 7 it' 5-days prior to Christmas? Help me here, does it make good business sense to invest millions of dollars into a company and then make statements in the press, during one of that company's most profitable times of the year, about 'pulling the plug'? If I had either a vested interest in RSA or USA, I would want an explanation. Who is running this company? I would really like to know. It is a good thing that our employees are such consummate professionals; WE will need to be our own one saving grace. "These are the times that try men's (& woman's) souls." -- Thomas Paine


FYI: Speaking of who is running this company, here is an interesting tidbit for you to ponder. This past November, the MEC met with upper management in Crystal City. Myself along with two others had arrived early and proceeded up to the main offices on the sixth floor. After being buzzed in, we still had approximately 15-minutes before the meeting was to begin, so we took a seat on the couch in the waiting area in front of the receptionist. A few minutes went by when Mike Minerva, Labor Relations, came in and wanted us to relocate to the second floor until it was time for the meeting. A comment was made, asking if Mike had been sent upstairs for the purpose of getting us off the sixth floor? To paraphrase, he said 'yes, that was pretty much the intent.' As we were leaving, one of us took a glance back through the glass and whom do you think they saw? Mr. Wolf. 

Learn more about Dr. Bronner and the hold he has on US Airways, by clicking onto these links.
Read full NY Times Article Here.
Read RSA's Bronner gets 7 out of 13 seats
Read USA wants its unions to give up more

Thanks for listening and a special 'Thank You' to those of you who took the time to send me the e-mails you have received from management. I appreciate your assistance and will keep your name and personal information confidential.

With everything else being so serious, I thought I would leave you with a quote on the lighter side. Do not look too deeply into to it, as it has nothing to do with anything, it was just something I read once that made me smile. 

I would like to dedicate this 'smile' to those of you who either are furloughed or will be furloughed in the near future. Remember, to keep an eye out for that other door to open. I wish you better than what you were given here, I wish you the very best life has to offer. You will be missed. 

"I don't know much about being a millionaire, but I bet I'd be darling at it." 
-Dorothy Parker

Happy Holidays to You & Yours,

Take Care and Fly Safe,

Mollie McCarthy
LEC President
Council 70 - PHL/PHW