GCD said:
United was working a deal for us to start their cargo back up for them.
A UAL pilot in my unit says that their MEC had agreed to this, but has since pulled out of the agreement.
You are correct, UAL wanted to outsource the cargo flying but ALPA nixed the plan. Here is the entire list of what each side wanted and what each side got
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Comparison of Company’s Term Sheet to Tentative Agreement
ALPA Concessions
Contractual Issue
Company’s Term Sheet Demands
Tentative Agreement
Duration (Section 22)
Through Dec 31, 2010
Through Dec 31, 2009
Wage Cuts
8-18%, depending on work rule modifications
14.7%; Current Book increases of 1.5% in ’06, ’07, ’08, & ‘09
Late Night Flying Premium
Eliminate
Eliminated
Co Paid Future Retiree Life Insurance ($10K)
Eliminate
Eliminated
International Premium Pay
No Change
Eliminated
A Plan
ALPA agrees to termination
ALPA will not oppose termination if BK Court determines it is required for exit
Company Demands Rejected by ALPA
Contractual Issue
Company’s Term Sheet Demands
Tentative Agreement
BK exit wage cut
Additional 4% cut from
Jan 1, ’05 until BK Exit
Rejected by ALPA
Potential Temporary Wage Cuts after BK exit
Additional 4% cut for up to 6 months if company would otherwise default on loan covenants
Rejected by ALPA
Vacation Accrual
Large reduction as follows:
Year 1 14 Days
Year 5 21 Days
Year 10 28 Days
Rejected by ALPA
No Changes to current CBA
Sick Leave
Paid at 70%
Rejected by ALPA
No Changes to current CBA
Occupational injury or illness
Worker’s Comp only
(≈ $1000 per week)
Rejected by ALPA
No Changes to current CBA
Family Leave
Concurrent usage of FMLA & Sick Leave which results in less time off
Rejected by ALPA
No Changes to current CBA
Monthly Cap for 767/777/747
Increase to 95 hours actual
Rejected by ALPA
No Changes to current CBA
Minimum Days off for 767/777/747
Reduce to 10 days
Rejected by ALPA
No Changes to current CBA
777/747 Crew Augmentation
Create IRP position
Rejected by ALPA
No Changes to current CBA
Training Center
Replace PIs with Non-Pilot Contract Instructors
Rejected by ALPA
No Changes to current CBA
Company Demands Rejected by ALPA (cont’d)
Contractual Issue
Company’s Term Sheet Demands
Tentative Agreement
Vacation Drops
Pay 2.8 hrs per day in lieu of trip value
Rejected by ALPA
No Changes to current CBA
Other paid absences (e.g. jury duty, death-in-family, PC/PT, ALPA, NQ)
Pay 2.8 hrs per day in lieu of trip value
Rejected by ALPA
No Changes to current CBA
ACMI (Cargo Wet Lease)
Outsourcing of cargo operation to be flown by non-UAL pilots
Rejected by ALPA
No Changes to current CBA
Medical, Dental, and Drug Plan Changes
Significant increases to premium sharing, deductibles and out-of-pocket caps
Rejected by ALPA
No Changes to current CBA
Short-Term Disability
Eliminate
Rejected by ALPA
No Changes to current CBA
Co Paid Accidental Death & Dismemberment Insurance
Eliminate
Rejected by ALPA
No Changes to current CBA
Company Concessions
Contractual Issue
Company’s Term Sheet Demands
Tentative Agreement
Additional Pay Increase
NONE
Additional 1% pay increase
B Plan Modification
(DC Plan)
Additional 4% contribution to B Plan, option for ALPA to increase to 7% through further concessions
Additional 6% “C” Plan fully funded by company; in addition to the current 9% B Plan contribution
Convertible Notes
NONE
$550M convertible bond or its equivalent value to be distributed to eligible pilots with the allocation and mechanics of distribution to be determined by UAL-MEC
Profit Sharing
Pro-rata share of 15% of profits;
Fully vests after 5 years
Pro-rata share of profits.
· $10 mill trigger
· 7.5% in ’05 & ‘06,
· 15% thereafter
· Eligible after 1 year
Work Rule Improvements
NONE
Elimination of all domestic moveable RDOs
RLA Section 6
Negotiation Process
NONE
Shortened Negotiating process through early Federal Mediation (NMB)
Additional Company Stock
NONE
New stock allocation formula has been plussed up to account for additional concessions