Delta Pilots' Union Rejects Wage Talks
Wednesday February 12, 7:31 pm ET
Pilots' Union Quashes Delta Hope for Talks on Contract Changes
ATLANTA (AP) -- The union representing Delta Air Lines pilots has refused a request from the airline to hold discussions about renegotiating wages, saying a more specific proposal was needed.
"We have advised management that a meeting for this purpose is not appropriate at this time. Our pilot working agreement is not amendable until 2005," said William C. Buergey, chairman of Delta's chapter of the Air Line Pilots Association.
Michele Burns, Delta's chief financial officer, told investors Wednesday at a transportation conference in Florida that the airline was sending an official notice to ALPA that it wanted to open discussions.
"We believe that we will have meaningful and productive discussions with the pilots," she said.
Buergey said Delta can't initiate discussions for early contract modifications without submitting a detailed proposal, including justification for the changes. He said the union would consider such a proposal.
Burns acknowledged it's up to the union to negotiate reopening the contract, which was adopted in early 2001, just a few months before the Sept. 11 terror attacks turned an industry downturn into financial catastrophe for the major airlines.
The contract put Delta pilots' pay slightly ahead of pilots at the No. 2 carrier, United. Pilots at United, which is now reorganizing in bankruptcy court, have since agreed to steep cuts.
Although Delta is considered financially stronger than other big carriers, CEO Leo F. Mullin last week said the company cannot sustain a higher wage scale when other carriers are reducing salaries.
US Airways also has negotiated pilot pay cuts, and American and Northwest are seeking them.
Shares of Delta, the nation's third-largest carrier, fell 13 cents Wednesday to close at $9.21 on the New York Stock Exchange.
Wednesday February 12, 7:31 pm ET
Pilots' Union Quashes Delta Hope for Talks on Contract Changes
ATLANTA (AP) -- The union representing Delta Air Lines pilots has refused a request from the airline to hold discussions about renegotiating wages, saying a more specific proposal was needed.
"We have advised management that a meeting for this purpose is not appropriate at this time. Our pilot working agreement is not amendable until 2005," said William C. Buergey, chairman of Delta's chapter of the Air Line Pilots Association.
Michele Burns, Delta's chief financial officer, told investors Wednesday at a transportation conference in Florida that the airline was sending an official notice to ALPA that it wanted to open discussions.
"We believe that we will have meaningful and productive discussions with the pilots," she said.
Buergey said Delta can't initiate discussions for early contract modifications without submitting a detailed proposal, including justification for the changes. He said the union would consider such a proposal.
Burns acknowledged it's up to the union to negotiate reopening the contract, which was adopted in early 2001, just a few months before the Sept. 11 terror attacks turned an industry downturn into financial catastrophe for the major airlines.
The contract put Delta pilots' pay slightly ahead of pilots at the No. 2 carrier, United. Pilots at United, which is now reorganizing in bankruptcy court, have since agreed to steep cuts.
Although Delta is considered financially stronger than other big carriers, CEO Leo F. Mullin last week said the company cannot sustain a higher wage scale when other carriers are reducing salaries.
US Airways also has negotiated pilot pay cuts, and American and Northwest are seeking them.
Shares of Delta, the nation's third-largest carrier, fell 13 cents Wednesday to close at $9.21 on the New York Stock Exchange.
