Mesaba & Woerth & "Additional Action"

[ImbracableCrunk]

Make-or-break week for Mesaba's future

At Mesaba Airlines, this week could mark a prelude to liquidation or accommodation as a judge weighs a crucial decision.
Liz Fedor, Star Tribune

For 10 months, the discord between Mesaba Airlines and its three large labor unions has been mounting. But this week, the players could determine whether they have a future together or whether they'll preside over the airline's liquidation.

Today, Mesaba management goes before U.S. Bankruptcy Judge Gregory Kishel in Minneapolis to seek his permission to void the labor contracts for the pilots, flight attendants and mechanics.
So far, the drama's dialogue sounds familiar.


"We are very disappointed that the company chooses to litigate instead of negotiate with us," Tim Evenson, president of the Mesaba flight attendants union, said Monday.


Mesaba spokeswoman Elizabeth Costello said: "Even as we head back to court, our negotiating teams are available every day this week 24/7 to work toward reaching deals." But she stressed that Mesaba needs the power to impose lower pay rates on its employees, because it has been unable to reach deals with its unions and its cash balance is dangerously low.


"We are at a point now where the time is running out," Costello said. A month ago, Mesaba told Kishel that it had only $10 million in "available cash" left.


Costello wouldn't reveal the current cash balance on Monday, but she said the carrier cannot tap into $24 million in debt financing unless it reaches union agreements or sets new work terms.


Kevin Wildermuth, lead negotiator for the Aircraft Mechanics Fraternal Association (AMFA), said the company has threatened to set new pay and work terms on Sunday if deals aren't reached.


"We know the stakes have been high," Wildermuth said, but he doesn't view Sunday as "an absolute D-Day" for securing deals.


But Costello said that Sunday is a "hard deadline."
Judge Kishel will hear arguments today from management and union lawyers on Mesaba's motion to void its current contracts. If he sides with Mesaba, that would allow Mesaba to force cuts on the labor groups. (Kishel granted the authority to nullify contracts in July. But Mesaba never exercised the option, and U.S. District Judge Michael Davis reversed Kishel in September.)
However, if an imposition unfolds in the coming days, "we are fully prepared to call a strike," said Tom Wychor, chairman of the Mesaba branch of the Air Line Pilots Association (ALPA).


In anticipation of that action, Kishel has agreed to hear arguments Friday on Mesaba's motion to block a strike.


The still-unfolding legal drama at Northwest Airlines could be on Kishel's mind, as well. U.S. District Judge Victor Marrero, based in New York, recently barred Northwest Airlines flight attendants from striking in response to Northwest's imposition of pay rates and work rules.


The Northwest and Mesaba flight attendants are both represented by the Association of Flight Attendants (AFA).


Despite the Marrero decision, Duane Woerth, ALPA International president, told the Star Tribune on Monday that he does not believe there is a legal basis to prohibit the Mesaba unions from striking.


A key legal criterion is whether a work stoppage would disrupt the national transportation system, and Woerth said Mesaba is not large enough to meet that standard.

'Additional action' possible
Mesaba filed for bankruptcy protection one year ago on Oct. 13 after Northwest Airlines missed payments to the regional carrier. Northwest also decided to cut Mesaba's fleet in half.


Woerth, a former Northwest board member, said that Northwest was "egregious" in the industry in demanding "substandard" wages for employees at its regional partners.


"Even in bankruptcy, we can't allow Mesaba to go below a certain level and wreck the rest of the industry," Woerth said.


If a ratifiable deal is not reached at Mesaba, Woerth said, "I am going to take additional action as a measured response inside what I believe are my rights as a union president. It would be a response that Northwest is not expecting."


Woerth's union represents pilots at Northwest and its regional partners, Mesaba and Pinnacle airlines.


Northwest declined Monday to comment on Woerth's statements about Northwest's involvement in stirring what Woerth considers a bidding war for regional flying.


Today and Wednesday, Phil Trenary, chief executive of Pinnacle Airlines, will be at Northwest's headquarters in Eagan to make Pinnacle's case to retain flying of Northwest regional jets.


Mesaba and other regional airlines also have bid to fly 50-seat airplanes.
Phil Reed, Pinnacle vice president of marketing, said Pinnacle will argue that it is a low-cost and highly reliable operator.


Both Mesaba and Pinnacle lack deals with their pilots.
"Having a negotiated settlement with our pilots is necessary in order to obtain our core business with Northwest," Reed said.


But Wakefield Gordon, chairman of the Pinnacle pilots union, said he and Mesaba's Wychor are working together to ensure that pilots at both carriers get "fair and reasonable" contracts.


Mesaba is scheduled to negotiate today with the mechanics, and it bargained Monday night with the pilots. Evenson said there are no meetings set with the flight attendants, because of a dispute over including a federal mediator in the talks.


"The solution [to the labor dispute] will not be found in the courts," the pilots' Wychor said. "This company will not survive a three-way imposition" of work terms on pilots, flight attendants and mechanics. If people are forced to work under the company's terms, Wychor said, the airline would be killed by strikes or mass resignations.


"We need to lower our costs quickly to ensure the survival of the company," Mesaba's Costello said. "Our main goal this week is to reach consensual agreements with each of the three unions, and that is where our focus is."


Liz Fedor • 612-673-7709 • [email protected]

 

[ImbracableCrunk]

If a ratifiable deal is not reached at Mesaba, Woerth said, "I am going to take additional action as a measured response inside what I believe are my rights as a union president. It would be a response that Northwest is not expecting."

Ok, what are his rights and what do you suppose he means?

 

[Ponchus pilot]

We just have to wait and see. He can call for a national stike, though I think this would be unlikely.

 

[labbats]

I think then he'll pull out the big guns and put a REALLY big article in that albatross of a magazine we get.

 

[gnx99]

Well it'll be interesting to hear what it is..... Maybe a simultaneous Northwest, Mesaba, and Pinnacle strike

 

[xjhawk]

now that would be something....i can imagine how many mainliners would cross the picket line........cause i can tell a lot of their attitudes about how they do not care for the regionals anyways.......but that being said, please do not take offense, there are a lot, many more in fact that give us support in encouraging words.....i am just saying...there are a$$holes in every corner.......hope this ends with a career......prob not though.

 

[Master Shake]

All sympathies to my Mesaba brothers & sisters aside, but this will probably end up just like every other circus we've seen over the past 4 years. There will be some sort of 11th hour stay of execution that will be begrudgingly agreed upon by all sides. Although it would be interesting to see what big "cannon" DW thinks he'll pull out.

 

[XJohXJ]

Yeah, unfortunately these days the 11th hour deals seem to end up like this: 1) imposed contract 2) injunction prohibiting strikes 3) Management says: "suck it up boys-WE OWN YOU."

 

[gnx99]

So Woerth is saying this 15% is cool, but @ 19.4% all hell will break loose? That's a pretty slim margin.

 

[RedTailSwinger]

So Woerth is saying this 15% is cool, but @ 19.4% all hell will break loose? That's a pretty slim margin.

A contract has never been imposed on a pilot group. Having an imposed contract (even .001% difference) is a big deal.

 

[gnx99]

A contract has never been imposed on a pilot group. Having an imposed contract (even .001% difference) is a big deal.

Yes, good point. He also said something about "substandard" wages. I've got to think 15% off the current book is substandard. I know the actual hourly wage is "only" dropped by 5% though.

 

[othello]

Chips all in, ALPA nation wide strike over the sham Mesaba bankrupcy. Mair holding has 111million $$ in the bank and there going to impose foodstamp wages and government assisted health care benefits.

Worth/ALPA are not going to let union pilots have this crap imposed on them while managment sits on a pile of money still takes there bonuses. The race to the bottom stops Sunday.

Send an message.

 

[urflyingme?!]

Send it boys. Send it.

 

[millhouse21]

Sounds like he might sit on this for a few months and then come back and declare defeat. That's what he did after talking big at Trans States.

 

[Sig]

I think then he'll pull out the big guns and put a REALLY big article in that albatross of a magazine we get.

Thanks. Thanks a lot.

Freakin' coffee ALL OVER THE PLACE, like dead soccer players in the Andes. Great one, Labbats! Think of the strong language he'd employ!

Give 'em he!!, Mesaba.

 

[SEVEN]

Nice try Duane. A little late for tough talk now. The problem is, it should not have gotten this far. Lets just see if he can make things right and do the RIGHT thing this time.

 

[YourPilotFriend]

Apparently, Mesaba management was in super secret negotiations with the pilots over their propsed contract. Gee that's funny.

 

[Prop2Jet]

ummm good luck with that

 

[Dumb Pilot]

Nice try Duane. A little late for tough talk now. The problem is, it should not have gotten this far. Lets just see if he can make things right and do the RIGHT thing this time.

He can be tough now, when what's at stake is the livelihood of a group that if lost. Won't affect his half million dollar a year salary and all that tough talk is what he needs during reelection. After all, he wants to be perceived as a NO nonsense, tough talking, union leader.

A little late indeed

 

[ImbracableCrunk]

I think then he'll pull out the big guns and put a REALLY big article in that albatross of a magazine we get.

Oooo ooooo! Maybe they'll print a special edtion of "ALPA Express" or whatever they called that insult. . . "ALPA Lite"?

"ALPA for KIDS"?

I feel much safer now that Papa Duane is checking under the bed for monsters and Fooleys.

 

[Hulk Hogan]

I don't know about Super Secret .... I think the word is mediated. Interesting info considering their agreement not to disclose. Top it off with the Judge allowing it into evidence and here we go. Big guns are wortheless without ammo. cya

 

[Freight Dog]

I'm really curious what big guns is he talking about.

Maybe he's bringing his new buxom secretary with some nice big'uns and she's gonna flash everyone while he's signing in the concessionary contract.

Small consolation...

 

[Propsync]

I'd imagine DW has something good up his sleeve. The BOD meets in Vegas next week to vote for president. If he doesn't handle it well (don't even go there) he'll be out. I'd imagine he's also shaking in his boots.

 

[Superpilot92]

I'd imagine DW has something good up his sleeve. The BOD meets in Vegas next week to vote for president. If he doesn't handle it well (don't even go there) he'll be out. I'd imagine he's also shaking in his boots.

He should have been doing something well before now. Now his job is on the line he wants to do something, not very good leadership if you ask me. ALPA is a great thing to have but i think its time for a leadership change. Also all pilot groups should be treated equal not just the majors. Just throwing my pennies in the pond!

 

[DoinTime]

I'd imagine DW has something good up his sleeve. The BOD meets in Vegas next week to vote for president. If he doesn't handle it well (don't even go there) he'll be out. I'd imagine he's also shaking in his boots.

DW will have no trouble getting elected for another term. His only competator has already laid out plans that would shift more of the financial burdon of the Association onto the backs of pilots that can least afford it (ie; regional pilots). There is just about nothing DW could do to screw up this election.

 

[Lear70]

DW will have no trouble getting elected for another term... There is just about nothing DW could do to screw up this
election.

That's really too bad.

Under his "leadership", airline pilots across the country have stepped back 30 years in terms of compensation while inflation and cost of living have increased more than ever before.

All of that just in time to see the airline industry begin a "golden era" of profitability. These last quarter's profits are only the beginning...

Woerth has absolutely zero vision... none, whatsoever, and we will be paying the price for the rest of our careers. DW should have lead the unions on nationwide strikes, and screw the legality of it. Interesting to note how that has worked for several other industries in the last two years and none of those union members are still in jail. 30 days in a local lockup would be worth the long-term livable existence for my union members - but noooo... Woerth and all the others caved.

Maybe, just MAYBE we will eventually have better leadership who will take more staunch action before the NEXT big threat: cabotage from point-to-point INSIDE the U.S. takes hold (Virgin America and the dozens of airlines to follow that will supress fares and thereby our career expectations).

If ever there were a good reason for a nation-wide strike, that would be it, and it's coming, boys and girls. Save up now, be prepared, and fu*k DW if he's still in charge when it comes and doesn't tell everyone to walk. CAPA airlines should act in kind.

All of you who went to Netjets have made a better career decision than those of us stuck in the 121 world who will have to start battling this threat inside the next decade. I like my kind of flying better, but for job security the fractional world is where the safety net is at.

Enjoy the next 10-15 years, 'cause after that, if EXTREME measures on our part aren't taken, this career will be gone and we'll be lucky to be making six figures at max Boeing pay thanks to companies like VA and the pilots who go to work there. If I were you, I'd start making contingency plans NOW on another way of generating income.

Good luck to the MSA folks as well, but I think DW is going to throw you under the bus to try to make pilots think he still possesses a backbone. Funny how he didn't do that for Northwest pilots who were facing a pay cut almost DOUBLE the percentage management is proposing for you guys.

What a putz.

 

[xjgearbtch]

Don't hold back lear, tell us how you really feel. I partly agree with you, but what can you do? The bigger issue is miss-management. It's the same managers jumping from one airline to another screwing up the industry. Our union gets the honor of picking up the pieces and helping fix it. Always to our loss. We need more union officals on the boards of each airline to better influence how each company is run.

I often wonder what it feels like, to know that the majority of my employee group hates me. Yet I go to work everyday and continue to try and screw them over for the sake of the shareholders. I personally would probably give myself a heart attack with all that anger directed at me. Then again I care about other people and their well being. The life of an airline CEO, they truly are a different breed.

 

[Terry Hunter]

I often wonder what it feels like, to know that the majority of my employee group hates me. Yet I go to work everyday and continue to try and screw them over for the sake of the shareholders. I personally would probably give myself a heart attack with all that anger directed at me. Then again I care about other people and their well being. The life of an airline CEO, they truly are a different breed.

No different than Al Qaeda, are they... Somebody, somewhere is feeding thier ideas that this form of domestic industrial terrorism is acceptable.

 

[Freight Dog]

It's all rather simple:

The CEO's job is to maximize profits and increase value to the shareholders. One of his tools to achieve this goal is to get as much as possible from and give as little as possible to his employees.

They've been successful in reducing the employee costs because we weren't willing to say no and walk away from this job.

Nobody can convince me that the public wouldn't have paid $10-20 more per ticket because people were still buying gas when it was $3/gal. People were bitching about it, but they were still driving their pickups and SUV's. We got taken advantage of by our own short-sightedness and fear.

It's not rocket science. We'll never get what we deserve. We'll only get what we can negotiate. So until we grow a sack, this trend will continue.

 

[Lear70]

Don't hold back lear, tell us how you really feel. I partly agree with you, but what can you do?

We risk everything, including jail time, and walk when sh*t contracts are imposed by bankruptcy courts.

What are they going to do? Jail up 4,000 - 7,000 pilots? Not likely.

Didn't happen during the transit strike in NY, didn't happen during the teachers strike in MI. Some of the union officials sat 24 hours in a local lockup until they were bailed out, so what, big deal.

It's not a felony count, it's a misdemeanor, and when livable deals were finally inked, it was all forgotten.

Pilots, including DW, have gotten soft. They've forgotten what it's like to play hardball. To put it all on the line and risk everything to keep your quality of life.

Until we get that mentality back, we're fu*ked.