UPS, Pilots reach agreement to Avoid Furloughs

ual321

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UPS, PILOTS REACH AGREEMENT TO AVOID FURLOUGHS

LOUISVILLE, June 8, 2009 -- UPS (NYSE:UPS) and its pilots union, the Independent Pilots Association, today announced an innovative agreement that averts the immediate furlough of 300 UPS pilots.

Earlier this year, following UPS’s review of volume reductions and a stated need to furlough pilots, IPA’s leadership offered to identify ways to cut operational costs. UPS and the IPA subsequently agreed on cost-cutting targets totaling $131 million over the next three years.

Using a variety of voluntary steps, the IPA to date has identified savings totaling approximately $90 million dollars, pending final calculations. Although the full three year goal was not reached by last week’s original June 2 deadline, UPS and the union have agreed there will be no furloughs through April 1, 2010, and that the IPA will have another opportunity later this year to produce additional savings.

Voluntary pilot savings generated later this year could eliminate the proposed layoffs entirely.

The savings identified by the IPA have been produced through voluntary programs such as pilots taking short- and long-term leaves of absence; military leaves; job sharing; reductions in flight pay guarantees; early retirement, and sick bank contributions. UPS and the IPA are confident they can achieve the total savings goal.

”This is another example of UPS’s commitment to its employees and their families,” said Bob Lekites, UPS Airlines president. “It also shows how a company and its union can work together to achieve a mutually beneficial outcome. We applaud our pilots for making the voluntary commitments necessary to help us protect our business and UPS jobs in this uncertain global economy and we thank the IPA for their leadership in this process.”

"This is a remarkable achievement," said Bob Miller, president of the IPA. "First of all I'd like to thank our pilots. None of this would have happened if they hadn't stepped up to volunteer from every fleet, seat and domicile. It shows tremendous solidarity and compassion for our fellow pilots. Second, I want to thank UPS. They didn't have to go down this road with us. We appreciate their openness to new ideas and their willingness to work with us in finding an alternative solution."
 

HA25

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a bitter sweet victory for IPA.. but also a good sign that the senior guys aren't so willing to sell out the junior guys there, good on them! (wish American was more like this).
 

fokkers&beer

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I just wanted to say from one of the bottom 300, thanks to all who participated.
 

OrionFE

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I've got to hand it to you; not "eating your young" is something you don't see often in this business.
But the young will sure throw the old out in the street! lol
 

Chairman

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a bitter sweet victory for IPA.. but also a good sign that the senior guys aren't so willing to sell out the junior guys there, good on them! (wish American was more like this).
Friend of mine was discussing this with an IOE captain who could not afford the pay cut to help out with his second house and RV. While my buddy is taking reduced flying. There is always some who will eat there young Should put out those names of pilots that were willing to help out!

Chairman
 

HA25

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Friend of mine was discussing this with an IOE captain who could not afford the pay cut to help out with his second house and RV. While my buddy is taking reduced flying. There is always some who will eat there young Should put out those names of pilots that were willing to help out!

Chairman
Ain't that amazing.... 300K/yr and can't afford a small cut.. amazing.
 

OurMoney1

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The true value here is an organic example; we saved the jobs of our own and set an example for others to follow.

We need to stick together, ALWAYS!!! Protect your young and prevent the erosion of our careers as a collective group.
 

DOVPILOT

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Ain't that amazing.... 300K/yr and can't afford a small cut.. amazing.
If you were in his shoes with his senority number you'd be saying the same thing, it's call greed and if you are that stinking rich it's a powerful addiction.

http://www.youtube.com/watch?v=ROZMlfELtII .....ah listen to that groove....soul traaaaaaiiiiiinnnnnnnn

We all know we live and die by our senority number, so it's time to quit your bitch'n and move along.
 
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Airbum

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Kudos to the rank and file of the IPA who stepped up. :beer:
FAJ
Thanks Astar, I hope we did the right thing. Its funny now for me to hear about rich IPA pilots. Don't recall anybody calling me that back in the late 90's when we made the same money. Or the fact that we currently fly 747-400s for about 60% pay of what the legacy pilots got paid ..... but i drift.

congrats to all those who gave and get to receive.
 
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