USAPA: Downfall is coming from within!

[T2Bus]

Quick Facts #8 Hosted on Unbiased Facts
June 22, 2009

US Airways Calls for Consolidation



US Airways’ Next Merger – what can the pilots expect?


US Airways CEO still interested in airline deals

Source:
http://www.thedeal.com/corporatedealmaker/2009/06/us_airways_ceo_still_interes
te.php

US Airways Calls for Consolidation

Source:
http://www.thestreet.com/_yahoo/story/10511980/1/us-airways-calls-for-
consolidation.html?cm_ven=YAHOO&cm_cat=FREE&cm_ite=NA

US Airways CEO calls for more consolidation

Source:
http://finance.yahoo.com/news/US-Airways-CEO-calls-for-more-apf-
15490603.html?.v=2

Doug Parker speaks to Consolidation and Industry Fragmentation, too many hubs,
and not enough passengers for companies to be profitable

Source:
http://www.usairways.com/awa/content/aboutus/investorrelations/webcast.aspx


USAPA Frequently Asked Questions (Prior to the NMB Representation Election)

Question – “What merger protection will we have after USAPA is elected?”

Answer – “A high priority during negotiations with the Company will be the
renegotiation of contractual protections in the event of a merger; such provisions
are binding upon the Company. However, prior to successful negotiation of said
provisions, merger seniority integration would be governed by Sections 2, 3 and 13
of the Allegheny-Mohawk Labor Protective Provisions. This is also guaranteed
under the provisions of a new law signed by President Bush, H.R. 2764. ALPA
merger policy will no longer be applicable, since that policy is restricted in its
application to mergers between two ALPA-represented carriers.”

Source:
http://1.usairlinepilots.org/members-only/old_files/faq.htm


Seniority Merger Legislation (H.R. 2764, SEC. 117. Labor Integration - Omnibus
Budget Bill)

H.R. 2764 was adopted by Congress after to provide a “floor” or minimum
protection for seniority. Prior to this law there was no legal protection for seniority,
which led to unfair results – like thousands of senior TWA flight attendants being
stapled to the bottom of the seniority list at American.

If both work groups in a merger are represented by the same union, the law
explicitly recognizes that the union’s merger policy has jurisdiction. If both groups
are not in the same union, or if both groups are unrepresented at the time of the
merger, then the minimum protections of the new law kick in, and seniority would
be integrated on the basis of a “fair and equitable” standard.

H.R. 2764 is based on Sections 3 and 13 of the Allegheny-Mohawk Labor
Protective Provisions (LPPs). It doesn’t guarantee date-of-hire protection, but it
does provide for final and binding arbitration if the two groups cannot agree on
how to integrate the seniority lists. An arbitrator, independent of the company or
the union, is selected from a list provided by the National Mediation Board and
hears both sides of the seniority integration case.

Source:
http://www.nwaafa.org/docs/QA4.pdf/

Source:
http://www.locallodge141.com/articles/legislative/McCaskill-Bond Bill.html

Source:
http://michiganmachinists.com/news.html


USAPA Constitution & By-Laws - Merger Dues Increase? More USAPA FPL?

USAPA C&BL 5(f) - For expenses related to a proposed merger or acquisition, the
BPR is authorized to increase dues by ½% of qualifying income.


Summary - The USAPA experiment continues. Recent Federal Law doesn't
recognize USAPA's DOH mandate, far from it, it's recognizes "Fair and Equitable"
as determined by an arbitrator (sound familiar?). A seniority integration arbitration
case brought before an arbitrator with a DOH mandate like USAPA's could blow
up in the face of the US Airways pilots just like it did before arbitrator Nicolau -
who also arbitrated under a "Fair and Equitable" standard. Can the US Airways
pilots stand to suffer yet another disasterous outcome? Is USAPA so arrogant that
they can't recognize the risk they put all US Airways pilots in with their DOH
"mandate" that doesn't work in a "Fair and Equitable" world? We will continue to
learn painful lessons until we find a smarter way. Under USAPA, the hope of using
a make-believe argument that the seniority list is "a creature of the contract" was
put to death in an Federal court in Arizona. It might be time for some self-
assessment on how many more losses we want to suffer by buying into USAPA's
dead-end strategies.

 

[T2Bus]

Another one.....

Quick Facts #9 Hosted on Unbiased Facts
June 23, 2009

We Fully Expected to Lose The DFR Lawsuit We Said Could Never Happen



USAPA’s Willful Misrepresentations

USAPA Website Rumor Control Section (Prior to the NMB Representation Election)

Question - “I heard that if USAPA renegotiates the list using DOH, it will be grounds
for a DFR lawsuit."

Answer - “FALSE”.

Source:
http://1.usairlinepilots.org/members-only/old_files/rumor_control.htm (log in required)


USAPA Update – May 13, 2009

“The 9th Circuit Court of Appeals and, if necessary, the United States Supreme Court,
are the appropriate places for the law to be truly vetted. While USAPA would have, of
course, preferred to prevail in the current setting (allowing the pilot group to come
together and work towards an improved contract), we fully expected and planned for
this contingency.”

Summary – Prior to the ALPA – USAPA NMB Representational election in a
Question and Answer Section USAPA stated that there would be no grounds for a DFR
lawsuit if USAPA attempts to renegotiate the seniority list using DOH. However,
following the unanimous 9-0 jury conviction finding USAPA guilty of DFR, USAPA
said, “we fully expected and planned for this contingency.”

Which comment is true? This wasn't just a little wrong – they were miles off. How
much more of this should the US Airways pilots continue to tolerate while the pilots in
the rest of this industry are making steady gains in pay, retirement, benefits and quality
of life?

 

[get2flyin]

A 1 year meter? is that like a fence? how 'about a 20 year meter??

A mock bid? pretty much useless....

How 'about you wake up and face reality? The seniority list is decided.

 

[T2Bus]

They knew and hid the facts from the East Pilots:

Unbiased Facts - #17
June 24, 2009

US Airways East Union Merger Committee Report(s) on the Upgrade
Delay and Economic Loss Due to the Nicolau Award

Who US Airways ALPA and USAPA Merger Committees, MEC, and BPR

What The East Merger Committee Hired Airline merger Market
Analyst/Consultant Rikk Salamat to conduct and provide an
economic analysis of the Nicolau Award to the East pilot group union
leadership.

When Spring 2007

Where Toronto, Canada

Why The Merger Committee requested an expert consultant’s opinion to
provide a public report to the ALPA Executive Council in an attempt
to have the Nicolau Award vacated.

How Not only did the consultant provide a public report he provided a
private report that has been hidden from the pilot group by ALPA
and now USAPA. This report is very revealing and provides economic
loss information, if any, for each East pilot.

Fact #1 The US Airways East ALPA East Merger Committee hired Rikk
Salamatt to provide seniority integration consultant services.

For more information on Rikk Salamat’s background and experience take
a look at his profile:

http://www.linkedin.com/in/rikks

Salamat has been used by several airline union Merger Committees to
provide factual data on the effects of a seniority integration including the
recently concluded Delta Air Lines and Northwest Airline’s pilot
integrations.

Fact #2 US Airways ALPA MEC Presentation to ALPA Executive Council
(EC) - May 21, 2007

For more information on the public material contained in Rikk Salamat’s
analysis of the Nicolau Award’s effects on Captain Upgrade and financial
effects on the East pilot group take a look MEC’s presentation to the EC
on May 21, 2007:

http://www.unbiasedfacts.org/AAAMergerCommitteeToECMay2007.pdf
Fact #3 The Salamat Report Excel Spreadsheet on pages 11 through 17 of the
US Airways ALPA MEC Presentation to ALPA Executive Council
(EC) - May 21, 2007 provides Narrowbody and Widebody Captain
Expectancy Data for the Combined East and West pilots with Pre-
merger, Merged, and Impact Data.

For more information on the report:

http://www.unbiasedfacts.org/AAAMergerCommitteeToECMay2007.pdf

Fact #4 The Salamat Report Extract concludes 80 out of 136 East First
Officers from combined seniority numbers 4409 to 4768 were never
going to upgrade to Narrowbody Captain pre-merger or that the
Nicolau award had no effect on their career expectation. The non-
public version of the Salamat Report that the ALPA MEC and
USAPA BPR have not released to the pilot group is even more
revealing in that several hundred East pilots would never have
upgraded to Captain based on an age 60 retirement and that
“Narrowbody First Officer” was their career expectation and remains
their career expectation.

For more information on the report:

http://www.unbiasedfacts.org/AAAMergerCommitteeToECMay2007.pdf

Fact #5 The lowest seniority East active pilot when the merger was announced
with uninterrupted continuous service is Joe Monda, combined
seniority number 4768. The Salamat Report concluded that pre-
merger Monda would never upgrade to Narrowbody Captain and
would retire at age 60 as a First Officer and the Nicolau Award did
not effect his pre-merger Narrowbody Upgrade Career Expectation.

For more information on Monda’s position look at the 6 page of the
spreadsheet:

http://www.unbiasedfacts.org/AAAMergerCommitteeToECMay2007.pdf

Fact #6 The Salamat Report states the lowest seniority East active pilot when
the merger was announced with uninterrupted continuous service
who could have upgraded to Narrowbody Captain pre-merger is Jim
Ziegler, combined seniority number 4764.

The Salamat Report indicates pre-merger Ziegler’s expectation for
upgrade to Narrowbody Captain was 2015 and the Nicolau Award would
delay his upgrade to 2017 (worst case scenario is two years).

For more information on Ziegler’s position look at page 17 of the report:

http://www.unbiasedfacts.org/AAAMergerCommitteeToECMay2007.pdf

Fact #7 The Salamat Report indicates the Average pre-merger to merged East
First Officer Narrowbody Captain Upgrade was delayed about 22
months.

For more information on the report:

http://www.unbiasedfacts.org/AAAMergerCommitteeToECMay2007.pdf

Fact #8 Joint Negotiations - Spring 2007

In early 2007 US Airways provided the ALPA Joint Negotiating
Committee (JNC) their joint contract pay rate increase opening offer. This
was called the Kirby Proposal and provided East pilots a 17% and West
pilots a 3% pay raise along with the same percent increase for DC Plan
retirement contributions.

Fact #9 Leonidas Update - May 8, 2009

"Captain (Jack) Stephan did recall a conversation he had with company
negotiators that the company would be amenable to a 7-10% pay increase
(beyond the Kirby Proposal) for everyone in order to get a joint contract."

Fact #10 Current East Narrowbody First Officer Group II pay is about $85 per
hour.

Fact #11 The monthly gross pay for an East Narrowbody Group II First
Officer who flies 90 hours per month is approximately $7,650 per
month.

Fact #12 Current East Narrowbody Group II Captain pay is about $125 per
hour.

Fact #13 The monthly gross pay for an East Narrowbody Group II Captain at
76 hours per month short call guarantee is approximately $9,500 per
month.

Fact #14 Per Jack Stephan’s testimony under oath at the Addington trial the
US Airways East pilots could have obtained a 27% pay increase
during contract negotiations.

Unbiased Facts previously reported in an article regarding Mounting
Financial Loses that East Narrowbody First Officer’s are losing about
$2,277 (monthly) per former ALPA MEC Chairman Jack Stephan’s sworn
testimony at the Addington trial.

For more information on Mounting East Pilot pay Losses due to current
new contract negotiations that are at a stalemate due to the seniority
integration litigation look here:

http://www.unbiasedfacts.org/unrecoverablelossesJune2009Update.pdf


Fact #15 The Nicolau Award was released to both MEC’s on May 3, 2007 or
about twenty-five months ago.

If the Joint Negotiating Committee had reached a new contract agreement
in May 2007 that implemented the Nicolau Award Jim Ziegler and every
pilot senior to him would have earned more than $57,000 in pay and
retirement benefits than he has today.


Conclusion The Salamat Report indicates the worst case scenario for an East active
pilot is a two year Narrowody Captain upgrade delay.

The cumulative East pilot pay loses from May 3, 2007 through June 1,
2009 are listed in the table below with exact details on how these figures
were derived contained in the link below the table.

Cumulative Financial Loses for East and West pilots Effective June 1,
2009

Pilot Group Captain First Officer
US Airways East $84,150 $56,925
US Airways West $42,078 $34,650

http://www.unbiasedfacts.org/unrecoverablelossesJune2009Update.pdf


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End of the Unbiased Facts Update for June 24, 2009

Unbiased Facts Article 17, 2009