Mon, Oct 30, 2006
Mechanics Still Holding Out
Finally, some good news to report for beleaguered Northwest
Airlines regional carrier Mesaba... as the airline announced Sunday
it has reached a tentative agreement with the unions representing
its pilots and flight attendants. Both deals aim to reduce labor
costs, while still keeping Mesaba's planes flying.
News of the deals comes five days after the court barred Mesaba's pilots,
flight attendants, and mechanics from striking the
airline. The airline has yet to reach any agreement
with the third group.
Bloomberg reports Mesaba had asked the pilots for a 17.5 percent
pay and benefits reduction, while the Air Line Pilots Association
(ALPA) had countered with a 15 percent cut. Terms of the deal
weren't released... but it's likely the TA falls somewhere in
between.
Mesaba had also insisted on a 17.5 percent pay cut with its
flight attendants. The airline had planned to impose that contract
on them if a deal had not been reached.
"All along we have believed that consensual agreements are in
the best interest of all involved -- the company, its employees and
our passengers," said John Spanjers, Mesaba president and chief
operating officer. "Reaching a second consensual agreement in just
as many days builds on the progress we have already made in our
plan to emerge successfully from restructuring."
The pilots contract must now be voted on by the union's master
executive council, before it goes before voting members of the
ALPA. The deal with the flight attendants will go through a similar
process with the Association of Flight Attendants.
As Aero-News reported, Mesaba
filed for bankruptcy protection a year ago, one month after
Northwest skipped payments to the regional airline following its
own foray into Chapter 11.
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