Reason: Not Recovery -- Retirements

By the end of August, financially embattled United Airlines will recall all of the approximately 500 flight attendants who were laid off April 1st. The reason? No, it's not because the airline industry has suddenly perked up.

While there seems to be a light at the end of the long, dark tunnel, recovery isn't a word most people in the industry are yet ready to use. The reason, according to a report in the Rocky Mountain News is an unprecedented number of FA retirements at United.

The Association of Flight Attendants (AFA) says 2,500 FAs have gone to pasture recently. "Until 2003, only 1,600 flight attendants had retired in United's entire history," said AFA spokeswoman Sara Dela Cruz. "It's a huge number."

Where's Everybody Going?

"Flight attendants who had worked for the company for 20 to 30 years felt they wouldn't have the same quality of life," Dela Cruz said. "They didn't think they had an option."

She blames the mass retirement on a change in benefits for flight attendants, brought on, of course, by United's bankruptcy.

The changes, which went into effect on July 1, cost FAs both vacation time and money for insurance premiums. Under the new plan, flight attendants have to pay 20-percent of their insurance premiums, whereas those who retire pay none.

"We've had elevated levels of retirement across the board because of the contract changes," said United spokesman Jeff Green.

"It's always a difficult situation to put in furloughs across an entire company," Green said. "Hopefully at some point, we can get everyone back who was furloughed."

FMI: www.ual.com