Latest Pause In Ongoing Negotiations

UPS announced Friday the federal mediator in charge of negotiations between UPS and the Independent Pilots Association (IPA) has put the talks in an indefinite recess. The main contract items still on the table are compensation and benefits.

UPS pilots are among the highest paid in the industry, according to the company, earning an average of $175,000 a year.

In the National Mediation Board's notification to the parties, the negotiations have been placed in an indefinite recess as of December 23, 2005. Although no future mediation sessions have been scheduled at this time, the mediator indicates both sides should "re-evaluate negotiating positions with respect to the remaining issues and prepare to bring the negotiations to a successful conclusion."

As was reported in Aero-News, the last time a recess in the ongoing talks was called was over the past summer. That "indefinite recess" lasted the better part of three months, until the NMB called both parties back to the table in September.

There can be no strike or work stoppage while the parties are in recess. UPS pilots are legally obligated under the Railway Labor Act to continue working under the existing contract during any recess.

A recess often is a normal part of the mediation process, allowing the company and the union time to evaluate their positions. While negotiations are officially suspended during this time -- it does not prohibit the two parties from continuing to talk behind-the-scenes.

"We made progress during talks this week," said Bob Lekites, vice president of UPS airlines and international operations. "While the company and the union still have differences to address, UPS remains committed to continue negotiations until an agreement can be reached."

UPS representatives told Aero-News the company continues to believe the federally prescribed negotiating process will result in a contract that best serves the interests of its employees, customers and shareholders.

Moving forward, the federal mediator will continue to control the timing and pace of negotiations. "The company remains ready and willing to meet at any time or place specified by the federal mediator," added Lekites.

FMI: www.ipapilot.org, www.ups.com