Says Airline Violated Labor Laws With Pilot Incentive Programs

The Air Line Pilots Association, Int'l filed suit in US District Court Friday on behalf of pilots at Champion Air, asserting management at the carrier violated the federal statute that governs contract negotiations in the airline industry.

"Champion Air management is circumventing the law and this union in its attempt to address a pilot shortage caused by the company's low pay and inferior working conditions," said Capt. John Prater, president of ALPA. "The company should be focused on working cooperatively with ALPA at the bargaining table to improve pay and working conditions for all Champion pilots. The bottom line is that ALPA will not allow any management team to undermine our union's legal right to negotiate fair wages and work rules for pilots."

ALPA says Champion Air recently announced it would unilaterally implement two new financial incentive programs designed to reduce pilot attrition and maintain Champion's current level of charter flying -- issues the parties have addressed in negotiations. By offering these incentives, Champion Air changed the "status quo" pay and working conditions of the pilots without first bargaining and reaching agreement with ALPA.

"We are asking the Court to bar the company from implementing the retention and premium pay programs because they unilaterally change our contract without exhausting the federally mandated negotiations process," said Capt. Matt Marsh, chairman of the Champion Air unit of ALPA. "These rules are meant to prevent the company from ignoring the union and implementing whatever terms and conditions of employment they choose when they choose."

"Union leaders offered to negotiate acceptable terms for both programs," Marsh continued, "but in both instances the company refused to negotiate provisions that would make them more than just company table scraps. Because the company is unwilling to negotiate the permanent improvements in our contract that will keep pilots on the property, they are now stooping to offering bribes."

The union's lawsuit may be the least of Champion's problems, however. As ANN reported earlier this month, airline CEO Lee Steele has warned Champion faces the loss of "all contract revenue" on its current obligations by the end of August 2008, and will need new funds to survive past that. The airline -- which operates a fleet of Boeing 727s -- currently operates charter flights for Northwest Airlines subsidiary MLT Vacations, and 13 National Basketball Association teams.

Champion pilots and management have been in negotiations for a new contract since January 2005. A federal mediator, appointed by the National Mediation Board, joined the negotiation process in September 2005. In October 2007, Champion Air management requested the NMB recess the negotiations. In response, the NMB indicated that a recess was not appropriate at this time and instructed ALPA to be ready to return the bargaining table in early 2008.

Many employees at Champion have responded to ongoing strife by simply leaving. A full 40 percent of the 142 pilots at the airline as of January 2007 have left; some have been replaced, bringing the company's current roster to 107. A number of executives have also jumped ship.

FMI: www.alpa.org, www.championair.com