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Southwest And Unions Make Progress In Labor Contract Negotiations

Carrier Reaches Agreements With FAs And Ramp, Operations, Provisioning, and Freight Agents

Southwest Airlines reached a tentative agreement last week with the Transport Workers Union Local 556, which represents more than 9,800 Southwest Flight Attendants. The tentative agreement is for a new four-year contract through May 31, 2012. Southwest and TWU 556 began contract negotiations in May 2008.

"We are pleased with this mutually beneficial contract that delivers enhancements to pay and benefits for our hard working Flight Attendants," said Daryl Krause, Senior Vice President of Customer Services. "This agreement demonstrates TWU 556's commitment to maintain Southwest's unique culture, competitive position, and financial strength during these challenging economic times."

Thursday, the TWU 556 Board voted for the Tentative Agreement to be presented to the Flight Attendants for their vote. The TWU 556 membership will be given the full details of the agreement and will have the opportunity to vote on ratification in the next few weeks.

"We know it's up to all of us to help the company succeed," TWU Local 556 president Thom McDaniel, a flight attendant for 17 years, said. "I would say there are no concessions at all in the contract." McDaniel added that the contract includes three years of mandated pay raises, with salaries in the fourth year to be based on the profitability of the company.

In other negotiations, Southwest's Ramp, Operations, Provisioning, and Freight Agent Employees, represented by the Transport Workers Union Local 555, voted four-to-one to ratify the tentative three-year agreement both parties reached in February 2009. The new contract is active through June 30, 2011. The official Collective Bargaining Agreement will be signed in Dallas on April 7, 2009.

"We're very pleased our hard-working employees, represented by TWU 555, voted to ratify this new contract," said Greg Wells, Senior Vice President of Operations. "Today's positive vote allows us to reward our Ramp, Operations, Provisioning, and Freight Agent Employees for their contributions to Southwest, but at the same time enables the Company to sustain its success in an increasingly tough economy."

The new contract delivers raises in exchange for work rule improvements and scheduling flexibility along with productivity and gained efficiencies. TWU Local 555 represents approximately 7,780 Southwest Airlines Employees.

FMI: www.southwest.com, www.twu556.org, www.twu555.org

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