TWU AA/AE Bankruptcy Information

The court read an opinion on the motion of the ad hoc PSA committee to prevent the debtors from changing terms and conditions without first going through a section 1113 proceeding. The court denied the motion of the ad hoc PSA committee. Procedurally, the count found that this type of relief needs to be brought by adversary proceeding (law suit) and not by motion. Substantively, the court denied the motion after finding that section 1113 only applies to circumstances where there is a collective bargaining agreement. Under the Railway Labor Act (the "RLA") the employer is permitted to make unilateral changes outside of the bankruptcy process and therefore can also do so during the bankruptcy case. As a final matter, the court declined to direct the debtors to release mailing labels because this additional issue is currently being litigated before the District Court before the Northern District of Texas in connection with other election issues.

TWU’s Lawyers Continue to Argue on Behalf of All Members in NYC Bankruptcy Court Today While Union Leadership Promotes Merger with US Airways as Best Option for American Airlines, its Customers, and Employees

NEW YORK – Election results were released this morning for seven separate work groups at American Airlines represented by the Transport Workers Union of America (TWU). Five bargaining units, representing Fleet Service Clerks, Dispatchers, Ground School Instructors, Maintenance Control Technicians, and Simulator Technicians voted “Yes” -- meanwhile Aircraft Maintenance and Related workers along with Stores Clerks voted to reject the terms in the company’s last offer. Each bargaining unit's vote is binding on the workers in that specific contract group.

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