Technical Specialists Update - 05/08/10
- By: Alan
- On: 05/08/2010 10:01:22
- In: Technical Specialists Updates
AA and the TWU reached a Tentative Agreement for the Maintenance Control Technicians Contract. You can read a summary of changes here.
Technical Specialists Update - 02/24/10
- By: Alan
- On: 02/24/2010 15:59:22
- In: Technical Specialists Updates
Mediator: Jack Kane
Technical Specialist Negotiating Committee: Howard McKinney, Gary Moffitt, Steve Luis, and Don Videtich
AA Negotiating Committee: Jim Weel and Bob Dubreuil and John Shelburg.
The company originally presented an outline of proposal to resolve outstanding articles. The outline was just that, an outline, and lacked specific details and contractual language. In fact the proposal raised more questions than answers. It was the opinion that the presented outline lacked the necessary substance to be considered an actual proposal. The company agreed to convert the outline into full text contractual language.
During that recess mediator Kane briefed the Union on National Mediation Board processes under the Railway Labor Act. We were informed that the term “impasse” is frequently misused. Under the RLA parties are required to make every reasonable effort to bargain until an “amicable agreement can be reached.” This can go on almost indefinitely and the determinations of the NMB are greatly deferred to by Federal courts. The NMB does not technically declare an “impasse”, it determines when an amicable agreement cannot be reached, once that is determined a proffer of binding arbitration is given (which has to be voluntarily accepted by both sides) once binding arbitration is refused that triggers a 30-day cooling off period.
At anytime a Presidential Emergency Board may be requested by the NMB to investigate and report on the dispute making recommendations that it deems appropriate. The President will appoint the board members of the PEB. Once the PEB is formed this continues the “status quo” to remain under the amendable agreement, there is a 30 day period to form the PEB and issue their report, although that 30 day period is often extended to finalize the report. Once the PEB issues their report that starts another 30 day cooling off. Congress may then intervene and implement the recommendations of the PEB, or compel arbitration, or request special panels.
The parties are; of course, free to reach an agreement at any time during this process. At the end of any cooling off period either party is free to engage in self help, including strikes, imposed agreements etc. During self-help the company can impose a contract.
The Company Proposal, Major Points
Article 3 – Hours of Work
Revert to 2001 contract language with 6 on/3 off-8.3 hour day
Union Position
The membership likes the current 4 on/3 off-10 hour day, the company has yet to offer a financial incentive that would give the membership reason to change from the current schedule
Article 4 - Compensation
- DOS, 3% Lump Sum
- DOS + 12, 3% Lump Sum
- DOS + 24, 2% Lump Sum
- DOS + 36, 2% Lump Sum
- Develop Variable Compensation in addition to lump sums and base hourly rates
Union Position
The total value over all four years of this proposal is approximately $6600.00. We took a 16.6% reduction in pay to save the company from bankruptcy in 2003. When the lost holidays and the reduction of the holiday rate of pay are factored into the equation we have been loosing approximately $8000.00 per year since 2003. The company proposal does not even make up for one year worth of lost pay. Furthermore this FOUR YEAR proposal will have us earning less per hour when it finally become amendable in 2014 than we were earning in 2001, 13 years without a significant structured increase is far too long. Additionally our industry analysis confirms we are approximately $10.00 per hour below industry standard, the company proposal does nothing to close that gap whatsoever. Had we not sacrificed in 2003 and had we maintained the rate of increase in the 2001 contract we would be at industry standard for our profession.
Article 7 - Holidays
- Add 2 in 2010 (total 7)
- Add 1 additional 2011 (total 8)
- Automatically required to work
Union Position
The industry standard, even amongst those carriers that have come out of bankruptcy, is ten holidays per year. AA management receives ten holidays per year. We are seeking parity with the industry and parity with other AA employees who did not sacrifice holidays in 2003.
Article 8 - Vacation
- Employees less than ten years may accrue 80 hours
Union Position
We seek reversion to the 2001 contractual accrual rate; this would bring us to parity with the industry and parity with other AA employees who did not sacrifice vacation days in 2003.
Article 34 – Sick Leave
- 2010, increase from 5 days to 6 days, credited for use in 2011
- 2011, increase from 6 days to 8 days, credited for use in 2012
Union Position
We seek revision to the 2001 contractual accrual rate; this would bring us to industry parity and parity with AA employees who did not sacrifice sick days in 2003.
Article 40 – Retirement
- Eliminate defined benefit for new hires
- New hires automatically enrolled in defined contribution
Union Position
Elimination of the defined benefit plan for new hires flies in the face of one of the central tenants of Unionism: equal benefits for all members. Furthermore, market fluctuations expose the employee to extreme financial risk. Many of you saw you 401k values reduced by up to 50% in 2008, had that investment been your defined contribution plan you would have seen your retirement funds slashed by half. Faced with a contract offering no structured increases, the Union feels its new members cannot afford the risks associated with a defined contribution type retirement plan.
Article 41 – Group Insurance
- Current retirees, no changes
- Current employees, refund prefunding and cease contributions
- Under-65, implement post funding plan in which employee pays up to 25% of premium when the employee starts using the plan, today’s cost is estimated to be $110.00 per person per month, this plan could be modified at will by AA to match management plans
- Over-65, a company sponsor medigap plan will be made available in lieu of current plan, today’s cost estimated to be between $80.00 and $180.00 per month
Union Position
Faced with a contract that offers no structured increases and no defined benefits for new hires the Union is opposed for any plan that would increase retiree costs and diminish benefits. Furthermore the Union is opposed to any plans that could be unilaterally modified by AA. These benefits are subject to negotiation and any subsequent changes must also be negotiated.
Article 47 –Duration
- Four years from DOS
Union Position
The Union is seeking a three year agreement effective on May 1, 2008
LOA on Profit Sharing
30% of first 250M
25% of 250M to 500M
20% of >500M
Union Position
The Union appreciates the company’s generous offer on profit sharing and will be glad to take our share of any profits.
>>> To View Company February 24, 2010 Proposal Click Here <<<
Summary
The company and the Union have signed tentative agreements on the following Articles: 1, 2, 9, 10, 11, 13, 14, 15, 16, 17, 18, 19, 20, 22, 23, 24, 25, 27, 28, 29, 30, 31, 32, 33, 35, 36, 37, 38, 39, 43, 44, 45 and 46. At this time it is the position of the Union that these TAs will stand for the duration of the negotiations.
The company and the Union have reached understandings in principal on the following Articles: 3, 6, 12, 21 and 26. It is the position of the Union that these understandings in principal may be converted to TAs upon satisfactory resolution of all other outstanding articles. In the event that an agreement cannot be reached on compensation, vacation or holidays, or any other outstanding article, any or all of these agreements in principal may be withdrawn or modified by the Union.
The following Articles are still open: 4, 5, 7, 8, 34, 40, 41, 42 and 47.
The Union and the company remain deadlocked over the most significant issues: Pay, Vacation, Holidays, Sick Leave, etc. No breakthroughs took place nor are any expected to take place in the near or foreseeable future.
All full text Tentative Agreements can be viewed at this web-site address: http://aa.twu.org/tentativeagreements/tentative.asp.
Your committee remains dedicated to securing an agreement through traditional negotiation, however, that may not be possible.
Your negotiating committee appreciates your continued patience and support, both of which are essential as we try to secure a work schedule and pay package acceptable to you.
Fraternally,
Howard McKinney
Gary Moffitt
Remember – Tentative Agreements reached during the course of negotiations on one or more articles are not final and binding until agreements are reached on all articles - nothing is final until everything is final.
Technical Specialists Update - 12/22/09
- By: Alan
- On: 12/22/2009 15:28:09
- In: Technical Specialists Updates
Dear Brothers:
Please note that there is a Technical Specialist Mediation conference scheduled for January 25th thru January 28th, 2010.
The sessions will begin at 1:00pm on January 25th and ending at 1:00pm on January 28th.
A hotel and meeting rooms have not been identified as of yet; you will be notified when once a location is secured.
Fraternally,
Don Videtich
International Representative
Technical Specialists Update - 11/12/09
- By: tmack
- On: 11/12/2009 08:53:14
- In: Technical Specialists Updates
The Technical Specialist Negotiating Committee met with the AA Negotiating Committee 11/09/09 thru 11/11/09. TWU Negotiating Committee: Howard McKinney, Gary Moffitt, Steve Luis, Tony McCoy and Don Videtich.
Technical Specialists Update - 09/02/09
- By: Alan
- On: 09/03/2009 13:44:24
- In: Technical Specialists Updates
Mediator Jack Kane is scheduled to meet with the senior management of American Airlines near the end of September. Following that meeting, he will be better equipped to judge the mediation situation.
Mediator Kane is presently holding the week of November 9, 2009 open for resuming mediation; please pencil these dates in your calendars. As soon as we have additional information, it will be forwarded to the Committee.

