Flight attendants for American Airlines will vote on the company's final contract offer, the Association of Professional Flight Attendants said Friday, becoming the last of the airline's unions to agree to a rank-and-file election.
Union spokesman Leslie Mayo said the group's leadership will begin a "road show" at American's bases next week to meet with the membership, explain the offer and answer questions.The proposal, worked out in negotiations between American and the APFA over the last month, is not a tentative agreement and the union is making no recommendation to approve or reject."This is not something we would ever agree to," Mayo said, "but we do want to give our members the option to vote on improvements" the proposal contains over the terms of American's earlier Section 1113 term sheet.American is seeking more than $1 billion in employee-related concessions as part of its bankruptcy restructuring. It revised its initial proposals to the unions after US Airways, eyeing a merger, signed tentative term sheets with the unions in April. Last month, U.S. Bankruptcy Judge Sean Lane put off a decision on terminating existing union contract until Aug. 15 to give the company more time to reach agreements with the unions.American still wants to eliminate 2,300 flight attendant jobs, but the negotiated offer includes a $40,000 buyout payment for those with more than 15 years of service. If enough flight attendants left voluntarily, it could reduce or eliminate the need for layoffs.The contract also includes a 3 percent raise at the time of signing, 2 percent one year later, 1.5 percent the next year and 1 percent in each of the last three years.In a message posted on the APFA website and emailed to members, President Laura Glading said that American's offer "represents the absolute best terms our negotiating team was able to achieve" and "contains substantial improvements" over the term sheet.Long-time American flight attendant Beth Smajstrla said she would not vote for the proposal, in part because of its six-year term and because she has no faith in the airline's management."It's too vague. There's too much that's not spelled out that could be changed at the company's discretion," Smajstrla said. "It keeps them in charge and we don't trust them."All of American's unions have now agreed to submit the company's "last, best and final offers" negotiated after the filing of the term sheets to a vote.American spokesman Bruce Hicks said the airline was pleased with the decision and "we're closer to reaching consensual deals with all of our unions and positioned to emerge successfully" from the bankruptcy reorganization.In return for ratifying the contract, American management would support the union receiving a 3 percent stake in the stock of the reorganized company that would eventually flow to the individual flight attendants.Even if they approve the contract agreement, union leaders say they still support a merger with US Airways.On Thursday, AMR's chief executive Tom Horton met with US Airways CEO Doug Parker to discuss the bankruptcy process. Later, in New York, Horton told journalists at Bloomberg News that he will not be pressured into a deal by US Airways."American is not going to determine its strategic future based on the urgent need of another company to make a deal," Horton said.While the value of US Airways "is probably at its high water mark," he said, the "value of our company is increasing."American has said it will compare mergers and strategic options against its own plan to remain independent, but is not convinced it needs to merge and not necessarily with US Airways."US Airways has been for sale for a very long time," Horton said. "It's fair to say what their sort of earning power looks like today will erode over time."This article includes material from Bloomberg News.Bob Cox, 817-390-7723Twitter: @bobcoxictHave more to add? News tip? Tell us
