Union leaders are asking American Airlines' pilots to carefully consider their vote this week on the last contract offer made by the Fort Worth-based carrier.
Although Allied Pilots Association president David Bates and other officers have not endorsed the offer, the union spelled out the benefits of voting "yes" and the downside to voting "no" in a hotline message Monday afternoon. Results of the ratification vote are scheduled to be announced Wednesday.Calling a yes vote "a leap of faith," the union points out that approving the contract will provide pay raises and a 13 percent equity stake in the company when it emerges from bankruptcy. If the offer is turned down, the union says, the bankruptcy judge will likely reject the pilots' existing contract and put a concessionary agreement in place that American says is needed to restructure successfully."We have tried to remain as neutral and objective as possible. Our goal has been to present as much information as we could so you have the same set of facts that your leadership has been absorbing during the past several months," the message said. "Our advisers, however, have been adamant that the best way to have control over our own destiny is to put the 1113 process behind us and secure the claim, which will make APA the single largest stakeholder of American Airlines."Union mechanics and store clerks are also voting on a contract offer by American. Those results are expected Wednesday.U.S. Bankruptcy Judge Sean Lane is scheduled to rule on American's request to reject its labor contracts Aug. 15.Separately, American said Monday it will lay off 40 people at its cargo operations at Dallas/Fort Worth Airport.The carrier filed paperwork with state officials indicating that affected employees would be laid off on Sept. 21 as part of the company's restructuring."Our affected people had an opportunity to sign up for an early-out voluntary separation program, and though those options have not been awarded yet, it was necessary to forecast staffing reductions and issue WARN notices where required by federal or state law," said American spokesman Bruce Hicks. "Thus, it is likely some employees who may be granted an early-out option will also receive a WARN notice, but for them, it is merely a formality."Also Monday, International Airlines Group, which owns British Airways and Iberia, confirmed that it would consider taking a stake in American if it would keep American in the Oneworld alliance.IAG's chief executive, Willie Walsh, told The Financial Times that it is prepared to buy a stake "if we can make the case that there is additional strategic value to be achieved."Last month in Washington, D.C., Walsh said he would not reject the idea of a merger between American and US Airways as it had "some merit in it."This article includes material from the Star-Telegram archives and The Associated Press.Andrea Ahles, 817-390-7631Twitter: @Sky_TalkHave more to add? News tip? Tell us
