Airlines India, Indian Airlines

3/9/2006

American Airlines pilots want raises

The president of American Airlines pilots union said labor leaders won’t participate in any efforts to improve employee productivity until union members receive gains in salaries, benefits and job security.

Ralph Hunter, president of the Allied Pilots Association, told pilots in a letter late Thursday that the union has dropped out of a company initiative to boost productivity. He also made it clear that pilots will be unwilling to bend on work rules in upcoming contract talks unless they are rewarded with higher wages and benefits.

“If management believes this airline still needs more productive pilot work rules, they are free to make their case, after outlining how they are willing to reward that productivity,” Hunter said.

American spokeswoman Tami McLallen said the airline continues to work with union members through a program of joint labor-management committees and meetings.

“We do remain committed to working together,” she said. “The focus must remain on collaborative efforts and shared initiatives to make sure we’re competitive in the marketplace.”

She said airline executives and labor leaders had jointly lobbied Congress in support of a bill to overhaul pensions.

According to union officials, the airline has indicated that improving productivity will be a primary goal for a new contract. The current pact expires in 2008. Under a provision triggered by American executives last month, negotiations for the next contract will begin Sept. 21.

American pilots fly fewer hours than some of their competitors, in part because of work rules that govern how flights are distributed among pilots. According to a union study, American pilots flew 608 hours each, on average, in 2005. Pilots at Continental, meanwhile, flew 754 hours, while Delta pilots flew 664 hours and United pilots spent 654 hours in the air.

Last year, American launched a companywide project, called the Performance Leadership Initiative, to measure the productivity of its workers, with the goal of improving efficiency. Initially all three of the airline’s unions signed on. But early this year, the union representing flight attendants dropped out after it was disclosed that about 1,000 top managers would receive hefty bonuses based on American’s stock price.

Hunter said the pilots’ decision to drop out of the initiative as well was also based on concern about the bonuses as well as hefty raises and stock perks awarded recently to top airline executives. Last week, the airline gave Chief Executive Gerard Arpey a 23 percent raise.

“A true collaborative effort is simply not possible when management places themselves in a special class and believes they deserve special treatment,” Hunter said.

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