ALPA’s Plan for Positive C

By Susan Burke A little history Contributing Writer From 1985 to 2001, ALPA pilot groups made very substantial gains in collective ay you’re flying a B-757 to bargaining, including during the weeks Madrid above some lousy just before 9/11. The catch was that weather, and an engine 9/11’s interruption of the bargaining flames out over the Atlan- cycle left a $100-an-hour disparity be- tic. Along with experienc- tween pilots flying the same equipment ing a spike in your blood at different companies, so the pattern Spressure, you start thinking about di- of bargaining and ALPA’s efforts to verting—probably to the Azores. After achieve similar contract terms for pilots landing, everyone faces the question of across the industry was left incomplete. how to get to their destination. After 9/11, the disparity between It’s a situation not unlike the recent rates closed to $40 an hour, though it 6-year bankruptcy era during which happened in the worst way. Instead of (mis)management—aided by bank- leading the pattern with traditionally ruptcy-court limits on bargaining and strong , ALPA was forced into pilots’ right to strike—worked to shred bargaining with the financially weakest pilots’ collective bargaining agree- ones first when US Airways and United ments at airlines large and small. Pilots were the first to file bankruptcy. Other Capt. Jay Pierce, Continental’s MEC weren’t the cause of the problem, but managements then sought the chairman: “It’s essential to coordinate they sure suffered the most severe same rates and terms regardless of with fellow pilots over goals and strategy. consequences. The question now is: their financial situation. We’re all in this together.” how do ALPA pilots get to their destina- “ALPA wasn’t allowed to bargain the tion—contracts that recognize their con- way it always had. Instead, bankruptcy After 5 years of negotiating, Atlantic tributions to the airlines they work for? judges put a 51-day stopwatch on the in November 2007 Especially, as fuel spikes higher and bargaining parties and took away our ratified a contract that improves wages, the economy slows. right to strike,” York reflects. work rules, job protections, and schedul- Bruce York, director of ALPA’s Repre- By the era’s end, more airline man- ing. Letters of agreement at United in- sentation Department, believes firmly agements took advantage of bankrupt- clude improvements in long call/short that this bargaining cycle is different, cy protection—Comair, Delta, Mesaba, call and days off for reserves, along with and he sees reasons to remain opti- Northwest, US Airways for a second work-rule enhancements on the narrow- mistic York know the fundamentals time—tearing down the progressive pre- body fleet. Northwest pilots increased behind the headlines: it’s a new cycle 9/11 standards. But the tide has turned. deadhead pay from 50 percent to 100 of bargaining in a changed environ- “Contract repair is already taking percent and negotiated premium pay ment in which capacity continues to be place,” York says. The evidence sur- for hours over 80. Delta pilots made constrained, and the agreements com- faced at the cycle’s beginning with “a miscellaneous improvements in letters ing up for renegotiation support the great contract at FedEx,” he says, fol- of agreement. And tentatively agreed likelihood that the pilot groups heading lowed by big contract improvements at single-contract provisions for pilots of US for the table will make progress. UPS, ASTAR, and Ryan. All these pilot Airways and America West, though Rather than financially weaker air- groups obtained major pay increases, stalled by internal pilot division, already lines leading the bargaining cycle as scheduling improvements, job security had achieved $100 million in improve- they did during the 2001-to-2006 pe- enhancements, and in some cases, ments, including 10 more days of vaca- riod, stronger airlines, like Alaska, health and retirement benefit gains. tion per year, more days off, duty rig in- Continental, and Hawaiian, are now at “Improvements were not limited to creases, and premium pay. the front end of the bargaining cycle cargo contracts,” York says. “Pilot bar- Brighter prospects are attributable and will help continue positive con- gaining at passenger airlines has also to several factors. First, “despite ques- tract patterns. been positive.” tions about fuel prices and the econ-

14 • Air Line Pilot May 2008 Collective BargainingBy ALPA Staff

omy generally, capacity is constrained, dinated, industrywide approach—in- and revenue has remained high,” York creases the leverage that can be ap- says. “Second, the bargaining time line plied in the new bargaining cycle. is under our control, not the bankruptcy In February of this year, pilots union judge’s control. We can decide whether officials from 40 airlines in the United and when contracts meet our mem- States and Canada met at a 3-day bers’ expectations. Third, a more labor- ALPA-sponsored gathering at ALPA’s friendly White House, if that happens Herndon, Va., offices to discuss bar- later this year, could provide an envi- gaining goals and strategy for deter- ronment in which employee issues and mining and implementing favorable interests are taken more seriously. contract patterns and to coordinate “But maybe most important,” says members’ support of each other’s ne- York, “is that the bargaining cycle is be- gotiating efforts. Besides ALPA-repre- ing sequenced with financially strong sented pilot groups, participants in- airlines up front setting the new pat- cluded representatives from indepen- tern—not bankrupt and weak airlines dent unions for pilots of Air Canada, establishing patterns of pay, benefits, AirTran, American, Frontier, Southwest, and work rules.” and World Airways and Horizon. “We’re one of the first legacy airlines Bruce York, director of ALPA’s Represen- Good teams win to begin negotiations in the new bar- tation Department, believes, “A positive Along with these obvious differences, gaining cycle,” said Capt. Jay Pierce, bargaining cycle has returned, and contract consolidation events and airline needs Continental’s MEC chairman. “It’s es- repair is taking place.” may provide opportunities to bargain sential to coordinate with fellow pilots and improve contracts even before over goals and strategy. We’re all in this and Mesaba—met in Cincinnati to de- their current amendable dates. Given together.” velop a common strategy for contract these different dynamics, ALPA’s team In August 2007, the leaders of five negotiations with their respective approach to negotiations—for indi- ALPA pilot groups— Atlantic Southeast, managements. vidual pilot groups and through a coor- Comair, ExpressJet, , “What happens at one airline is go- ing to affect pilots at other airlines,” Capt. Tom Wychor, then Mesaba MEC chairman, said at the time. “If we watch out for one another, we protect ourselves at the same time.” And in March, leaders of these five groups and others met in St. Louis to talk about strategies for protecting jobs and building careers at fee-for-departure airlines (see “ALPA at Work,” page 26). “We will be patient, but persistent,” said Capt. Dave Nieuwenhuis, ASA MEC chair, in the wake of his group’s recent contract success. “We proved what pilots can do when we commit to win—and are willing to work together.” ALPA’s reinvigorated Collective Bar- Members of ALPA’s Representation Department are out in force to answer questions and gaining Committee and the Strategic make forecasts during the Association’s Collective Bargaining Roundtable Discussion, Preparedness and Strike Committee held in February in Herndon, Va. are the centerpieces of the initiative of

May 2008 Air Line Pilot • 15 ALPA’s president, Capt. John Prater, to restore wages, working conditions, and benefits by establishing advantageous contract patterns and enabling close co- ordination among pilot groups. All Together Now Boots on the ground A prime example of what pilot mem- Pilots of Groups of All Sizes Were at bers, with the assistance of their lead- ALPA’s Annual Collective Bargaining ers and the SPSC, can accomplish in Roundtable to Compare Notes on support of negotiations is the Continen- tal pilots’ Unification Rally on March 12 Negotiating Strategies and Tactics in New York’s financial district. More et’s take a vote: Who wants and ongoing negotiations by the pilot than 500 pilots from Continental and more pay in their paycheck? reps are “the heart and soul of our at least five other pilot groups marched LBetter work rules? Im- Roundtable.” Punctuating those reports through the streets with one message: proved quality of life? A better pen- were presentations on several topics of Management must deal with pilots if it sion? Stronger scope language in vital interest to the reps and the line pi- wants successful airlines. It was one of their contract? Thought so. lots they represent, such as Age 65 bar- many multi-group rallies that have Here’s one part of the formula for gaining issues, labor integration legisla- been held in the last year. success: Send your MEC reps to tion, and merger-related negotiations. Six days later, Prater was the only ALPA’s Collective Bargaining labor leader to address the 2008 Roundtable Discussion, an event Pattern bargaining opportunities JPMorgan Aviation and Transportation that brings together MEC officers David Krieger, manager in ALPA’s Eco- Conference in New York. He told the and negotiating committee mem- nomic & Financial Analysis Depart- leading U.S. financial analysts that in bers, ALPA national officers, and se- ment, reported on the current and pre- light of the tremendous concessions nior ALPA staff, plus pilot reps from dicted state of the airline industry. Not- by ALPA’s members in the last 6 years, several independent pilot unions. ing the “four-way interplay of the they are standing firm on restoring The aim of the Roundtable is to dis- economy, fuel prices, capacity, and pric- their contracts. cuss bargaining goals and strategy ing,” Krieger said that external indica- “When you add it all up,” York says, as part of joint efforts to set and at- tors are mixed. “However, even with a “a different environment, a vision and tain favorable contract patterns for weakened economic backdrop, we still plan, control of the time line, consolida- pay, benefits, and work rules, and to expect the mainline passenger industry tion events, and the members involved coordinate member activities in to be profitable in 2008, with a current showing support—500 pilots who are support of negotiating efforts. net income estimate of $1.7 billion, apathetic about their contract do not The first joint ALPA-sponsored down from about $3 billion in 2007. show up—are all providing bargaining conference of pilot union leaders The cargo and fee-for-departure indus- opportunities and leverage that wasn’t was held in mid-2006, and two tries continue to be solidly profitable, present in the period we’ve just been meetings were held in 2007. although there are some airline-spe- through just after 9/11. Attending this year’s Roundtable, cific issues in both industries.” “ALPA pilots know how to achieve held February 12–14 in the Against that backdrop, Bruce York, great gains, because they had done it Association’s Herndon, Va., Confer- director of ALPA’s Representation De- for many, many years before 9/11, and ence Center, were 52 pilots from 43 partment, talked about current and they’re doing it again now. They pull to- ALPA pilot groups. Also participating near-term opportunities for pilots to ne- gether, work across pilot group lines, were pilot reps from several inde- gotiate improvements in key contract take advantage of opportunities, and pendent pilot groups. areas—pay, benefits, work rules, pen- make use of the resources that the As- The 3-day gathering featured a sions, and scope/job security. The eco- sociation provides. packed agenda. As the chairman of nomic picture, the order of contract ne- “That approach results in the air- ALPA’s Collective Bargaining Commit- gotiations, and possible changes at the speed and altitude that has us heading tee, Capt. Donn Butkovic (US Air- National Mediation Board after the on to our original destination.” ways), said, the reports on recent U.S. presidential election are contribut-

16 • Air Line Pilot May 2008 mutually supportive and covered the Said a pilot from another indepen- breadth and depth of pilot collective dent union, “We’ve had a problem with bargaining issues. Some snapshots: getting our pilots to stand up for them- The president of one independent selves and enforce their contract. Lack union said that, not long after entering of unity has hurt us in the past, and it’s bankruptcy protection, his airline hurting us now. We’re open to anyone’s started spinning off major parts of the ideas on how to improve that.” operation—maintenance, the frequent- The MEC chairman of a small ALPA flier program, the regional feeder. He pilot group in duress declared, “Our said that the airline’s “public numbers brothers and sisters throughout ALPA Capt. Donn Butkovic (US Airways) chairs look very good—but we don’t want all have come to our rescue.” ALPA’s Collective Bargaining Committee. the valuable parts of the company Mesaba’s MEC vice-chairman, Capt. spun off. We want to cash in on the Jeril Metzger, and former MEC chair- ing to a much different bargaining envi- company’s success.” He complained ronment than in the recent past. that many of his group’s members “are “The only hope we have York discussed pilot pay rate charts more concerned about bidding next is to stop worrying about for the same airplane type at different weekend off” and that they “don’t see our affiliation with the airlines. One result of the last several the next wave coming.” He confided, years of bankruptcy-driven pilot con- “The only hope we have is to stop wor- company and start tracts, he pointed out, was a decrease rying about our affiliation with the com- affiliating with the rest in the spread between the lowest and pany and start affiliating with the rest of the profession—other highest pay rates. In the pre-bankruptcy of the profession—other pilots unions.” pilots unions.” era, there was a whopping $100-per- Capt. Dave Nieuwenhuis, the Atlantic hour difference for some aircraft types. Southeast (ASA) MEC chairman, said, man, Capt. Tom Wychor, revisited the ALPA’s Collective Bargaining Commit- “Two hundred and ninety face-to-face pilot group’s battles tee, said York, believes that “the only sessions with management” is what it in bankruptcy and the siphoning of way we’re going to raise pay rates in pat- took to negotiate the latest ASA pilot Mesaba resources into then-parent- tern bargaining is to stair-step it—and to contract. He talked to the group about 5 company MAIR Holdings. do that we have to keep narrowing the years of bargaining with no release from “It’s all about finding leverage when range between lowest and highest pay the National Mediation Board. you really don’t have any,” said Wychor, rates for specific aircraft types.” Capt. Chris Mankamyer, an ASA pilot who described the creation of the Butkovic commented on those pay negotiator, described management’s Mesaba Labor Coalition, which en- ranges and said, “We’re looking out “carrot-and-stick” approach, offering abled pilots, flight attendants, and me- three years, so that by early 2011, we promises of growth for quick deals. chanics to present a united front. This can deliver.” However, the ASA pilots’ patience paid joint effort turned the tide at Mesaba. off. Mankamyer cited a $13.5 million Wychor recalled marching on federal Pilot reports signing bonus (paid out in cash), im- court with more than 200 picketers, in- ALPA’s president, Capt. John Prater, proved pay rates, better scope, a new cluding pilots from more than 20 ALPA said while welcoming participants to commuter policy, and new duty rigs pilot groups, to oppose management’s the opening of the Roundtable, “No with most of the lines getting more efforts to use the Bankruptcy Code’s questions are out of bounds; no ques- credit than block time. “We used other Section 1113 to terminate Mesaba la- tion or comment should be held back.” contracts as building blocks to improve bor contracts. The discussion was frank and our own,” he said. Metzger reported that the pilots

May 2008 Air Line Pilot • 17 took a 5 percent wage cut, but that the The ALPA rep detailed the “huge ben- A highlight of the conference was situation has since stabilized, and the efits” his pilot group gained—including a very well received report from pilots have actually benefited from improved health care for active and re- Capt. Don Wykoff and First Officer some of the terms negotiated. Mesaba tired pilots—by setting up such a proto- Ken Rogers (both Delta) on merger emerged from bankruptcy, and North- col during its negotiations for its current negotiations. They provided valu- west bought the airline last year. The contract. able information to participants on number of pilot grievances is on the Another ALPA rep warned that, when the difference between traditional rise, and there are problems with the his pilot group was independent, the approaches to negotiation of transi- pilots’ ASAP—the self-disclosure safety negotiators sent pilots “plain language” tion agreements, seniority integra- program. However, the airline is hiring, summaries of contract sections to tion, and a single collective bargain- and senior pilots are flowing up to fill which the negotiators and the airline ing agreement versus an expedited approach that adds value and “Our pilot group has benefited from pilot unity, achieves larger and quicker gains which led to our collective bargaining success. for pilots. Now we want to share our experience and resources Critiquing the Roundtable with other pilot groups who want assistance.” In a press release that ALPA issued —Capt. Bill Dressler, ExpressJet MEC Chairman after the Roundtable meeting ended, Prater said, “As we enter the vacant positions at . had agreed. “But that repeatedly bit us new post-bankruptcy bargaining Several ALPA pilot groups are cur- during grievance arbitrations,” the pilot cycle, pilot groups are improving rently in the midst of collective bargain- reported. “We’d slide the contract their collective bargaining agree- ing. Spirit pilots joined the Roundtable across the table, and management ments, but many more substantial discussion to report that they have would shove our ‘plain language’ ver- gains are needed, and possible. This been in contract negotiations for 18 sion back at us.” week, we renewed our mutual com- months. Their negotiating chairman, A rep from another independent mitment to our profession and reaf- First Officer Bill Russo, said that open union lamented, “Our negotiations firmed that our contributions were issues include wages, insurance, and have been chaos over the last three essential to the survival and suc- contract duration. years. It’s a very difficult process. Our cess of our companies.” “To complicate matters,” Russo said, hats are off to ALPA—they let us work Capt. Bill Dressler, ExpressJet “Spirit management wants to trans- with Seth Rosen [director of ALPA’s In- MEC chairman, added, “Our pilot form the airline into an ‘ultra-low-cost ternational Pilot Services Corporation group has benefited from pilot carrier’ following the model set by and retired director of ALPA’s Represen- unity, which led to our collective Ryanair, EasyJet, Tiger Air, and Wizz Air.” tation Department]. We hope to have a bargaining success. Now we want Responding to a comment from a pi- contract by the end of the summer.” to share our experience and re- lot from an independent union that “it’s One ALPA group is “dealing with sources with other pilot groups who hard to get our management to talk three separate [airline operating] cer- want assistance.” about stuff they don’t want to talk tificates operating under [one holding Capt. Herb Mark, American Eagle about,” another Roundtable partici- company], with the possibility of adding MEC chairman, said, “As always, it’s pant, an ALPA rep, asked if the pilots two more,” the group’s rep at the extremely helpful for American had established a protocol for negotia- Roundtable reported. “Our number one Eagle pilots to meet with our indus- tions with management before the ne- issue is scope. It becomes very compli- try brothers and sisters to talk about gotiations began. cated when we have to deal with all and get support for our 2008 con- “No,” said the rep. the players.” tract amendment round.”

18 • Air Line Pilot May 2008