This information is no longer current - it is for reference only. It is an archive review of events that took place during United Airline's Chapter 11 Bankruptcy from December 9, 2002 - February 1, 2006.
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United 1113(c) Term Sheet November 4, 2004
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AFA-CWA 2005-2010 Agreement
January 8, 2005
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Duration |
6 year
Dec. 31, 2004 –
Dec. 31, 2010
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5 year
January 7, 2005 – January 7, 2010
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Pay |
6.2% cut
plus 4% temporary cut
= 10.2% total. |
- 9.5% cut to hourly rate
- 9.0% cut to purser, LIP, and language.
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2% increase in January of 2007, 2008, 2009 and 2010. |
2% increase in May 2007, May 2008 and January 2009. |
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Domestic Per Diem reduced $.25 to $1.50.
International Per Diem reduced $.25 to $1.75. |
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Section 5.H. Understaffing pay decreased to $5.00 per hour. |
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Eliminate 3 hour training pay minimum. |
Modify to one hour training pay minimum for up to three training events per year. |
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Success Sharing decreased to 1% of wages.
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Eliminate Profit Sharing Program and change to contribution for a replacement pension plan.
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No Change to the Current Contract |
Stock Distribution |
Modify Stock Distribution, unspecified. |
Increased to include credit for ratified concessions |
Pension Plan |
Prohibit AFA from challenging termination of Defined Benefit Pension plan. |
No Change to the Current Contract
AFA does not agree to and retains full right to challenge any termination of our Defined Benefit Pension plan. |
Medical/Dental
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Eliminate cap on medical premiums on both PPO and HMO. |
No Change to the Current Contract |
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PPO charges equal to percentage of plan cost at 14% in 2005; 16% in 2006; 18% in 2007; and 20% in 2008 and beyond. |
No Change to the Current Contract |
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HMO charges equal to percentage of plan cost at 24% in 2005; 26% in 2006; 28% in 2007; and 30% in 2008 and beyond. |
No Change to the Current Contract |
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The same costs and elimination of cap apply to associated dental programs. |
No Change to the Current Contract |
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Eliminate cap on mail-order drug order program. |
No Change to the Current Contract |
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Eliminate family cap of out of pocket expenses and increase out of pocket expenses to $2000 per person per calendar year. This amount was in addition to amounts paid as a deductible. |
No Change to the Current Contract |
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United 1113(c) Term Sheet
November 4, 2004
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AFA-CWA 2005-2010 Agreement
January 8, 2005
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Work Rules/ Scheduling |
Domestic work rules and pay extended to include Alaska, Mexico, the Caribbean, Central America and South America north of 15 degrees south latitude. |
No Change to the Current Contract |
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Eliminate 8-in-24 protection and 2-for-1 rest requirement protection associated with 8-in-24. |
No Change to the Current Contract |
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Eliminate 30-in-7 protection. |
No Change to the Current Contract |
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Duty Time increased to 14 hours scheduled, 16 hours actual. |
No Change to the Current Contract |
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Extend Duty Time Scheduling to 15 hours for Premium Transcon turns. |
No Change to the Current Contract |
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Modify Duty RIGs to provide 4/9/14/19 hour minimum. |
No Change to the Current Contract |
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Eliminate Personal Time Off (GWOP). |
No Change to the Current Contract |
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International trips greater than 10:01 reduced to 22 hour block to block scheduled legal rest. |
No Change to the Current Contract |
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Eliminate place of lodging minimums. |
No Change to the Current Contract |
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All actual flight hours would offset any credited scheduled hours during the course of a month. |
No Change to the Current Contract |
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Monthly line averages increased to 86/172/258. |
No Change to the Current Contract |
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Increase scheduled hours to 95/190/285, with optional maximum 100/200/300. |
2nd OPTION to increase quarterly maximums to 100/200/300. |
Vacation |
Vacation Accrual cut to 14 days after one year of service, 21 days after 5 years of service, and capped at 28 days after 10 years of service. |
Lineholder vacation pay reduced to 2.6 hours per day and each accrual rate reduced by 4 days. Reserves gain PBS vacation pay protection. |
Electronic Communication |
Eliminate all paper documents, including but not limited to official notices, general information, bid packages, and correspondence related to grievances.
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Eliminate requirement for paper documents subject to the following limitations:
- Required paper copies of disciplinary letters, Letters of Charge and hearing/grievance decisions for Flight Attendants.
- Adequate equipment provided to access electronic communications in all domicile locations.
- Company must meet with AFA-CWA prior to implementation.
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Voluntary Furlough |
Voluntary Furlough eligibility, benefits and award offered at company discretion. |
No Change to the Current Contract |
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United 1113(c) Term Sheet
November 4, 2004
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AFA-CWA 2005-2010 Agreement
January 8, 2005
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Sick Leave |
Sick time paid at 70% of the hourly rate of pay and line guarantee and sick leave bank reduced for the 100% of the value of the ID(s).
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No Change to the Current Contract |
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Reserves paid 70% for each day with 100% reduction of daily rate from sick leave bank. |
No Change to the Current Contract |
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Worker’s Compensation would not be augmented with sick leave and no vacation would be accrued during an occupational medical leave of absence. |
No Change to the Current Contract |
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Employees required to use sick leave for Family Leave associated with their own illness, and use vacation for Family Leave associated with care of a dependent. |
No Change to the Current Contract |
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Sick Leave Accrual reduced from 5 hours to 4 hours per month. |
Disability |
Eliminate $53/week short-term disability. |
Eliminate $53/week short-term disability. |
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Eliminate company subsidy toward premium of voluntary long-term disability with no cap in costs for Flight Attendants. |
No Change to the Current Contract |
Other Insurance Programs |
Eliminate the accidental death and dismemberment benefit. |
No Change to the Current Contract |
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Eliminate retiree life insurance. |
No Change to the Current Contract |
Grievances
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Withdrawal of grievances with prejudice, list to be provided by company. |
No Change to the Current Contract |
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Any provisions of the Contract that the company believes are inconsistent with the term sheet and would preclude the company from obtaining the savings they sought through the Section 1113 process, would be eliminated or modified after ratification and during drafting of the Contract language. |
All contractual changes associated with negotiated concessions will be modified during the drafting of the Contract language only with the concurrence of AFA-CWA. |