This information is no longer current - it is for reference only.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.

Summary of the AFA-CWA 2005-2010 Agreement

The following is a summary of the changes to our Collective Bargaining Agreement that replace the 2003-2009 Agreement.

Summary of AFA-CWA 2005-2010 Agreement

Effective Date and Duration

  • 5 year Agreement – effective January 7, 2005 through January 7, 2010.
  • Expedited Section 6 negotiations process upon amendable date.

Compensation

  • Effective January 7, 2005 the hourly rates of pay will be reduced to 9.5% from the 5/1/03 book rates.

Current Wage Rates >

 

  • Effective January 7, 2005, the following premium rates will be reduced to 9.0% from the current book rates:
    • All Purser pay
    • Language Incentive pay
    • Language Qualified pay

 

  • Hourly rates and premiums will increase as follows:
    • May 1, 2007 by 2.0%
    • May 1, 2008 by 2.0%,
    • January 1, 2009 by 2.0%

 

  • Per Diem
    • Effective January 7, 2005, per diem will be reduced from $1.75 per hour prorated to $1.50 for Domestic.
    • Effective January 7, 2005 per diem will be reduced from $2.00 per hour prorated to $1.75 for International.

 

  • Understaffing
    Effective January 7, 2005 understaffing pay shall be reduced from $10.00 per hour or fraction thereof to $5.00 per hour or fraction thereof.

 

  • Uniform Cleaning Reimbursement
    Effective January 7, 2005 reimbursement for uniform cleaning expenses will be eliminated.

Retirement

  • No change to the Defined Benefit Plan. AFA retains the right to object to termination of the Flight Attendant Pension Plan – Appendix B.

On Feb 24, 2006, Appendix B was replaced with the Flight Attendant Defined Contribution Plan

Sick Leave

  • Effective January 7, 2005, sick leave accrual shall be reduced from 5 hours to 4 hours accrual for each month.

Hours of Service

  • Flight Attendants will have a 2nd option to increase their hours to 100/200/300 above the current 1st option of 97/194/276.

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Summary (Cont'd)

Vacation

  • Effective January 7, 2005, vacation pay for lineholders will be reduced from 2.8 hours per day to 2.6 hours per day.
  • Reserve vacation pay will remain at 3:57 per day for a 30 day month and 3:45 a day for a 31 day month.
  • If the Preferential Bidding System is implemented and includes computer-built reserve lines, Reserve vacation pay will be protected at 2.6 hours a day. See Appendix A.
  • Vacation accrual days shall be reduced by 4 days as follows:

    Years of Service

    Vacation Days Each Year

    1-4

    12 days with 2 splits
    (minimum 6 days)

    5

    19 days with 2 splits

    10

    26 days with 3 splits

    17

    33 days with 3 splits

    25

    40 days with 3 splits

Training

  • The minimum three hours training pay provision will be reduced to one hour minimum pay for three training events per calendar year. RET is not included as one of the training events.

Electronic Communications

  • Management will have the ability to communicate with Flight Attendants and AFA-CWA via electronic means. This will provide for the elimination of paper documents for official notices, general information and grievance related materials, except that the company will continue to send paper copies of disciplinary letters, LETTERS of CHARGE, and hearing/grievance decisions to the affected Flight Attendant(s).

Success Sharing

  • Flight Attendants cash incentive payments will be modified in the following manner:
    Target Performance
    • 1.0% of wages
    • 1.0% of wages
    • 1.0% of wages
    • 1.0% of wages
    • 1.0% of wages
  • The incentive payments for Threshold Performance will be 50% of Target Performance and for Maximum Performance will be 200% of Target Performance.
  • There will be no change to Profit Sharing.

401(k)

  • Clarification of the “me too” language as it will apply if new Defined Contribution Plans are provided to other employee groups – Appendix C.

Benefits

  • Effective January 7, 2005, Eliminate Short Term Disability payments of $53.00 per week

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Summary (Cont'd)

Equity (Stock) Distribution

  • Flight Attendants equity considerations modified to include credit for additional concessions – Appendix D.

Definitive Documentation

  • Upon ratification, the parties agree they will draft final Contract language within 60 days of ratification.

Letters of Understanding

  • Letter to discuss cost-neutral Early-Out Program within 30 days of ratification – Appendix E
  • Letter to discuss Supplemental Insurance at Flight Attendant option within 180 days of the effective date of the Agreement – Appendix F
  • Letter of Agreement regarding payment of fees associated with Section 1113 negotiations – Appendix G
  • Letter to discuss mutual resolution to Section 9.F.7. within 90 days of the effective date of the Agreement – Appendix H
  • Letter to discuss Non-U.S. Citizen Visa issues within 90 days of the effective date of the Agreement – Appendix I

Termination Rights

  • Either AFA-CWA or the Company may terminate this agreement if the Company fails to produce cost-cutting with other unionized and salaried and management employees as defined in the Tentative Agreement - Termination Clause.

NOTE: A comparison of what the company was seeking for changes to our Agreement may be viewed in the Comparison Chart, which compares the company's November 4, 2004 Term Sheet with this 2005-2010 Agreement.

Return to Agreement

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