This information is no longer current - it is for reference only.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

Negotiations Update

Page updated: October 31, 2002

On October 22nd we posted AFA’s opening proposal on our website. Since then, the Financial Review Committee has been in negotiations with the company. Although the proposal will change, as we stated in our press release last week, safeguard protections against more concessions in the event of a bankruptcy filing and returns through profit sharing and stock options must be a part of a tentative agreement.

We have received many questions regarding AFA’s proposal. These questions have been answered through individual E-mails, phone conversations, and visits to Local Offices. One of the frequently asked questions has been:

“Why does AFA’s proposal only have a proposed increase of 5 hours per month through RDO? I would like to fly more hours to make more money.”

It’s certainly understandable that we would all like the opportunity to make up for possible decreased wages in the ability to pick up more time. However, not all Flight Attendants would benefit from increased or deleted maximums, and AFA is charged with protecting the jobs of the entire Membership within our ranks.

The Financial Review Committee studied the idea of increased flying with great care because it’s clear that this is the desire of a portion of our Membership. You may have seen in AFA’s explanation of United’s most recent term sheet. Simply increasing the flight hour maximum by 5 hours a month will cost about 1400 Flight Attendant jobs. Our proposal increases our maximum by 5 hours through RDO, not scheduling, and should not have an impact on Flight Attendant jobs. However, it could have a minimal impact on our Reserves, and it most certainly would impact our Reserves if the maximums through RDO were increased. Ultimately, the Financial Review Committee did not propose unlimited increases, through any means, because it would have reduced the number of Flight Attendants required, and would exacerbate our stagnant seniority list.

AFA's recent proposal increases limits by 5 hours per month/ 15 hours per quarter. Once a Flight Attendant RDOs to increase their monthly/quarterly maximums, they opt for the entire quarter. The RDO opting will cause quarterly maximums to be 270 hours. This could have a negative affect on rotating reserves.

There are many issues surrounding increasing maximum hours, but the most important is the impact on jobs.

The issue is not closed, however. At the October MEC meeting, the MEC passed an agenda item that directs a committee to further study lifting the maximums on flight hours. The committee is responsible for reporting their findings at the regular January MEC meeting.

Continue to be informed, ask questions, and provide us with feedback. We will continue to provide all information available through AFA communication channels: www.unitedafa.org, AFA E-lines, 1-800-DEAR-AFA, and Local Councils.

As soon as any concrete information is available, we will be sending information to every Member’s home, scheduling Special Local Council meetings, providing video taped information in each of the Local Councils, conducting roadshows, broadcasting an interactive webcast, and initiating United AFA’s first ever electronic balloting through the Internet and telephone.

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