Search News
For the Media
For media inquiries, call CWA Communications at 202-434-1168 or email comms@cwa-union.org. To read about CWA Members, Leadership or Industries, visit our About page.
CWA Gains Tentative Pact at Bankrupt US Airways
CWA has reached a tentative settlement with US Airways covering airport and reservations agents, boosted by an overwhelming strike authorization vote by members.
In the face of devastating demands for wage and benefit cuts and other concessions at the bankrupt airline, the bargaining committee was able to push back against the harsh and excessive proposals made by US Airways management. US Airways filed for bankruptcy protection on Sept. 12 and has petitioned to abrogate its union contracts unless the unions agreed to concessionary settlements.
The agreement calls for a 12.9 percent average wage cut in the first two contract years, reducing the current $20.05 top rate to $17 per hour. Top wages will increase to $18 an hour in 2007 and to the new top of scale rate of $18.60 in 2008. Wages will increase by 3 percent in 2009, 4 percent in 2010 and 4 percent in 2011. An additional 2 percent increase takes effect as negotiations get underway for a new contract beginning Jan. 1, 2012.
Management had been seeking wage cuts of as much as 34 percent and was demanding a new top rate of $13.10 an hour.
The bargaining team also won restrictions on the contracting out of reservations work, with only those positions made vacant through attrition or employee participation in the buyout plan allowed to be subcontracted. Even those jobs must be returned to the bargaining unit at the end of the agreement. The buyout plan provides a payment of up to $20,000 for call center workers and up to $15,000 for airport workers, based on seniority, plus negotiated health care and other benefits.
The bargaining team fought for and won the restoration of 100 percent of vacation pay in this agreement. At the end of this contract, any reductions in sick leave, holidays, holiday shift and job premiums, travel and training per diems and other benefits also will be restored.
The customer contact premium, now 25 cents per hour, will be restored in 2008 and increased to 30 cents at the end of the contract. The agreement also includes some enhancements in retiree health care.
Passenger service agents saw their wages cut by 21 percent, and suffered other benefits losses, in October by approval of the bankruptcy judge.
The agreement is subject to membership ratification and the bargaining team has recommended approval. Complete information and balloting instructions on the proposed settlement will be sent to members' home addresses; members will vote electronically in an American Arbitration Association election process.
Separately, AFA-CWA negotiators are continuing to meet with US Airways management. Flight attendants at both US Airways and United now are voting on strike authorization.
In the face of devastating demands for wage and benefit cuts and other concessions at the bankrupt airline, the bargaining committee was able to push back against the harsh and excessive proposals made by US Airways management. US Airways filed for bankruptcy protection on Sept. 12 and has petitioned to abrogate its union contracts unless the unions agreed to concessionary settlements.
The agreement calls for a 12.9 percent average wage cut in the first two contract years, reducing the current $20.05 top rate to $17 per hour. Top wages will increase to $18 an hour in 2007 and to the new top of scale rate of $18.60 in 2008. Wages will increase by 3 percent in 2009, 4 percent in 2010 and 4 percent in 2011. An additional 2 percent increase takes effect as negotiations get underway for a new contract beginning Jan. 1, 2012.
Management had been seeking wage cuts of as much as 34 percent and was demanding a new top rate of $13.10 an hour.
The bargaining team also won restrictions on the contracting out of reservations work, with only those positions made vacant through attrition or employee participation in the buyout plan allowed to be subcontracted. Even those jobs must be returned to the bargaining unit at the end of the agreement. The buyout plan provides a payment of up to $20,000 for call center workers and up to $15,000 for airport workers, based on seniority, plus negotiated health care and other benefits.
The bargaining team fought for and won the restoration of 100 percent of vacation pay in this agreement. At the end of this contract, any reductions in sick leave, holidays, holiday shift and job premiums, travel and training per diems and other benefits also will be restored.
The customer contact premium, now 25 cents per hour, will be restored in 2008 and increased to 30 cents at the end of the contract. The agreement also includes some enhancements in retiree health care.
Passenger service agents saw their wages cut by 21 percent, and suffered other benefits losses, in October by approval of the bankruptcy judge.
The agreement is subject to membership ratification and the bargaining team has recommended approval. Complete information and balloting instructions on the proposed settlement will be sent to members' home addresses; members will vote electronically in an American Arbitration Association election process.
Separately, AFA-CWA negotiators are continuing to meet with US Airways management. Flight attendants at both US Airways and United now are voting on strike authorization.