UNITED PRESSURES MACHINISTS UNION FOR WAGE CUTS
In an initial step to re-emerge from bankruptcy, United Airlines asked
the U.S. Bankruptcy Court on Dec. 27 for approval to impose wage reductions
on its employees represented by the International Association of Machinists.
The International Association of Machinists has so far opposed the
airline’s proposed wage reductions. Other unions within the airline
representing the pilots, flight attendants, dispatchers and meteorologists
have accepted “interim” wage reductions.
Glenn Tilton, chairman, president and chief executive officer of the
Chicago-based airline, said wage reduction agreements are a “crucial first
step in our efforts to change the way we do business at United.”
United said in its motion that, if approved by the court and ratified by
union membership, the proposed wage concessions will become effective Jan.
1.
In addition, the airline told the court that changes to its business will
require “long-term modifications” to its labor contracts, including work
rules and scope of work clauses, “to make the company more competitive.”