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Airline Division News, Week Ending October 2, 2016

After many years of negotiations and with the assistance of the NMB, the pilots of Kalitta Air finally have an Agreement in Principal (AiP). In a message to the membership, Dan Wells, Local 1224 President, Scott Nelson, Executive Council Chairman and Dan Shipner, Negotiating Committee Chairman said:

“We are pleased to report that the International Brotherhood of Teamsters, Airline Division, Local 1224 and Kalitta Air have reached an agreement in principle on a new collective bargaining agreement.  The agreement would not have been possible without the leadership and support we received from Airline Division Director David Bourne, the Local 1224 leadership, the Kalitta Air Executive Council members, the Union Negotiating Committee, Local 1224 staff and attorneys and the National Mediation Board.  We would also like to thank Conrad Kalitta and the Kalitta management team for the role they played in bringing negotiations to a successful conclusion.

In the coming days and weeks, the two negotiating committees will meet to assemble the tentative agreement (TA). Prior to releasing the TA, the parties will proofread and format the document, as well as review and agree upon the status of all existing letters of agreement (LOAs), memoranda of understanding (MOUs) and similar agreements.  After that process is completed, we will release the TA to the membership and conduct an education campaign so that every member understands the terms.  Then the membership will vote on whether to accept or reject the proposed TA.  The Executive Council and Negotiating Committee will strongly recommend that you ratify the proposed contract.

Highlights of the agreement include:

·       Industry leading scope/job security protections

·       55% increases to hourly pay rates

·       reduced duty period limits and enhanced rest provisions

·       a 16-day schedule,

·       benefit improvements

·       hostile area flying protections

·       business class travel requirements

UAL Negotiators, Company continue review of Tentative Agreement

This week, the union and company met to continue their review of the language in the final CBA document, prior to sending it to the membership and beginning a series of road shows. In an effort to address the many questions about the document and the definition term “industry leading,” the union prepared charts for the membership to outline how this TA is industry leading in every economic measure.

Click here to view the charts

Airline Industry News

Governmental and Regulatory

Congressional leaders on Wednesday finally agreed to a bill that prevents  the US government from shutting down and offers funding through Dec. 9.

Alaska, American, JetBlue, Southwest and United Department of Transportation have all received approval to operate flights between the US and Havana, Cuba. The department also awarded Tokyo-Haneda slots to American, Hawaiian and United.

Nicholas Calio, president and CEO of Airlines for America, writes that the next president has an opportunity to bring air traffic control into the modern age. "An industry that drives 5% of the US economy, executes nearly 27,000 flights a day and drives 11 million jobs needs the best technology to serve its customers safely and efficiently," writes Calio.

Airlines, Industry and Labor

Alaska Air Group remains confident its merger with Virgin America will receive necessary approval and will provide consumers with more choices and lower fares. "Given the airlines' largely complementary networks ... and both Virgin America and Alaska's emphasis on customer service, the airlines are also confident the [Department of Justice] will agree this merger will provide consumers more choices and lower fares while allowing for more robust competition," the airlines said in a statement.

UPS is leading industry efforts to gather data on drone deliveries to convince US authorities to loosen restrictions. UPS is working with CyPhy Works to demonstrate that drone deliveries of emergency medical supplies is safe and viable.

American Airlines will begin Charlotte, N.C., to Havana, Cuba, service in November, while Alaska Airlines will commence nonstop service from Los Angeles to Havana in January. On Aug. 31, JetBlue launched the first commercial flight from the US to Cuba in over 50 years with a flight from Fort Lauderdale, Fla.