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The Honolulu Advertiser
Posted on: Friday, May 11, 2007

A union partners up with its airline

By Trebor Banstetter
Fort Worth Star-Telegram

PHOENIX — Labor unrest is likely to be a major issue for the airline industry over the next few years, industry insiders say, as unions seek to recoup wages and benefits lost during bankruptcies and restructurings.

One exception could be the Transport Workers Union at Fort Worth, Texas-based American Airlines. The leaders of the union are continuing to work with the company on a host of projects to bring in outside maintenance work, increase productivity and save jobs. While critical of executives on some issues, such as management's pay, leaders of the union, which represents mechanics and ground workers, say they're proud of their partnership.

"We chose to do something about having a civilized relationship," said John Conley, international representative for the TWU who oversees the union's chapters for American employees. "I'm proud of the work we've done."

Speaking on a panel at an aviation conference in Phoenix, Conley said union leaders are exploring strategies for contract talks, which are scheduled to begin this year.

"We've been exploring options, and that does include components we've never considered before," he said, such as some form of variable pay as well as traditional fixed wages.

"We're broaching new territory for us."

He stressed, however, that the union's research is still in the early stages, and no decisions have been made on how labor leaders will approach the new contract.

American pilots, in contrast, have taken an aggressive stance with the company. Leaders with the Allied Pilots Association, who opened contract negotiations last year, have requested an immediate 30 percent pay raise, annual 5 percent increases during the contract term, and a one-time bonus that could cost the company as much as $400 million. Talks aren't yet scheduled for flight attendants.

Jeff Brundage, American's senior vice president of human resources, said it is vital for the industry to tie the compensation of rank-and-file workers to the company's overall success.