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The Honolulu Advertiser
Updated at 2:43 p.m., Friday, May 2, 2008

Aloha pilots say sale could leave people without jobs

Advertiser Staff

The union representing Aloha Airlines pilots is saying the sale of the company's cargo unit could leave workers unemployed and that the proposed buyer has been vague on its commitment to existing employees.

The Air Line Pilots Association International said Saltchuk Resources Inc. has declined to say whether they will meet with employees or hire current Aloha pilots and other employees.

"ALPA pilots have been standing by for weeks with offers to meet with the company and Saltchuk to help solve problems and continue operations," said Captain David Bird, Aloha Master Executive Council Chairman of ALPA, in a press statement.

"That offer still stands. But instead of meeting with us, they asked the judge to simply give them and the lenders expansive and extraordinary relief, wipe out the companies' outstanding obligations and reject all union contracts. The court was deliberate and refused to authorize immediate consideration of the rejection of union contracts.

"Aloha and Saltchuk should not ignore long service employees who have already provided hundreds of millions of dollars of relief to Aloha Airlines over the last five years. The judge ordered the debtors to give unions and employees notice of the proposed contract rejection and the filing of a motion to sell assets on notice."

The union said it remains ready to meet with Saltchuk and make sure operations continue without interruption. It also criticized Aloha's recent comments about the union.

"In light of employees' desire to have these work issues clarified, and the hundreds of millions of dollars in concessions that pilots provided the company, ALPA took strong exception to former Aloha president David Banmiller's recent comments during the Hawaii Publishers Association meeting. In those off-the-cuff remarks he inexplicably blamed pilots for derailing potential sales of the airline in bankruptcy court.

"Nothing could be further from the truth. The sale of Aloha Airlines faltered over the refusal of the lender to advance more money to the company. Judge King acknowledged in the hearing last night that employees had been treated poorly, admonished the parties that similar conduct should not continue and directed that employees be consulted.

"Just a few weeks ago Mr. Banmiller also acknowledged in the bankruptcy court record that Aloha's pilots and their union leaders had worked extraordinarily hard and made significant sacrifices to ensure that Aloha Airlines continued flying over the past three years."