Judge Rules - AMR Can Scrap Pilots Contracts

Discussion in 'American Airlines | AAdvantage' started by DestinationDavid, Sep 4, 2012.  |  Print Topic

  1. DestinationDavid
    Original Member

    DestinationDavid Milepoint Guide

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    To be filed under "News Everyone Saw Coming..." LINK

    A judge on Tuesday ruled that AMR Corp., the bankrupt parent of American Airlines, can void its collective bargaining agreement with its unionized pilots.

    Judge Sean Lane issued his ruling from the bench at a hearing in U.S. Bankruptcy Court in Manhattan, saying the company successfully corrected certain issues that had caused him to reject the same request earlier.

    AMR, which is seeking to save more than $1 billion a year in labor costs, can now impose temporary work terms on its pilots as the sides continue to hash out long-term deals.
     
  2. Mike Reed

    Mike Reed Gold Member

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    Here it comes - mass defections to wait... the other airlines aren't hiring, and if they were we'd be bottom on the seniority list? Well, crap.
     
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  3. LETTERBOY
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    LETTERBOY Gold Member

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    The pilots should've known this would happen. I have absolutely zero sympathy for them. Can't wait to read the news artilces tomorrow and see what kind of garbage their union spews now. :rolleyes:
     
  4. marcwint55

    marcwint55 Gold Member

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    Perhaps the union will eventually figure out that helping to bankrupt an airline ultimately costs their pilots more than compromising before it is too late. The auto unions compromised many years ago when times were bad, and when things got better the employees received nice bonuses and still had their jobs. That may or may not have kept AA out of bankruptcy, but the attitude of the union was unreasonable.
     
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  5. Mike Reed

    Mike Reed Gold Member

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    Minor point - the auto unions are the VERY ones who URGED our President (politics aside) to prevent GM's bankruptcy PRECISELY because they would have suffered contract abrogation and losses if they didn't devalue their current benefits package. It was less about saving GM and more about saving the unions.

    Proving that out is that GM's secured creditors, and their workers, lost a whole hell of a lot more than they would have during the bankruptcy process - many lost THEIR pensions while GM's unionized employees were saved.

    Say what you want about unions, they're ruthlessly effective, and the current administration owes them a debt and needs them for votes. Don't be surprised to see the AA bankruptcy turn political at the hands of the pilots union.
     
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  6. Skye1
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    Skye1 Silver Member

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    Speaking with an EXP agent this eve, she noted several tagged as out of service/cancelled this weekend, with some on tap for same for tomorrow, with "crew" seeming to be the reason for each. I think over 80 flights were cancelled today....
     
  7. HaveMilesWillTravel
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    HaveMilesWillTravel Gold Member

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    GM did go through Ch. 11 bankruptcy, if memory serves right.

    Can we leave election politics out of this, at least to the extend that it doesn't directly relate to AA?
     
  8. Mike Reed

    Mike Reed Gold Member

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    No, the bailout (specifically) did not involve bankruptcy - to avoid disrupting union contracts.
     
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  9. gleff
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    gleff Co-founder

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  10. JNB280

    JNB280 Silver Member

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    The ammount of bad information in this thread is FT worthy....
     
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