Balancing the AFA Budget
AFA
Negotiations Roundtable
In conjunction with the
Annual AFA Board of Directors, AFA held a roundtable discussion
of industry trends in contract negotiations. Of the 20 AFA
represented flight attendant groups, 18 of them are either
currently in negotiations or will open negotiated talks this
year. All 20
carriers provided a briefing, which outlined their past,
current, or future negotiations status and discussed common
trends in the strategy of airline management in negotiations.
Hosted by AFA
Director of Collective Bargaining, Clare Burt, the roundtable
discussion outlined the creative attempts of AFA to secure
improved contracts even during economic downturns in the airline
industry. Alaska
airlines recently secured an industry-leading contract through
creative negotiations. Following is an update on the status of
negotiations at AFA carriers:
Alaska – Tentative
Agreement reached on March 10, 2009
American Eagle – contract
is amendable in October 2009
America West – began
Section 6 negotiations in 2004; recessed by NMB in December
2005; began merged talks in January 2006; requested resumed
Section 6 talks in March 2009
Air
Wisconsin – began negotiations in January
2009
ASA
– ratified a contract in July 2008
Air
Tran – began negotiations in January
2008
Hawaiian – awaiting the
ratification vote tomorrow, March 31, 2009
Midwest – began
negotiations in January 2009
Miami
Air – negotiations started in September
2007; were suspended in December 2008 when members rejected a
2.5% increase in exchange for postponing talks
Mesa – began negotiations
in 2006 and are currently in mediation
Northwest – currently under
a concessionary agreement through December 2011
Piedmont – contract is
amendable in August 2009; currently under an agreement related
to the restructuring of US Airways
PSA – contract is amendable
in August 2009; currently under an agreement related to the
restructuring of US Airways
Spirit – began negotiations
in 2007; resumed talks in February 2009 after a mutually agreed
upon recess
United – will begin
negotiations on April 6, 2009
US
Airways – began merged talks in 2006;
contract amendable in 2010.
Lynx
and Ryan International will begin first contract
talks this year; both carriers won AFA representation in
January 2009
The roundtable highlighted two
negotiating trends pertinent to the current merged US Airways
talks. The first trend involves the push of airline managements
to secure preferential bidding systems in agreements. Most
managements’ are requesting pre-ratification agreements on
PBS, approving a variety of vendors from Navetech to Flightline.
The second trend regards the variety
of ways in which airlines stall and delay during
negotiations. AFA
participants noted negotiations stalling tactics from refusal to
agree to non-economic contract issues, to refusal to provide
adequate business plan information, to bringing bullet points
instead of actual language to the table.
Ed Gilmartin, AFA General Council
briefed participants on the status of the recent National
Mediation Board appointment of Linda Puchala, a former AFA
president. The current president on a rotating basis appoints
the three members of the NMB. Barrack Obama appointed Puchala to
takeover the position of Read Van de Water, a holdover
appointment by the Bush administration. Puchala’s
nomination goes to the floor of the Senate and, in the hands of
the Democrats, should be approved within a month, as long as no
Senate hold is placed on the nomination.
Puchala is currently a senior mediator with the National
Mediation Board and oversees the Alternate Dispute Resolution
program for the Board. Since joining the NMB, she has worked
with employees and employers in both the airline and rail
industries. She has over 30 years experience in labor relations,
which includes serving as the President of the Association of
Flight Attendants from 1979 to
1986.
Balancing the AFA
Budget
The AFA Budget
Committee meets each year at the Board of Directors meeting in
order to create a budget that will be approved by the delegates
of the BOD. This
year the committee has the difficult job of cutting the budget
by over $2 million, due to the reduction of members in the
industry from layoffs, furloughs or leaves of absence. The Budget Committee
will balance the budget with the goal of minimizing the
reduction to member services at the local and MEC level.
While no one is
happy with the assumed cuts in non-constitutionally required
training and various committee funding, the focus is on
maintaining the funding required for negotiations and system
board at all airlines.
During 2009,
eighteen carriers will be either in negotiations or will be
opening negotiations with airline management. Additionally, funding is
also being reserved for system board in order to retain
resources to defend AFA contracts.
In addition to a
decrease in members, AFA lost the representation of Aloha
Airlines in March 2008 after 62 years of AFA representation, and
ATA in April 2008 after 35 years of AFA representation through
airline shutdowns last year. While Ryan International and Lynx
are two new AFA represented carriers, per the constitution and
bylaws, members do not pay dues until after the ratification of
the first contract.
The AFA BOD
Budget Committee is made up of the four members of the Finance
Committee (a standing BOD committee) and four additionally
appointed members reflecting the diversity of the various AFA
carriers. Council 66 member and former MEC Secretary-Treasurer
Mary Cost, has been a member of the Finance Committee for the
past 6 years and continues to sit on the committee.
We will provide
further information regarding the outcome of the AFA budget at
the conclusion of this year’s Board of Directors
meeting.
MEC President, Lisa
LeCarre
MEC Vice President, Dorene
Fredette
MEC Secretrary-Treasurer, Jeff
Albers
mec@afa66.org
www.afa66.org