Court rules in favor of Allegiant Pilots
In a status conference hearing this week, a district judge in Nevada ruled in Allegiant pilots’ favor, saying that disputes involving violations of the parties’ current collective bargaining agreement and practices relating to that agreement must be resolved through final and binding arbitration chaired by a neutral, third-party arbitrator in accordance with the System Board of Adjustments requirements of the Railway Labor Act.
The Board is a streamlined, legally binding arbitration process outside of court. The Railway Labor Act requires that all “minor disputes,” that is, disputes involving violations and interpretations of collective bargaining agreements and practices relating to those agreements, must be resolved through final and binding arbitration by neutral, third-party arbitrators mutually selected by the parties. “Minor disputes” are different than “major disputes,” which involve unilateral efforts to change collectively bargained employment terms and practices – i.e., the “status quo,” – while the parties are engaged in collective bargaining and without any “justification” under the contact to do so.
Last year, when it issued an injunction against Allegiant for “major dispute” status quo violations, it also held that one of the parties’ disputes was a “minor dispute” that needed to be resolved through final and binding arbitration. That dispute involves the company’s refusal to reimburse and pay pilots while on company business. Allegiant and the union then negotiated an agreement regarding the establishment of the system board/arbitration, but Allegiant insisted that the system board applied only to that one dispute and that all other disputes would be resolved through a scheme controlled by Allegiant called the Allegiant “open door policy.” The union countered that the binding arbitration/system board applied to all “minor disputes” arising under the parties’ agreement and practices related to the agreement. The court has now ruled in favor of the union and against Allegiant, so that all such “minor disputes” will be resolved by a neutral, third-party arbitrator in a RLA-compliant system board/final and binding arbitration process.
Captain David Bourne to walk for “iPods for Wounded Veterans”
For several years, Teamsters Local 769 has encouraged their members to support iPods for Wounded Veterans. Since 2014, Business Agent David Renshaw has been the southern representative for the southeast United States for iPods for Wounded Veterans. The organization was founded by a Vietnam Veteran and a retired Teamster; and joined by members of the DAV and VFW, works to provide iPods, iPads, eReaders and other materials to improve the quality of life for our wounded Veterans.
Later this month; Captain David Bourne, Director of the Airline Division will be taking up the challenge. In order to raise money for our wounded servicemen and women, Captain Bourne will be walking across Scotland in support of iPods for Wounded Veterans. On the 24th of May, he will leave from Port Glasgow and head across Scotland, finishing on June 7th in the city of Inverness. All funds raised will go to the iPods for Wounded Veterans charity.
“It’s been an honor to work with and support this fine group,” said Captain Bourne. “Working with David Renshaw and having the opportunity to meet and thank our wounded veterans who have given so much is a humbling experience that everyone should take the time to do.
iPods for Wounded Veterans have also created a page that makes it easier than ever to get behind this great cause. I encourage everyone to visit the site and support them and spread the word to their friends and families,” he concluded.
To visit the site, click on the following link:
http://ipodsforwoundedveterans.org/donate-online.html
Union, UAL meet, Company proposal falls short of industry benchmarks
The parties assembled the week of May 11th in Las Vegas under the direction of the National Mediation Board in hope of receiving a full comprehensive proposal from the company. On Tuesday morning the Company passed their version of a comprehensive economic proposal, which was in the form of a two-page bullet point presentation. The proposal did not meet the Union Negotiation Committee’s expectations or industry benchmarks.
The Company’s bullet points addressed wages, premiums, longevity, shift differentials, vacation accrual schedules, sick accruals, holiday schedule, profit sharing, active medical plan designs as well as longer contract duration than the previous pass. Additionally, the company opened the idea of creating changes to the current retirement plan.
The Union Negotiation Committee was less than impressed, and certainly not amused, with the new tone and direction of United’s comprehensive proposal. However, continuing in good faith, the Union Negotiating Committee reviewed the terms of the proposal in caucus after the parties broke. During the caucus, the Union committee developed a series of enquiries for the Company.
On Wednesday the parties again held a face-to-face session, in which the union presented its enquiries to the Company. Once the enquiries were answered there was further discussion between the parties. After the face-to-face session, the economists from both sides met to review the economic data. The work of reviewing and determining the valuations of the Company’s proposal is ongoing.
Discussion was also held on TeamCare. Both committees along with representatives from the fund talked about ways to finalize the health care proposal. Some of what was discussed would be subject to the approval by the Plan Trustees.
On Thursday the Union Negotiation Committee met internally to work on the counter proposal that should be delivered in the next round of negotiations in June.
Airline Industry News
Governmental and Regulatory
The Department of Transportation issued an official notice that U.S. airlines are not required to honor airfares issued in error. Earlier this year, United Airlines refused to honor low airfares due to a mistake in calculating currency exchange.
Jim Wright, the former Democratic U.S. congressman from Texas, passed away at 92. He represented the Fort Worth district for nearly three decades and was active in airport policy, including a famous legislative battle with Southwest Airlines over limitations at Dallas Love Field.
U.S. Senator Cory Booker has introduced the “Commercial UAS Modernization Act,” which could create temporary rules to allow commercial drone operations in the United States.
Airlines, Industry and Labor
The concept of the airship is far older than conventional airplane technology, but it may become the latest high tech solution to heavy-lift problems.
Delta is opposing a new Federal Aviation Administration slot proposal at New York Area airports, saying that the new rules "would constrain carrier scheduling flexibility, increase delays and congestion and drive up costs, all with no identifiable consumer benefit."
Plans to build an international air-cargo facility at Lambert-St. Louis International Airport moved forward when the airport commission unanimously approved the project, which includes demolishing most of the original McDonnell-Douglas complex to build a new terminal with ramp space for freighter aircraft.
Frontier Airlines CEO David Siegel resigned this week, citing personal reasons.