US Airways Transformation Plan Negotiations Break Down

24th Aug 2004

Talks on Transformation Plan
negotiations between ALPA and US Airways broke down August 22 in
Arlington, VA.
“We are disappointed that the Company’s latest proposal failed to respond
in any substantive way to our proposal of August 21. Since the beginning
of these talks, we have witnessed a disturbing trend by the Company to
seemingly dismiss several significant proposals from our pilot
negotiators. Instead, management has responded by ‘piling on’ additional
demands to their counterproposals,” said Captain Jack Stephan, spokesman
for the US Airways ALPA pilots.

Company negotiators requested that their latest proposal be brought to the
pilots’ governing body, the Master Executive Council (MEC), for
consideration, citing the considerable monetary gap that still exists and
their concern for the time remaining to reach consensual agreements with

While no further meetings are planned between the two parties, ALPA
negotiators, staff and advisors continue to meet internally. The ALPA
Negotiating Committee will report to the US Airways MEC on Wednesday,
August 25 at the Key Bridge Marriott in Arlington, VA. At that time, the
MEC will determine an appropriate course of action.

This negotiations breakdown comes on the heels of US Airways’ announcement
that it plans a major service expansion at Fort Lauderdale Hollywood
International Airport. While ALPA applauds US Airways’ attempts to
increase flying and to become more aggressive in the marketplace,
management must first reach agreements with its labor unions on a
Transformation Plan before US Airways can confidently proceed with
upgrading Fort Lauderdale to a hub.


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