July 14, 2008

United Airlines and IAM Announce Early Out Program

United Airlines and the International Association of Machinists have come to an agreement on an opportunity for eligible customer service and ramp employees to voluntarily separate from the company.

The program will be available for up to 400 customer service and ramp employees. Employees who are at least 45 years old and have at least 15 years of service with the company as of September 7, 2008, will be eligible to participate.

The participants will be entitled to severance payments based on years of service and retiree travel benefits. United will continue to explore viable alternatives to furloughs as a result of capacity reductions with all unions representing its employees.

Scott Dolan, senior vice president of airport operations and cargo for United Airlines, said: "As we move forward with our previously announced capacity reductions, this agreement with the International Association of Machinists (IAM) will assist us in mitigating the impact of involuntary furloughs on our IAM employees."