Northwest mechanics vote down settlement proposal

By Kyle Peterson

CHICAGO (Reuters) – Mechanics at bankrupt Northwest
Airlines rejected a settlement proposal that would have ended a
strike that began in August, the workers’ union said on Friday.

The Aircraft Mechanics Fraternal Association reported on
its Web site http://www.amfa33.org that 56.59 percent of its
voting members rejected the deal that would have granted them
26 weeks of unemployment benefits, four weeks of layoff pay,
and payment of accrued vacation time.

The No. 4 U.S. carrier, which filed for bankruptcy in
September, has continued flying since the strike began by using
replacement labor. The striking workers walked off the job in
August after failing to reach a labor contract with Northwest.

AMFA said this month that the settlement proposal was the
“worst contract in the history of airline labor.”

“Our striking members refused to bow down to Northwest’s
arrogant, self-enriching management and will continue the
strike against this renegade, union-busting airline,” said AMFA
National Director O.V. Delle-Femine in a statement on Friday.

AMFA represents about 4,400 mechanics and related employees
at Northwest, but only 2,223 voted, the union said. Workers
have been picketing at airports used by Northwest, although
some have gotten new jobs or crossed the picket line.

“We are disappointed that members of AMFA have declined
ratification of the company’s latest contract proposal,”
Northwest said in a statement. “A ratified agreement would have
ended the mechanics’ strike and allowed both parties to move
forward.”

NORTHWEST STILL IN TALKS WITH OTHER UNIONS

Northwest, along with other major U.S. airlines, has been
battered by soaring fuel costs, weak revenue and low-fare
competition. The airline is looking for total annual savings of
$2.5 billion before it emerges from bankruptcy. The airline
achieved $203 million of that amount by replacing its mechanics
with cheaper labor.

Northwest has said its labor costs are the highest in the
industry. A federal bankruptcy judge in November approved
temporary pay cuts for about 28,000 workers, while the airline
haggles with its pilots, flight attendants and ground workers
over permanent savings.

If the unions fail to reach deals with the airline by
January 17, Northwest plans to renew an earlier request that
the judge let the carrier void its collective bargaining deals
and impose new contracts that yield the needed labor savings.

The Air Line Pilots Association (ALPA), which agreed to a
temporary 24-percent wage cut, on Friday said it will conduct
informational picketing on January 4 to express displeasure
with management’s contract demands.

The union said Northwest’s demands are excessive and that
more than 1,000 Northwest pilots would lose their jobs as DC-9
aircraft are retired.

“Northwest pilots have already made huge sacrifices to help
our company with its financial problems,” said ALPA Chairman
Mark McClain said. “We will not sacrifice pilot careers for a
flying job at a start-up airline that may be sold off in the
near future.”

A spokesman for the International Association of Machinists
(IAM), which represents 14,400 ground workers, said on Thursday
that negotiations are ongoing and that the union hopes to reach
a consensual deal with Northwest.

“We hope to make any decision by the judge unnecessary,”
said IAM spokesman Joseph Tiberi.