Hawaiian Airlines Negotiations Update

Hawaiian Airlines Negotiations Update

 May 8, 2020

Dear Sisters and Brothers,

We hope this communication finds you safe and healthy. As you are aware, we entered into Limited Issue/Expedited Negotiations with Hawaiian Airlines in the month of February. The majority of the Negotiating sessions were spent on sharing the proposals of both sides. We spent time explaining your proposals and listening to the Company proposals so that we had a very good understanding of the intention/purpose of the Company proposals. We were able to make some progress and felt that we were on our way to reaching a good Agreement on your behalf. The plan was to meet most of the month of April in hopes of reaching that Agreement. Unfortunately, due to the COVID 19 pandemic, we were not able to meet to further the discussions.

On Monday, May 4, We held a conference call with the Company to discuss resuming Negotiations. We made it very clear that our position remains unchanged. We must reach an agreement that rewards our Members at HA fairly for their hard work and sacrifices. We believe that HA will survive the current state of the Airline Industry and will return to profitability. Today’s hard work and sacrifice will make that possible. You deserve to be recognized for that moving in to the future. That recognition comes from a good Contract. An agreement was made to extend the timeframe for the Expedited Negotiations.

The plan for Negotiations will be to resume meeting with the Company as soon as the quarantine order is lifted by the State of Hawaii. We hope that happens sometime in June. Our position will be to pick up where we left off in March.

In closing, thank you for all you do. It is with your support and solidarity that your Negotiating Committee will be able to secure a good contract on your behalf.

In solidarity, 

Mike Klemm

President and Directing General Chair, District 141, International Association of Machinists and Aerospace Workers

Dave Supplee

President and Directing General Chair, District 142, International Association of Machinists and Aerospace Workers

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Joint Letter from Bob Martinez and Richard Trumka to Donald Trump

Joint Letter from Bob Martinez and Richard Trumka to Donald Trump

May 5, 2020

President Donald J. Trump

The White House

1600 Pennsylvania Ave., NW Washington, DC 20500

Dear Mr. President:

We hope you share our outrage that United Airlines, a few short days after accepting $5 billion of taxpayer dollars which it committed to use to allow it to continue to pay its employees their wages until the end of September, has quickly broken that promise. Having pocketed the money, United has turned around and told over 15,000 full-time employees that their wages will be drastically reduced as they will be allowed to work only on a part-time basis. In addition to drastically cutting the wages of these workers, United’s decision would also be a major cut in employees’ sick leave, vacation and retirement benefits. These actions are a direct violation of the obligations it undertook when it received federal relief through the CARES Act and reflect a stunning breach of trust. We urge you to use your full authority to intervene and order United to rescind its decision to take away full employment for its employees.

United’s action threatens to undermine the principal goal of the CARES Act, which was to protect employee wages in this crisis. If left standing, United’s attack on its employees will send a clear message to other carriers that they too can ignore their worker retention obligations with impunity. The tens of thousands of employees that the CARES Act was intended to protect will be left out in the cold while companies take the money and run.

We are not alone in our outrage over United’s handling of this matter. In a letter to United, Senator Josh Hawley stated:

During such a severe economic crisis, it is critical that our own corporations act as responsible stewards over their respective workforces. Decisions by major employers like United Airlines can reverberate widely across the labor market, affecting communities and working families alike. The taxpayers of this country have offered a generous bailout to your company and you should, in turn, honor this trust by keeping the promises you made to those you employ.

With over 30 million Americans out of work, now is not the time for unscrupulous companies to undermine the clear intent of the federal relief effort aimed at worker retention. Is it too much to ask corporations like United to honor their commitments under the CARES Act? We respectfully request that you intervene immediately and order United to honor its commitments to the United States and to its employees and continue to pay its employees the wages that federal funding has secured.

Sincerely

Robert G. Martinez Jr.
International President,
International Association of Machinists and Aerospace Workers

Richard L. Trumka 
President,
AFL-CIO IAMAW

cc: Secretary of the Treasury Steven Mnuchin
Speaker of the House Nancy Pelosi
House Republican Leader Kevin McCarthy
Senate Majority Leader Mitch McConnell
Senate Democratic Leader Chuck Schumer

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Letter from International Transport Workers Federation Supporting IAM Members at United

Letter from International Transport Workers Federation Supporting IAM Members at United

The International Transport Workers Federation sent a letter to United’s CEO in solidarity with the IAM. The full text of the letter is below. 

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To Scott Kirby, CEO of United Airlines

I write you today on behalf of the International Transport Workers Federation (ITF), which represents nearly 700 transport trade unions from 150 countries with a total membership of around 20,000,000 working men and women. Our affiliate the International Association of Machinists and Aerospace Workers (IAMAW) has informed us that United Airlines decided to initiate forced layoffs, which the IAM states is in breach of their contracts, while taking billions of US taxpayers funded airline bailout funds.

According to our information, the carrier will cut the pay and benefits of all full-time IAMAW members at United Airlines. Needless to say, these measures will severely hurt United Airlines’ employees and their families.

Like our affiliate IAMAW, the ITF also recognizes the need for airlines to save money in these extremely challenging times. From the very early days of the global pandemic, the ITF and its aviation affiliates have been fighting, together with airlines, for government aid to help support the global airline industry. On 21 April 2020, the ITF and the International Air Transport Association (IATA) issued a joint statement calling for support from governments to the aviation industry, to protect jobs and ensure that air services can be maintained.

However, unfortunately, we understand that these recently announced cuts are not utterly about saving money. We can see this from the fact that United Airlines has categorically refused to engage with the IAMAW in cost-saving discussions. The IAMAW believes and explains in detail that engaging in social dialog would provide the carrier with the same amount of financial relief without feeling the need of cutting workers’ contracts or the CARES (the Coronavirus Aid, Relief, and Economic Security) Act.

As you may know, against this backdrop, the IAMAW is considering all possible legal options, including filing a lawsuit against United Airlines to stop the unilateral action and protect its membership. If the IAMAW opts for this option, the ITF and its aviation affiliates all around the world will not hesitate to provide legal support and lawful solidarity to their brothers and sisters who work for United Airlines.

Quite contrary to the current path United Airlines is set on, a climate of trust, built through social dialog is essential to the effective implementation of measures to address the impacts of the COVID-19 outbreak. Strengthened respect for, and reliance on, mechanisms of social dialog creates a strong basis for building resilience, and the commitment of employers and workers to painful but necessary policy measures. This is particularly key during times of heightened social tension. The International Labour Organization’s (ILO’s) Employment and Decent Work for Peace and Resilience recommendation (No. 205) emphasize, in particular, the importance of social dialog in responding to crisis and the vital role of employers and workers organizations in crisis response.

Furthermore, the recommendation emphasizes the key role of consultation and encouraging active participation of employers’ and workers’ organizations in planning, implementing, and monitoring measures for recovery and resilience. It additionally underlines the necessity of recognizing the freedom of association and protection of the right to organize convention (No. 87), and the right to organize and collective bargaining convention (No. 98).

As highlighted in the ITF-IATA joint statement, there is no doubt that as employers and unions we can navigate our way through this crisis only by working side by side. On the other hand, unilateral and socially irresponsible responses to the crisis, will increase tensions, lower trust, and most probably lead to intensified conflict in the near future.

The ITF will closely monitor the situation.

I look forward to your positive response on these urgent and important matters.

Yours sincerely,

Stephen Cotton
General Secretary

cc:
Sito Pantoja, IAM General Vice President
Joseph Tiberi, ITF Civil Aviation Chair
Michael Klemm, President, IAM District 141
United Holdings, Inc. Board of Directors

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Senator to United: Put CARES Act Money in Paychecks, or Give it Back

Senator to United: Put CARES Act Money in Paychecks, or Give it Back

Senator Josh Hawley issued a warning to United Airlines: use the $5 Billion of CARES Act money to keep your workforce intact… or give the money back.

In a series of Tweets, the Republican Senator from Missouri explained how he was approached by several IAMAW members as he was traveling back to Washington, DC. 

“I’m at the airport, flying back to DC, and multiple @United employees have told me the company is cutting their hours, pay & benefits immediately. This is AFTER United took billions in bailout money that was earmarked for workers. This had better not be true.”

Sadly, it is. United Airlines announced plans to slash the pay and benefits of over 15,000 full-time ramp and customer service workers, only days after accepting a huge share of the $50 billion allocated to airlines in the CARES Act. With public demand for air travel decimated since the onset of the coronavirus pandemic, Congress approved several aid programs designed to preserve the American aviation network and its highly skilled workforce. They recognized how important it is to be ready to rebuild quickly once the pandemic has subsided. Congress and the president made a choice to provide funding to safeguard civil aviation in the US, rather than try to recreate it later. 

“Airline workers are highly skilled, and irreplaceable without significant training,” said Mike Klemm, President and Directing General Chair of District 141 of the International Association of Machinists and Aerospace Workers. The IAMAW is the largest union of airline and aerospace workers in the world. “These women and men must pass rigorous training and safety requirements when hired, and must maintain and update their skills and clearances regularly. This process requires a significant investment from the air carriers and workers. You can’t just hire people who can operate on and around aircraft and passengers on a whim. Qualified candidates must be identified, trained, and cultivated over the years to build up expertise. The skill and dedication of airline workers are the reasons our aviation system is as safe and resilient as it is.” 

Congress agreed and set aside a huge chunk of the $2 Trillion CARES Act to safeguard the civil aviation infrastructure in the US and the women and men who operate it, throughout the COVID Pandemic. “The costs of rebuilding our transportation networks will be much higher than to simply unpause it,” Klemm said. 

Lawmakers who drafted and passed the CARES Act and its sister bill, the Paycheck Protection Act, have learned about United’s actions over the weekend. They are not happy. And, they are increasingly threatening to take action.

 

 

 

The outrage over United executives’ actions is bipartisan. Representatives from both major parties and both federal legislative bodies have sent statements of support for Machinists Union members who will be hurt by this decision.

Last week, US Representative Sheila Jackson-Lee wrote a letter to IAMAW District President Mike Klemm where she clearly stated the CARES Act money was not meant to buy new aircraft, buy back stocks, pay out bonuses or for any other purpose than to be distributed directly to United workers impacted by COVID-19. “ “It was not the intent of Congress for this program to be used as an economic bail-out, but to support the hard-working men and women who are the focus of United Airlines,” she said. 

IAMAW District 141 Legislative Director Dave Roderick credited the grassroots work of union members for getting the attention of lawmakers such as Jackson-Lee and Hawley. But, he stressed there is much more work to be done. “Our union is ramp and customer service agents – and a lot of other airline workers who love our jobs, and we want to keep them,” Roderick said. “Keeping our jobs right now means getting to work. It means calling our representatives, and making sure they understand just how shady United management is being. It means making sure that lawmakers know that we love our company, and the work we do. It means asking them to insist that company executives keep their word.”

Read the official letter from Senator Josh Hawley to United executives:

 

 

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IAMAW District 141 President Klemm to United: “Unacceptable.”

IAMAW District 141 President Klemm to United: “Unacceptable.”

May 1, 2020

Good morning to all of our DL 141 Brothers and Sisters, but this memo is specific to our United members who fall under the PSE and Fleet agreements at United Airlines.

I’m sure the anxiety and frustration of rumors circulating around the workplace and social media are taking its toll on you all, and for that I’m sorry. I wish I could make them all go away right now but the truth of the matter is this: only United Airlines can do that today and unfortunately, only a return of the flying public can do that past September 30, 2020.

As communicated last week, United Airlines has advised us they are looking to reduce all employees who work under the Passenger Service (including Reservations) and Fleet agreements to part-time to save money. Money for a Company that has over $10 billion on hand today, that will have between $8 and $10 billion at the end of June and between $4 and $6 billion at the end of September.

Regardless, no Company can survive long-term with passenger loads the way they are at United today.

We have suggested many cost savings ideas for the Company. Some of those are;

  1. Allow 12-month COLAS that continue to pay employees 25% of their salary.

  2. Offer the medical bridge to employees between the ages of 55-65. (It’s important to note that we have over 10,000 members under these two contracts who are 55 or older.)

  3. Allow employees to defer 25-50% of their salary until the first quarter of 2021.

We’ve suggested incentivizing these voluntary programs by offering United club passes and Positive Space travel which would cost the Company nothing.

Additionally, we have put forward several smaller, but critical proposals that can produce the level of savings that United needs if we can attract enough participation from our members. 

More than 25% of employees have taken 3 to 6-month COLAs already. The company does not want to count these sacrifices alongside the other cost-cutting efforts that have been made to date.

As of this communication, the company has declined these suggestions without so much as an explanation. They have told us they would be making a decision on many of these matters as early as today.

If the Company were to furlough all full-time employees to part-time they would still be required to follow key contractual rules. For example, they will need to notify everyone no later than Monday, May 4th to meet their May 24th target date to adhere to the contractually-required 20-day language.

They have also told us they plan to go down to 22 hours. We expressed that a 45% pay cut, or any pay cut for that matter, is unacceptable under the CARES act and even though we don’t and won’t agree to any pay cuts, they should at least give everyone 30 hours a week.

Times are tough. It’s easy to be an employee-friendly company when you’re making billions on top of billions of dollars (which again, they still have). However, it’s times like this, when everyone is scared for their livelihood, their safety, and our industry as a whole that United could show true CORE4 leadership.

As our Country salutes its essential workers is this really how United wants to treat theirs?

Mike Klemm
President and Directing General Chair,
District 141, International Association of Machinists and Aerospace Workers

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Protecting Yourself Financially From COVID-19: April Helping Hands EAP Newsletter

Protecting Yourself Financially From COVID-19: April Helping Hands EAP Newsletter

EAP Peer Coordinators:

 
     This issue addresses how to protect your finances from the impact of corona virus. There is a special addendum with specific steps to help with handling budgets. This information is from the Consumer Financial Protection Bureau, (www.consumerfinance.gov). This is a very informative web site with lots of great free financial information. 
 
     The entire issue has many hyperlinks to relevant web sites. The issue is best distributed electronically, so the hyperlinks can be accessed. If you can’t send it electronically, you may want to be able to share the links with your co-workers as they express interest in a specific  topic. I am happy to help if you have any trouble accessing any of the links. 
 
     It is important to anticipate what might happen after the CARES act funds end, September 30. We have a few months for everyone to look at their financial situation and to prepare for tough times. We can refer co-workers to  the web sites within the issue. Let’s be there to help when questions arise and financial information can be beneficial. 
 

     Thank you for getting this information out. I appreciate your efforts as we step up getting information out to our membership. 

 

 

Bryan,

Bryan Hutchinson, M.S.

Helping Hands Special Edition V

 

There are ways to get help if you are struggling to pay your bills due to the financial impact of COVID-19. If you can still pay your bills, you will likely be better off staying on track. Keep in mind that if you decide to use a program that lets you pause or reduce payments, you will still owe the money you have not paid once the program ends.

You have options.

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