Spirit / JetBlue Merger Statement

Spirit / JetBlue Merger Statement

Spirit / JetBlue Merger Statement

28 July 2022

To our Sisters and Brothers of Spirit Airlines,

This morning, JetBlue Airways and Spirit Airlines announced plans to merge to create the nation’s fifth largest carrier. Spirit Airlines shareholders yesterday rejected Frontier Airlines’ bid to merge and cleared the way for JetBlue’s $3.8 billion all-cash offer to combine the two carriers. The deal still needs the required regulatory approval. The airlines expect to conclude the regulatory process and hope to close the transaction no later than the first half of 2024.

Regardless of if and when this merger gets finalized, it’s vital that our IAM members at Spirit Airlines know that we will ensure your contract is enforced during this process and your rights will be defended as stated under Article 1, paragraph G of your collective bargaining agreement, which states;

  1. In the event of any merger of the Company with another airline, acquisition of the Company by another airlines, or acquisition by the Company of another airline, which affects the seniority rights of the employees covered by this Agreement, the parties will make their best efforts to integrate the seniority lists in a fair and equitable manner including, where applicable, agreement through collective bargaining between the carriers and the representatives of the employee groups affected. In the event of failure to agree, the dispute shall be resolved in accordance with Sections 2, 3, and 13 of the Allegheny-Mohawk Labor Protective Provisions.
  2. Upon announcement of any transaction which is intended to result in the consolidation of the Company with another air carrier, the parties will meet promptly to negotiate an appropriate fence agreement and to implement a seniority integration process as described above. These discussions shall not be a prerequisite for closing or completing a transaction under this Article.

It’s important that you know nothing will change under your contract until the federal government approves the merger and all potential representation disputes are concluded.

Furthermore, IAM District Lodge 141 is very close to filing a representation election for JetBlue’s ramp/fleet service workers. Any help you can provide us in gaining the needed authorization cards can only help to ensure that this proposed merger would give everyone a seat at the table and offer you the peace of mind you deserve.

In Solidarity,

Mike Klemm

President and Directing General Chair,

IAMAW District 141

Recording Secretaries: Please print and post on all Union Bulletin Boards.

“CONTRACT NOW!” Union Solidarity Actions Around the Nation As Talks Stall

“CONTRACT NOW!” Union Solidarity Actions Around the Nation As Talks Stall

CONTRACT NOW!: Machinists Union Members at Sister San Francisco Local Lodges 1781 and 1782 Member Appreciation Solidarity Day pose with Contract Now! signs. Talks with United Airlines have stalled over the issue of job security, according to union negotiators. In response, union members are renewing commitments to each other – and building a rock-solid front from which to face whatever challenges management tries to throw into the fray. Photos: Brian Vega, IAMAW 141 Communications Coordinator

“CONTRACT NOW” Wave of Union Solidarity Actions Around the Country as Contract Talks Stall

Organizing
25 July 2022

Brandishing signs reading “CONTRACT NOW,” thousands of Machinists Union members at United Airlines are storming break rooms, social media, and rallies to demand that United Airlines does not gain the ability to outsource their work to low-wage vendors in the next contract.

Workers along the West Coast gathered this week in San Francisco for a series of solidarity actions, including a member appreciation event that drew hundreds of union members. The gathering concluded a week that included rallies at San Francisco International Airport (SFO) that featured speeches by union leaders, including many directly involved in contract talks with the airline. 

“Cost of living is going up, health care is going up, everything is getting more expensive,” said Troy Rivera, an Assistant General Chairman with the Machinists, to the assembled United Airlines agents. “United thinks there are no big issues here,” he said. “And, that’s just not the case. We do have issues. Our job security is an issue – in fact, it was the number one concern that our members have asked for leading up to these negotiations.” 

“They are basically offering job security that is worse than what we have now,” said Assistant General Chairman Joe Bartz, a member of the panel of union members currently negotiating with the company. “And, that is absolutely ridiculous after what we’ve gone through over the last few years, with the pandemic.”

Bartz also took issue with the often disrespectful tone adopted by company negotiators, who, behind closed doors, seem to devalue the critical role front-line workers play at the airline. “In negotiations, members of the negotiating team told us that United Airlines Store Keepers (at United) were nothing more than Walmart stock clerks, and why should we pay them any more?” The comment drew loud boos from union members and prompted several to take to social media to point out that Walmart stock clerks are underpaid and regularly exploited. “If United wants to start acting like Walmart or Dollar General, we might be (expletive removed),” a poster on Facebook said in a comment that has since been deleted.

The rally at SFO Airport was only one of several such demonstrations. On Saturday, San Francisco-based union members launched a “Member Appreciation Day” event that drew several hundred airline workers. According to event organizers, the day was intended to strengthen the bonds between union members and their community. Organizers stressed that relationship-building exercises like membership appreciation events and community outreach could only help union members during contract negotiations. 

“This took a lot of work,” said event organizer Noelle Sakamoto. “There was a whole team of us that brought this together,” she said. The group involved Local Lodge Presidents from two Local Lodges, Tony Parker from 1781 and Wendy Goodell from Local 1782, both helped lead the work. The twice-a-month meetings began in January of 2022 and included help from Assistant General Chairs Olu Ajetomobi and Troy Rivera, both of whom represent airline workers along the West Coast. Chris Lusk, a District Vice-President and Local 1781 Committeeman also offered help and advice.

“They want us to trust them when they say they won’t outsource our work, and that’s just not good enough. We want it in black and white, in writing, in a legally-binding contract.”

-IAMAW District President, Mike Klemm

Area businesses invited to the event lined the parking lot of Locals 1781 and 1782 with a colorful assortment of booths, face painting, music, souvenirs, and food and drink options… all of which combined with the cool San Franciscan summer weather to create a festive atmosphere for attendees. 

But, behind the warm hugs and smiling joviality was a persistent undercurrent of steely determination, focused on the behavior of United Airlines at the negotiating table. 

In a July 18 letter to the membership, Machinists District President Mike Klemm, who is leading the negotiations, pointedly told members that talks had stalled over job security. 

“Unfortunately, United management decided to propose a job security package that is not competitive with United’s industry peers and does not provide the job security and scope of work protections IAM members deserve,” Klemm said in the statement. Of the solidarity events springing up at airports around the nation, Klemm said, “We need to take every opportunity to remind each other that we are all in this together and that we have each other’s backs.”

“They want us to trust them when they say that they will not outsource our work, and that’s just not good enough. We want it in black and white, in writing, in a legally-binding contract.”

 

The head of the Machinists Union Airline Transportation Division, Richard Johnsen, underscored the sentiments to West Coast union members over the weekend. “I want to thank everyone who put in so much hard work to create this solidarity event,” said Johnsen. “We need to do this. We need to be together and rock-solid if we’re going to take on this company and win,” he said. Johnsen called on United to, “return to the bargaining table and give Machinist Union Members a fair contract that protects our jobs and shows the respect that we deserve,” to loud cheers and chants of “Contract Now!”

One factor making United’s efforts so frustrating to employees is the fact that the airline has, as of July, returned to profitability. According to the Union’s District President, a large factor in bringing the carrier back into the black is the hard work of front-line union members. 

“United Airlines has announced record revenue and a return to profitability,” Klemm said in a joint statement signed by union negotiators.  “The very reason this is possible is because of United Airlines employees. Not management. It’s the workers who make this airline fly. It was us who made tens of thousands of calls to elected officials to ensure our airline received the needed aid to survive through the worst downturn in airline industry. It wasn’t because of CEO Kirby and the other airline industry executives. How did CEO Kirby reward our loyalty? He devised a scheme to violate our contracts and force all IAM-represented workers to part-time status. And, now this.” 

United’s announcement that it has returned to profitability owes its existence to the pandemic relief funding, which was awarded following a massive show of support from union members.

Another factor helping to inflate profits, according to industry analysts, is the fact that United is increasingly willing to raise ticket prices. This tactic mirrors the company ethic of bleeding its workers dry and seems to apply to passengers, too. Airfares at United have spiked a staggering 20% since 2019. At the same time, United has slashed seat capacity and used pandemic aid funding to encourage mass employee retirements, leading to crowded planes and chronic staffing shortages.

United earned more than $430 million in the Second Quarter but is struggling to keep pace with profits at competitor airlines, such as American. 

 

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Legislative Goals
25 July 2022

Since late 2021, the economy has suffered debilitating setbacks primarily due to wrinkles in the global supply chain. As a result, President Biden hosted a supply chain summit with 14 other countries that same year to begin tackling the immediate supply chain issues. 

Fact Sheet: Global Supply Chain Summit

Machinists Union was invited to participate in the Labor and Workforce Development breakout of the two-day 2022 Ministerial Forum on Global Supply Chain Resilience, scheduled for July 19 and 20. 

The event hosted by U.S. Secretary of State Antony Blinken and U.S. Secretary of Commerce, Gina Raimondo, focuses on ways to tackle the supply chain issues championed by President Biden. 

Included in these discussions were geographic diversity of advanced manufacturing centers, fostering stakeholders in labor, small businesses, transportation, and logistics to improve supply chains. All while expanding global training to enhance readiness in workforce participation for all workers, including women and other underutilized minority groups.

 2022 Supply Chain Ministerial 

“The IAM made it clear that to improve supply chain issues, the next generation of workers must receive the skills they need to fill good middle-class jobs,” said Peter Greenberg, IAM Strategic Resources Assistant Director. “We need improved and consistent funding for apprenticeship programs and the continuation of Trade Adjustment Assistance programs for displaced workers.”

The overall goal for this global partnership is to reduce and end near-term supply chain disruptions. The Departments of State and Commerce are committed to building long-term solutions while easing future troubles in the global supply chain. Advocacy and education are needed at every level, from workers, city leaders, state, federal, and international leaders. In addition, the Biden Administration aims to secure custom supply chain solutions for businesses and workers in each locality – securing jobs for all workers.

 Watch: The Modern World Doesn’t Work Without the Global Supply Chain.

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ATTENTION All California CSR’s: Important Information Re: MAP Devices

District Lodge 141, along with Local Lodge 1782, addressed the MAP Device Protection Program. United attempted to implement a policy that seems to require that United Airlines’ workers who have been provided iPhones have to buy insurance with respect to the devices.

Six years ago, we corresponded with United and advised them that any requirement that employees buy insurance with respect to company-issued equipment is unlawful.

Apparently United heeded that letter at that time and the Union was successful in getting affected employees refunded.

Under California law, employers must bear all costs of doing business and can’t impose it on employees. See Labor Code Section 2802 which, specifically prohibits any employer from forcing employees to pay for any expenses including insurance on those phones.

The statute also provides for attorney’s fees should the employees have to bring an action to remedy an unlawful requirement that employees bear any costs such as insurance. You also may want to take a look at Cochran vs. Schwan’s Home Service, 228 NLRB Cal.App 4th 1137 (2014) dealing with this issue. The Court was relying upon a California Supreme Court decision which is now 25 years old. Gattuso v. Harte-Hanks Shoppers, Inc. 42 Cal.App.4th 554 (2007). The Union asked United to rescind the policy.

After the Union met with United & HR, United has now agreed once again to reimburse all members in California in the following locations: SFO, SMF, SJC, LAX, SNA, SAN for a total of 539 employees at the total cost of $16,170.

Troy Rivera

Assistant General Chair,

IAMAW District 141

Olu Ajetomobi

Assistant General Chair,

IAMAW District 141

Terry Stansbury

Assistant General Chair,

IAMAW District 141

Mike Klemm

President and Directing General Chair,

IAMAW District 141

Recording Secretaries: Please print and post on all Union Bulletin Boards.

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Home Town Pride: Lodge 811 Continues A Long-Standing Commitment to Community Service with Annual Toy Drive for Pediatric Cancer Patients

Commitment To the Community: Local 811 Toy Drive for Pediatric Cancer Patients

Local Lodge 811’s Women’s Committee recently dropped off a large donation of toys from their latest toy collection project for Texas Children’s Hospital in Houston, Texas.

In previous years the local donated any type of toy to all children at the hospital, but this time, the committee chose to collect specific toys for bed-ridden pediatric cancer patients: puzzles, word games, books, and hand-held electronics.

Local 811 Secretary Treasurer Sarah Monderoy Garcia has been on the Women’s Committee since 2013. She, Lodge 811 Vice President Nelson Yanes, Trustee Adrienne Coleman, Charlotte Lazard, and Evelita Everitt make up 811’s Women’s Committee, which is continually collecting donations for different organizations.

“We’re always doing some type of drive, whether it’s toiletries, clothing, or toys. We like to target different areas of need in the community,” said Garcia.

The committee encouraged members to bring donations to union meetings and advertised with flyers on the break-room bulletin boards at George Bush Intercontinental Houston Airport (IAH) where Local 811 members work for United Airlines as ramp service employees, ground crew, and stores material specialists (members who work side-by-side with mechanics to provide parts for planes).

The committee strategically decides to host their toy drives in the summer time, the “off-season,” because hospitals typically receive an abundance of toy donations over the holidays but are running low and have new patients come summer.

Richard Johnsen, General Vice President of the Machinists’ newly formed Air Transport Territory, expressed optimism that the Machinists and the ALU could forge a strong alliance. “We are more than just unions,” said Johnsen. “We’re also part of a movement. People are tired of sitting on the sidelines. They want to act, they want to make changes. That’s why this campaign at JetBlue is so exciting; it’s a vital part of a larger movement to prove that working people deserve just as much respect as managers and executives.”

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JetBlue Union Organizing Effort Heats Up

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Tristan “Lion” Dutchin (center, light brown shirt) was instrumental in the historic campaign to bring union rights to the Amazon Staten Island Facility, the first such victory in the history of the trillion-dollar company.. He is lending his insights and support to JetBlue Ground Operations Crew members currently organizing with the Machinists Union!
Tristan is shown here with GVP Richard Johnsen (center, blue shirt) District 141 President Mike Klemm (center, dark shirt), and a team of Machinist Union Organizers. Photos: Brian Vega, IAMAW 141 Communications Coordinator

JetBlue Union Organizing Heats Up in Wake of Historic Union Victories

Organizing
8 July 2022

A recent spate of high-profile union victories is inspiring union organizers at JetBlue, according to Ground Operations Crewmembers, at an appreciation rally this week at JFK airport in New York.

The event was hosted by the Machinists Union, which Ground Crews at JetBlue are seeking to join. The Machinists include ground and gate agents, flight crews, and other air transport workers at every airline and large airport in the country. 

Headlining the rally was Tristan “Lion” Dutchin, one of the lead organizers at Amazon’s Staten Island facility that became the first property at the trillion-dollar corporation to unionize. 

“I wanted to come out and show support for what Ground Ops are trying to do,” said Dutchin. “It’s not easy. Really, organizing with a union is impossible until suddenly it’s not,” he said. “There’s a lot a company like JetBlue or Apple or Amazon can do to mess you up,” he continued. 

As one of the lead organizers at Amazon, Dutchin saw firsthand how far companies are willing to go to stop a union drive. “They hired people to go work and pose as real employees,” he said. “When really their only job was to spy on us and badmouth unions,” he explained. “That fooled a lot of us for a while until we caught on to what they were doing.”

A central union-busting talking point at Amazon was to portray unions as “outsiders” and “third parties,” an argument that Dutchin laughed off. “I’m a third party now just because I joined a union?” He asked mockingly. “Ain’t no third parties. Sometimes they act like they don’t even know what a union is,” he said of Amazon’s anti-union efforts.

The union that Dutchin helped found, the Amazon Labor Union (ALU), is aggressively building itself up, growing, and educating its membership about union activism. An essential part of that effort includes outreach to other labor groups and participating in high-profile union drives like the ongoing campaign at JetBlue.

Richard Johnsen, General Vice President of the Machinists’ newly formed Air Transport Territory, expressed optimism that the Machinists and the ALU could forge a strong alliance. “We are more than just unions,” said Johnsen. “We’re also part of a movement. People are tired of sitting on the sidelines. They want to act, they want to make changes. That’s why this campaign at JetBlue is so exciting; it’s a vital part of a larger movement to prove that working people deserve just as much respect as managers and executives.”

Johnsen also pledged to work closely with the ALU, including hammering out a potential agreement to open the renowned Winpisinger Education Center to ALU members. “The Winpisinger Center is the largest labor school in North America,” he said. “It has an expert teaching staff that holds classes on things that matter to unions. Things like contract negotiations, leadership training, arbitration, organizing and more. It’ll be a great asset to JetBlue Crewmembers once they come on board, and I hope that ALU members will look into the opportunity to find out more about the Winpisinger Center.”

Machinists held the rally to showcase union organizing at the airline and recognize Ground crews currently working towards joining the Machinists Union. According to event organizers, the demonstration drew about a hundred JetBlue Crewmembers, many of whom participated in a raffle, were served an assortment of food items, and signed union authorization cards. Union authorization cards are critical to earning union rights at the workplace. More than half of employees must sign a card petitioning the federal government to recognize a union vote. Once a vote is scheduled, employees will then get a chance to formally join a union.

While JetBlue has thus far managed to avoid a union vote among Ground Crewmembers, Machinists Union organizers say that the campaign is getting very close to reaching its target of “50% +1” for card signing.

“We are very close,” said Machinists Union District President Mike Klemm. “The mood has changed. The rate of card signing is way up. People are asking questions, and we’ll be here to give our Ground Operations Crewmembers all the resources they need,” Klemm said.

“Importantly,” he continued, “we have the best union organizers in the nation working on this from our end. They’re working side by side with Crewmembers at JetBlue, who are organizing on the inside. Altogether, I am incredibly proud of this team. I know we’re going to get this done,” he said.

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