AA Flight Attendants Union Tops Demand That Rank And File Take More Concessions After Court Ruling-Union Plays By Bosses Rules

AA Flight Attendants Union Tops Demand That Rank And File Take More Concessions After Court Ruling-Union Plays By Bosses Rules

American Airline flight attendants rattled by judge's ruling on pilot contracts

Published: Thursday, August 16, 2012, 2:20 PM     Updated: Thursday, August 16, 2012, 2:26 PM

http://www.nj.com/business/index.ssf/2012/08/american_airline_flight_attend.html

 By The Associated Press 

Getty ImagesThe Association of Professional Flight Attendants described the judge's overall ruling as "a blistering indictment of the labor unions" at American.

The flight attendants' union says a bankruptcy judge's ruling against American Airlines' attempt to break its contract with pilots was only a temporary win for workers.

The Association of Professional Flight Attendants says the judge's overall ruling is "a blistering indictment of the labor unions" at American.

In a message to members today, the flight attendants' association said the judge rejected almost all the pilots' arguments and merely postponed the "inevitable" cancellation of the pilots' contract. The union says that it would lose an appeal to the same judge, and that flight attendants should keep pushing for a merger with US Airways, which it sees as less hostile than American.

The comments highlight the dilemma facing the unions: They can accept concessionary contracts from American, or they can reject the offers but risk having even harsher cost-cutting terms imposed by the bankruptcy judge.

On Wednesday, U.S. Bankruptcy Judge Sean Lane in New York denied a request by American to throw out its contract with pilots and impose measures to reduce the airline's labor costs. The judge said American largely proved it needs to cut labor costs but failed to prove that it needed two specific items in its plan — pilot furloughs and outsourcing more flying to other airlines.

The judge said if American parent AMR Corp. addressed his concerns about the furlough and outsourcing items, it could try again to throw out the pilots' contract. AMR said it would make necessary changes and try again to cancel the pilots' contract.

The interim president of the pilots' union, Keith Wilson, called the ruling a rare victory for labor in a bankruptcy case and a setback for AMR management.

Flight attendants are voting through Sunday on a contract offer from American. If they reject it — as pilots did — American would ask the same judge to cancel the attendants' contract and impose stricter cost-cutting terms.

The association recommended that flight attendants approve the pending contract offer from American "and continue to work towards achieving a merger with US Airways."