From: www.unitedafa.org

Ladies and Gentlemen:

We have reached an Agreement with United to turn 1% of potential pay through the "Success Sharing Incentive Plan" based on management-set "goals" into 1% guaranteed pay increase through a book rate raise as of May 1^st.  This 1% pay raise will be in addition to the scheduled 2% pay raise detailed in Contract Section 5.A.1. and 5.A.2. for a total pay increase of 3% as of May 1, 2008.   While this is an improvement, this Agreement in no way satisfies our goals or changes our demands for significant improvements to our compensation and quality of work life Contractual improvements.

The Incentive Plan checks, commonly referred to as "Success Sharing checks" were intended by management to produce an incentive for good operational performance.  These checks that might buy a couple Starbuck's coffees had the opposite effect because Flight Attendants were so offended by receiving pennies when executives cashed in millions.  Management's "incentive" plan turned into a de-motivator.

AFA has been extremely critical of management's supposed "success sharing" program and consistently addressed the failure of the program with management.  The concept of incentive pay was never one that we believed in because we take pride in the job we do and expect to be compensated for that good work.  Management conversely argues that they require the promise of "bonuses" and "incentive pay" in order to do their jobs, regardless of how well that job is done.

The Incentive Plan Program did not pay us even at the level of 1% of our pay because it was based on the performance of the airline, which is subject to the poor decisions of management.  As we continue to press for improvements and meaningful restoration of our pay through negotiations, this transfer of 1% potential pay to 1% guaranteed pay removes uncertainty and raises the incremental bar for future raises.  It puts more money in our pockets now and in every paycheck going forward.

The Agreement is available for view on our website.  It also confirms there is no change to the Contractual provisions for Profit Sharing in Section 5.J.2. and that any accrual of "incentive pay" between January 1 and April 30 of this year will continue to be paid on schedule in the spring of 2009. 

Again, this guaranteed pay increase does not equate to the meaningful pay restoration and improvements we continue to demand for our work as onboard safety professionals.  It is an example of what we can accomplish together through our Union as we speak with one voice.  Continue to stand strong together as we fight for shared rewards.

In Solidarity,

Greg Davidowitch, President
United Master Executive Council