Jumpseatnews.com - United Airlines flight attendant resources

Home > News > Summary of United's Section 1113(c) Demands

Summary of United's Section 1113(c) Demands

print
Source: AFA

Date: Nov 17, 2004

From the UAL MEC Website:

Presented to AFA on November 4, 2004

Duration

  • December 31, 2004 – December 31, 2010.

Pay

  • 6.2% pay cut with an additional 4% cut throughout the duration of the bankruptcy.
  • The option for the company to extend the additional 4% through the first six months following exit of Chapter 11. Total pay cut = 10.2%.
  • 2% increase each year in (2007, 2008, 2009 current book) and 2010.
  • Terminate Flight Attendant Defined Benefit Pension Plan.
  • Eliminate 3 hour training pay minimum.
  • Domestic pay extended to include Alaska , Mexico , the Caribbean, Central America and South America north of 15 degrees south latitude.
  • Modify Duty RIGs to provide 4/9/14/19 hour minimum.
  • Eliminate current Profit Sharing Program.
  • Modify Stock Distribution, unspecified.

Pension Plan Termination

  • Prohibit AFA from challenging termination of Defined Benefit Pension plan.
  • Replace with Defined Contribution Plan – Company Contribution of 3% of Flight Attendant considered earnings – below the average contribution of 4% for all employee groups.
  • New Profit Sharing program deposited to Defined Contribution Plan.
  • Eliminate “Me-To” provision for current 401(K) Plan.

Medical/Dental

  • Eliminate cap on medical premiums on both PPO and HMO.
  • PPO charges equal to percentage of plan cost at 14% in 2005; 16% in 2006; 18% in 2007; and 20% in 2008 and beyond.
  • HMO charges equal to percentage of plan cost at 24% in 2005; 26% in 2006; 28% in 2007; and 30% in 2008 and beyond.
  • The same costs and elimination of cap apply to associated dental programs.
  • Eliminate cap on mail drug order program.
  • Eliminate family cap of out of pocket expenses and increase out of pocket expenses to $2000 per person per calendar year. This amount is in addition to amounts paid as a deductibleand will apply to future retirees.

Sick Leave

  • Sick time paid at 70% of the hourly rate of pay and line guarantee and sick leave bank reduced for the 100% of the value of the ID(s).
  • Reserves paid 70% for each day with 100% reduction of daily rate from sick leave bank.
  • Worker’s Compensation would not be augmented with sick leave and no vacation would be accrued during an occupational medical leave of absence.
  • Employees required to use sick leave for Family Leave associated with their own illness, and use vacation for Family Leave associated with care of a dependent.

Disability

  • Eliminate $53/week short-term disability.
  • Eliminate company subsidy toward premium of voluntary long-term disability with no cap in costs for Flight Attendants.

Vacation

  • Vacation Accrual cut to 14 days after one year of service, 21 days after 5 years of service, and capped at 28 days after 10 years of service.

Work Rules/Scheduling

Consider that the following demands would apply to scheduling of ID(s), line construction, reserve assignments and actual operation including reassignments.

  • Domestic work rules extended to include Alaska , Mexico , the Caribbean, Central America and South America north of 15 degrees south latitude.
  • Eliminate 8-in-24 protection.
  • Eliminate 2-for-1 rest requirement protection associated with 8-in-24.
  • Eliminate 30-in-7 protection.
  • Duty Time increased to 14 hours scheduled, 16 hours actual.
  • Extend Duty Time Scheduling to 15 hours for Premium Transcon turns.
  • Modify Duty RIGs to provide 4/9/14/19 hour minimum.
  • Increase scheduled hours to 95/190/285, with optional maximum 100/200/300.
  • Monthly line averages increased to 86/172/258.
  • Eliminate Personal Time Off (GWOP).
  • International trips greater than 10:01 reduced to 22 hour block to block scheduled legal rest.
  • Eliminate place of lodging minimums.
  • All actual flight hours would offset any credited scheduled hours during the course of a month.
  • Training offered electronically or through other media at company discretion.

Voluntary Furlough/Involuntary Furlough Protection

  • Voluntary Furlough offered at company discretion.
  • Voluntary Furlough benefits determined by the company.
  • Seniority required for eligibility of a voluntary furlough determined by the company.
  • Voluntary Furlough bids awarded at company discretion.

Other Company Insurance Programs

  • Eliminate the $10,000 company paid accidental death and dismemberment benefit.
  • Eliminate retiree life insurance.

Electronic Communication Required for Flight Attendants

  • Eliminate all paper documents, including but not limited to official notices, general information, bid packages, and correspondence related to grievances.

Grievances

  • Withdrawal of grievances with prejudice, list to be provided by company.
  • Any provisions of the Contract that the company believes are inconsistent with the term sheet and would preclude the company from obtaining the savings they sought through the Section 1113 process, would be eliminated or modified after ratification and during drafting of the Contract language.

Read Full Term Sheet >>

< Return to Latest News


Quick Find

Travel and Safety

And now a word from...

Printed from www.jumpseatnews.com. Have a nice day!