Published 28 Jun, 2012
American Airlines – Special Update “Me-Too” Clause
Today TWU leaders and the company signed the “me too” clause enhancements for Fleet Service, Dispatchers, Simulator Technicians, Ground School Instructors and Maintenance and Control Technicians.
On June 26 and 27, the Negotiating Committee’s met with the company in order to take advantage of the “me too” clauses included in the five ratified contracts. The meetings were scheduled in order to implement those clauses that are in each of the contracts approved by the membership.
Last week the APA was offered a contract that lowered their ask from the original 20 percent concessionary company target to 17 percent. Because of our “me too” clauses, the five TWU work groups that ratified contracts were entitled to the lowered asks. This resulted in the TWU asks being lowered by about $37 million dollars for those groups.
Your negotiators worked with company representatives to allocate where that money would be put back into our contracts. There were certain areas that were not subject to any changes per the “me too” clause.
Here is a breakdown of just some the enhancements. Each member should review the specific term sheet for their respective title group.
Pay Rates
During these negotiations, the TWU was able to eliminate the Fleet Service 2 percent pay cut, while also gaining pay increases.
Profit Sharing
The Profit Sharing formula was changed and the potential of payouts were reallocated to other areas where the value would be realized regardless of whether there is an eligible payout or not. The current 15 percent pool of pre-tax monies would be adjusted to a 5 percent pool of monies in which the payouts would be based on the member’s eligible earnings.
401K
The 401K contributions the company would match, up to 5.5 percent, was changed to include most gross earnings, such as overtime pay and additional pay from a change of shift (CS).
Active Medical
There were reductions in certain premiums, deductibles, out of pocket maximums and prescription costs.
Duration
An “early opener” was included after the 4th year, but before the 6th year of the current agreement.
There were other enhancements. The full description is outlined in the “me too” document.
Finally, a bankruptcy settlement letter was also signed that was based on the letter given to the pilots. This side letter, which is subject to court approval, is generally framed around the pilot letter and allows for future talks on obtaining unsecured claims, reimbursement of professional fees and other legal matters.
View each of the five “me-too” documents signed by President Little:
M&R and Stores Talks to Resume
Our Maintenance and Related and Stores Negotiating Teams will be returning to the bargaining tables in Dallas in our continuing efforts to reach consensual agreements with AA. The talks are scheduled to take place July 2 and 3. We will keep you up to date as information becomes available.