American Seeks to Halt Worker Pay Raises

[Omaha Steve]

Source: AP

FORT WORTH, Texas (AP) — American Airlines, profitable again after racking up $8 billion in losses since 2001, faces a three-front battle to limit labor costs that are among the highest in the industry.

The three unions representing American's employees want to make up for double-digit wage and benefit cuts back in 2003, when the company was on the brink of bankruptcy. They argue that their sacrifices saved the nation's largest airline and they deserve to be rewarded now with big pay raises.

Not so fast, airline executives say.

This week, American and the ground workers union broke off talks on a limited contract extension and pay increase. They'll resume negotiations in November.

Read more: http://money.excite.com/jsp/nw/nwdt_rt_top.jsp?news_id=ap-d8s4hnh80&

[PSPS]

1. But there's always millions available for the CEO!

It's hard to figure they're "just coming around" when Gerard J. Arpey, the CEO of AA, took home $10 million in compensation.

[cpamomfromtexas]

7. Arpey's a punk and his Dad was a union buster's right hand man

[cstanleytech]

10. I guess it depends.

on how much more they want for a raise really.
I wish the article provided more information on how much they earn but all it mentioned was how much the pilots earned and $136,000 is not exactly minimum wage flipping burgers pay scale.
I agree though that the pay for the CEO does seem high but then thats nothing new in big business, they seem to think of the executives and stock owners first and the employees get the short end of the stick more often than not.

[cpamomfromtexas]

12. My pilot husband is working for half what he expected, military pilots make more!

So that's what many are doing, working in the guard and reserves.

And just for the record, pilots don't exactly flip burgers do they? Or do you want your burger flipper getting you to your next destination? Oh-and does your friendly burger flipper have to carry a friggin weapon to defend their kitchen?

[cstanleytech]

16. Well in regards to a burger flipper carrying a gun

that depends on the neighborhood.

[cpamomfromtexas]

15. By the time they get there, they have normally spent 10-15 years training

That's longer than your doctor.

And they are responsible for thousands of lives each day, and liable (yes, there is no indemnity for a pilot at AA- I know the contract) for those lives and a hundred million dollar aircraft.

This is one career field that is not paid enough.

Consider this, if pilots made as many errors as doctors, the equivalent of a 747 would crash EACH WEEK.

[cstanleytech]

17. Then will airlines have to raise airfares?

After all they are in a business to earn money.
Question then is if airfares rise more will the airlines be able to really survive or they die off and air travel mostly become something mostly only for the elite and privileged.

[Buns_of_Fire]

19. $136,000/year is cheap when my life is in their hands.

But you gotta show those CEOs and Other "Executives" some respect - after all, they probably had to kiss a lot of ass to get that job!

[Acadia Blue]

20. Filthy corporatist media does not talk about that. I have even

written to Chris Matthews and other about this fact. They won't slap the greed pig hand that gives them money. We don't have a media anymore. In the past this would have been news.

[robinlynne]

21. I saw a documentary about Costco. The owner, and CEO, determined that the pay ratio

between himself, the highest paid employee, and the lowest paid employee can never be more than 1/12. That way if he wants a raise, he has to give the lowest paid employees a raise so the ratio cannot ever go beyond that. I think that is a great principle to run a business on. Needless to say, costco has low employee turnover.

[NYC]

22. Thanks for that information.

I'm glad to hear it.

[spartan61]

2. It was the employees that saved AA from bankruptcy with

huge concessions in 2003. What did management do when the airline became profitable again? They gave themselves millions of dollars in bonuses, that's what they did. I hope all the employees can regain all they lost in concessions ( pay, work rules, and vacation time that had already been earned, etc) as well as increases. The employees are not happy and will be going into negotiations looking to get back all they lost and then some. I wish all the work groups good luck!!!

[Sherman A1]

6. I hope they get huge raises, but

even if they do, they will never recover what they gave up in wages. Yes, they saved the company and their jobs, but you can never recover lost wages just as from a business standpoint you can never make up lost sales. As for the CEO and his Board, may they rot in..............

[gateley]

3. K&R nt

[ProudDad]

4. K&R

http://www.iww.org/

[and-justice-for-all]

5. I just got a raise...

and I am not a union member.

[ldf]

9. congratulations

i'm sure you deserved it. many of us do not get paid a true living wage, much less a wage that we deserve.

but that brings up a succession of questions. i'm sure these questions would have nothing to do with your situation, and are only relevant if:

are you in a unionized field? if not, then why did you post, since your response would have nothing to do with this thread?

if so, is there a union where you work? again, if not....(see above question)

if it IS a unionized field, and there IS a union where you work, did THEY negotiate the raise?

if there IS a union where you work, and THEY negotiated the raise, workers who accept the raise, although they did NOT pay dues...

would be parasites, wouldn't they? making their money on the backs of others who GOT them the raise to start with.

those would be the same workers that help to undermine everything a union does, (like getting the raise to start with) wouldn't it?

of course this is only IF the above situation exists...

it is more of an example of how unions can be taken advantage of by those who contribute nothing to them, yet are very quick to accept the rewards they achieve.

that would be so very, typically, republican, wouldn't it?

and this has nothing to do with the goods and bads of anything. anyone can find abuses in everything.

this is about workers joining together to improve their work situations in relation to business administrations who, at the very least, are reluctant to pass on the fruits of a successful business (made possible by the employees) TO the employees.

[and-justice-for-all]

18. Yes, I have worked for and with a Union..

And on my current job location, I had worked with the Union who constructed the facilities.

[SalmonChantedEvening]

8. We're Americam Airlines... Screwing who we screw best! n/t

[onehandle]

11. It's the American Way. nt

[whistle]

13. How much do airline executives make and what have their "Golden Parachutes"

...yielded since 2001? I smell an executive rat nest at American Airlines :wtf:

[Robbien]

14. The article said execs got bonus worth $250 million this year

article goes on to say:

Many rank-and-file workers still laboring under double-digit pay cuts from 2003 are outraged by the bonuses, and the unions feel pressure to deliver pay raises in new contracts.

"Management has seen fit to reward itself handsomely the last couple years," Overman said. "In many respects, we're only taking their lead."

[Javaman]

23. It's really going to be interesting to see what happens in the next few years

as the price of oil goes up.

[Tyler Durden]

24. Tell me again why Democratic Socialism is a "BAD THING."

I get tired of being proved right all the time; we won't take care of our citizens until it is illegal AND immoral to be a GREEDY money grubbing bastard.