American Airlines makes second labor deal this week


American Airlines has agreed on contract conditions with parts handlers. This is the second tentative deal with ground workers this week. American Airlines and the Transport Workers Union came to the agreement late Thursday. The new contract is for 1,282 parts handlers. The deal needs to be approved by the workers.


On Friday the union said that the agreement, like a previous one this week for 11,500 mechanics and technicians, included signing bonuses as well as raises. Furthermore, it keeps a conventional pension plan for current workers. As an alternative, new hires would receive company contributions to 401(k) accounts.


John Conley, union official, said the most recent agreement “marks a dramatic turn from only a week ago when negotiations were at a standstill.” The union had requested for federal mediators to announce an impasse in talks, which would begin the countdown toward a possible strike after 30 days. Mediators did not approve the union’s request.


Source: Bloomsberg Businessweek

Photo: Wikimedia


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