Finding my Mojo - Part 2

For months now, I have tried to sit down to write, yet could not find the energy or drive. My day job has been kind of a nightmare, things at home are a little unsettled, and new medications have had their side effects.  All of the crap that comes up in our lives can distract us from some things we do care about, and I have learned that in order to not lose my mind altogether, I have got to make the time to focus on something I enjoy.  It is time to get my mojo back, and it is time to get back to the Friendly Skies.

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In Part 1 of this post, I recapped everything that has gone on over the last ten months at United.  So much has happened, confusing the employees and customers.  Would there ever be a truly great United Airlines once again?

Flight Attendant Contract Negotiations

I want to bring this up first as it has been six years since the merger of United and Continental was announced and the three Flight Attendant groups, pre-merger United ("pmUA"), pre-merger Continental ("pmCO) and pre-merger Continental Micronesia (pmCM), are all still working under separate contracts.  A federal Mediator was brought in after talks with management had stalled, and it appeared there was still divisiveness among the three flight attendant groups.  Mediated negotiations sessions have been going on since the summer of 2015.

Though not made public, it was rumored that a thorn in the negotiations was the Continental MEC President, Marcus Valentino.  He was Union President when Continental and Continental Micronesia Flight Attendants were represented by the IAM, and was also rumored to be a close confidant for Jeff Smisek.  He fought hard against the vote to have the the two Continental groups join the AFA alongside the United Flight Attendants.  With contract negotiations being hampered by Mr. Valentino, AFA's International Office, and International President, Sara Nelson (herself a United Flight Attendant) stepped-in.  Mr. Valentino was asked to resign as MEC President and step away from the negotiations. With this settled, United's AFA releases a joint announcement that the three groups are standing together in the negotiations and vow to get an industry leading contract for United's Flight Attendants.

United's Flight Attendants have the Our Contract web site (www.ourcontract.org) where you can find information about the negotiations.  United management has set up their own United Negotiations web site (www.unitednegotiations.com) to present their side in the ongoing negotiations.  It is interesting to read the releases from both sides, who blame each other for the lengthy negotiation process.  

These negotiations are especially important to the pmUA Flight Attendants.  They fought hard to set in place protections that would limit the length of duty days, set minimum rest periods between trips, and put into place an A/B Reserve rotation system.  This rotating system allows junior Flight Attendants the opportunity to hold lines every other month rather than be "on reserve" all the time and not have the security of knowing when they would have to report for duty.  Limits on duty days, and minimum rest periods are needed to ensure that Flight Attendants are well rested and alert, and are able to properly respond in the event there is an emergency in flight.  On the Continental side, their duty days are longer, minimum rest periods are shorter, and they do not have the rotating reserve system.  This allows the company to set their schedules such that in the event of irregular operations, they may not get the proper rest periods, which compromises safety.  All United Flight Attendants, and I certainly agree with this, should not be asked to give up protections that are in place to ensure the safety of crew members and passengers. 

It was not until April of 2016 that any real talks about compensation began.  Both sides have offered proposals that they say are comparable to the wages paid to American and Delta Flight Attendants.  United management immediately responded saying they thought that the AFA proposal would have a negative impact on United's financial performance, something they could not accept.  Management was supposed to come back with a revised proposal in May, yet there is no indication that the two sides are close to an agreement. Contract talks are resuming today in Reston, Virginia. 

Compensation for United management is dependent upon profitability of the airline and so many managers feel that the Flight Attendants do not deserve much more than they are getting now.  The AFA delivered their compensation proposal to management on April 21, 2016, the same day first quarter results were released.   With the release of the first quarter results and dimmer outlook, UAL's share price has taken a significant hit.  Part of the compensation for United management is determined by share price performance. Management is now under pressure to get costs down and any proposal by the Flight Attendants is going to be deemed as having a negative impact on United's financial performance.     

It is ironic that management complains about compensation demands, given the amount they themselves make and are worth.  When UAL's share price stared to drop dramatically, United managers and Directors started to buy up shares to publicly show their confidence in the company.  One of those managers is Michael Bonds, Executive Vice President for HR and Labor Relations, and the one who rejected AFA's compensation proposal back in April.  On April 26 he purchased an additional 2,000 UAL shares at a cost of $96,766. The Form 4 that was filed with the SEC says he directly owns 52,865 shares in UAL, which at today's trading price is worth $2.4 million. Those shares would have been worth $3.3 million back in February, so Mr. Bonds has taken quite a hit.  I only bring this up to point out that Mr. Bonds and most of United's management, at the Senior Vice President level and above, are millionaires.  Their compensation, including profit sharing and other incentive payments, are all at six figures and above.  It is hard for me to accept Management's complaints about the negotiations while Flight Attendants are struggling to make ends meet with average compensation below $50,000 per year. 

Since mediated talks began last summer, United Flight Attendants have held a "Day of Action" every month, with informational picketing at the hubs and major airports to show their unified resolve to get the contract they want and deserve.  The next "Day of Action" is being held this Thursday, May 19.  I am taking the day off to go out to LAX and offer my support.  I need to get involved again as these negotiations are so important to the success of United Airlines.   If you are flying United on that day, or any day soon, please take a moment to thank your Flight Attendant as they are putting a lot on the line to ensure your safety and to make United Airlines great again.

There is much more I wanted to write about, but my day job is getting in the way again. Now that I have my mojo back, I am more motivated than ever to keep writing, and more importantly I want to get back into the Friendly Skies.  The Annual Shareholder's meeting is coming up on June 8, 2016.  I am hoping to make the trip so that I can address this new Board of Directors and once again voice my support for the Flight Attendants, Technicians, and all front line employees.  Thank you again to all of you for your support, I am looking forward to seeing you soon.

P.S. - I still have some "More than a Co-Worker" wrist bands to share.  If you are interested in any just e-mail me at jimfrompicon@gmail.com.  There is no cost, all e-mail addresses are kept confidential and used only for this purpose.  - Thank you!