SWA Settles With Mechanics
Mar 16, 2019, 10:43 pm
#1
Original Poster
Join Date: Sep 2002
Location: Blue Ridge, GA
Posts: 5,512
SWA Settles With Mechanics
A 5-year deal, 20% raises up front, then 3% a year for @AMFANational mechanics at @SouthwestAir.
That’s more upfront and a much bigger ratification bonus ($160 million vs. $91 million) than last year’s rejected offer.
Agreement in Principle
That’s more upfront and a much bigger ratification bonus ($160 million vs. $91 million) than last year’s rejected offer.
After a week of mediation, including many long nights and early mornings, the Aircraft Mechanics Fraternal Association (AMFA) and Southwest Airlines have reached an Agreement in Principle (AIP) on Saturday, March 16, 2019, toward a new collective bargaining agreement. We are very pleased with the efforts of both Teams to find common ground on a new contract
that is good for our Aircraft Maintenance Technicians and for Southwest Airlines.
Highlights:
that is good for our Aircraft Maintenance Technicians and for Southwest Airlines.
Highlights:
- Twenty percent (20%) snap-up to base wage rates effective April 1, 2019;
- Three percent (3%) base rate increases on August 16 in 2019-2023;
- One hundred sixty million ($160,000,000) dollar ratification bonus that is 401(k) and profit sharing-eligible;
- Agreement amendable August 16, 2024;
- Modifications to Letter of Agreement (LOA) 1 with details to follow when the AIP becomes a TA.
Mar 17, 2019, 1:01 am
#3
Join Date: Feb 2004
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wow, this is how companies do NOT get to survive any economic downturn that may come about later on.
profitable last few years? insist on 20% wage increase, another 12% over 4 years, plus throw in another $160MM just for good measure.
profitable last few years? insist on 20% wage increase, another 12% over 4 years, plus throw in another $160MM just for good measure.
Mar 17, 2019, 5:25 am
#4
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What do you think the annualized five-year cost for this agreement is? Do you think that's a significant fraction of WN's $6.0+ Billion Gross Profit each of the last four years running?
Mar 17, 2019, 7:46 am
#5
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That is a heap of money.... got to wonder what the other employees at WN are now gonna be expecting?
Mar 17, 2019, 8:06 am
#6
Join Date: Apr 2016
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Glad it’s resolved. Too bad they had to so negatively impact peoples’ travel plans to do it. It’s going to take me a while to consider booking any trips with them though. I’ll be back, but they won’t be my first choice for a bit.
Mar 17, 2019, 8:32 am
#8
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Mar 17, 2019, 9:31 am
#9
Join Date: May 2006
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Mar 17, 2019, 12:22 pm
#10
Join Date: Oct 2015
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You’re looking at this the wrong way. This is less than the amount of backpay that the mechanics should’ve gotten had they gotten a contract on time. They should’ve had this done 5 years ago and already been on another contract at this point. Airline management understands that the delaying of contracts only benefits management and the shareholders.
Mar 17, 2019, 12:23 pm
#11
Join Date: Oct 2015
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Posts: 69
Money Owed
Southwest made interest free money off the mechanics the last 7? Years...and only has to pay them a portion of it
Mar 17, 2019, 1:06 pm
#12
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Join Date: Sep 2002
Location: Blue Ridge, GA
Posts: 5,512
The AMFA brawl is not Gary Kelly's magnum opus. Regulators warned it put the carrier’s safety at risk. He acknowledged the relationship with thousands of customers had been damaged. He does get work rule changes and third-party international maintenance vendors, so there's that.
Mar 18, 2019, 8:41 am
#14
Join Date: Oct 2010
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WN FAs and Pilots also went through extended, contentious negotiations for their most recent contract - nothing new. WN labor has learned that working to the rules is an effective tactic, expect to see it any time Kelly attempts to play hardball.