Nov. 06--Pinnacle flight attendants swallow bitter pill
Pinnacle Airlines flight attendants reluctantly voted for a concessionary contract to help their employer survive bankruptcy, their union said Tuesday.
The Association of Flight Attendants, which represents more than 1,500 employees, said a tentative agreement was approved by 71.27 percent of voting members.
If and when cuts are imposed on other employee groups, the attendants would be on the short end of $6.4 million in concessions. The agreement requires approval by the U.S. Bankruptcy Court, Southern District of New York."Ratifying the tentative agreement does not mean we like it," said Terry French, AFA's president at Pinnacle. The agreement preserves an enforceable contract, hourly wage rates, affordable health care and job protections, he said.
"Still, the deck is stacked against the front-line workers who make Pinnacle fly," French added. "The bankruptcy ... process for workers essentially means having to pick your poison."
Pinnacle president and CEO John Spanjers called it a major step forward in the company's effort to trim costs as part of Chapter 11 bankruptcy reorganization.
"We greatly appreciate the constructive efforts of the AFA leadership throughout this process and are pleased that our flight attendants voted in favor of the new agreement," he said.
Spanjers said the vote "represents positive progress for Pinnacle and a major step forward in positioning the company to emerge from our restructuring with a cost structure necessary to compete in the regional airline marketplace. We appreciate the willingness of the AFA and its members to work together with Pinnacle for the benefit of the entire company and all of our employees."
Still unresolved is a Pinnacle motion asking Bankruptcy Court to reject the company's pilot agreement with the Air Line Pilots Association, which represents 2,700 pilots at Pinnacle. Pilots have said the company is seeking nearly $60 million in concessions from them.
Pinnacle spokesman Joe Williams said, "Despite our best efforts, we have not reached a consensual agreement with ALPA that would restructure our labor costs and position Pinnacle for long term viability."
Copyright 2012 - The Commercial Appeal, Memphis, Tenn.
