Subsequent to the bankruptcy filing last year of AMR American’s parent company, both American Airlines transportation services and the pilots union have been clashing in a contract dispute. American has been trying to lessen costs, as their rivals Delta, United Continental and US Airways have done through bankruptcy actions. American Airlines publicized Friday that they reached an agreement code with its pilots’ union and that it will likely remove the obstacle of going bankrupt. The agreement will now go to the approximately 8,000 pilots, who will vote on its approval.
American Airlines wants to have affordable airport transportation and they worked intensely with the negotiating team to construct and arrangement that will address the main concerns that are of most important to their pilots, whilst staying within the economic structure supported by the Unsecured Creditors’ Committee in order to guarantee American’s successful restructuring. The details of the agreement were not instantly available, but the pilots’ association said that the offer presents the pilots with an industry standard contract and will also allow AA to be able to compete on a level with its network-carrier peers.
American Airlines still negotiating with infrastructure
The pilots associations main concerns are about pay equivalence with other carriers, lay off protection and rules concerning regional carriers that provide for American and its reliable transportation services. Through the concessions, American has struggled with delayed flights and many cancellations. Airline management has indicted pilots of filing petty reports about aircraft troubles and calling in sick without cause. These allegations the pilots have denied. Due to this controversial procedure, the airline discontinued its contribution towards to the pilots’ pension fund and proposed terminating it altogether if actions do not change.