Not that I think PPRUNE will allow this to be posted to anyone as they have censored most of the Atlas guys but here goes......
Dear Atlas and Polar Crewmembers:
I am writing pursuant to the instruction of the ALPA Executive Council last week “that the President report to the AAI and PAC pilots on 2007–2008 developments including the terms of this resolution.” The full
Executive Council resolution is attached to read at your convenience. This letter will review with you the activities of the Association over the past year involving the many issues facing your groups, the most recent action taken by the ALPA Executive Council, and my view on where things go from here.
Early last year, after the announcement of the complex DHL transaction involving Polar, ALPA worked with both MECs and negotiating committees to craft a joint transition proposal to the Company. This proposal included significant scope enhancements to address this new corporate structure, as a framework for the negotiation of an integrated collective bargaining agreement and an interest arbitration process for the resolution of contract issues on which the parties could not reach timely agreement.
This was done after management indicated that it would consider scope as well as bargaining framework issues as part of reaching a merger transition agreement. Unfortunately, these good-faith efforts were derailed when management changed its position and refused to consider bargaining over scope. My staff and both MECs met with company management several times to try to work out compromises that would jump-start the bargaining process, but management remained steadfast in its refusal to consider scope negotiations, except to indicate a willingness to assure that the current scope protection in both agreements would be a baseline for scope provisions to be included in the integrated collective bargaining agreement. This about-face on the part of management, combined with management’s legal tactics, has impeded and delayed ALPA’s ability to bring this process to a conclusion.
On the legal front, management further complicated matters by filing grievances against ALPA under both collective bargaining agreements, attempting to force joint bargaining and interest arbitration to proceed on its terms, without first addressing scope improvements. Management then filed a lawsuit to attempt to force the Polar management grievance on that issue to proceed on an expedited basis, over the objection of the Polar MEC, rather than having this determined by System Board arbitration. The result of the lawsuit was a consent order providing that the System Board arbitrator would determine how soon the grievance would be heard. That was done, and the hearing on the merits of that grievance, which will determine whether the post-DHL financial investment and corporate structure of your carriers constitutes a merger within the meaning of the Polar CBA, is scheduled in late March. I think it is fair to say that it is the view of all sides that the result of that key arbitration, which should be known by mid-year, will go a long way to bring resolution to the merger issue.
It is also unfortunate that these events have been accompanied by differences between the Atlas and Polar MECs. The ALPA Executive Council has sought to resolve these differences, passing a resolution in October 2007 urging the MECs to meet to work out their differences and report to the Council this month. Per the Executive Council resolution, I convened several discussions with representatives of both MECs, my Executive Administrator, general counsel, ALPA staff, and other national officers.
Last week, after hearing from both MECs that an agreement had not been reached, the Executive Council directed the MECs to meet and work together on negotiations preparations, without prejudice to the position of the Polar MEC in the pending arbitration, and to report on the results at the April 2008 Executive Council meeting, or at an earlier date if I believe that appropriate. You should also be aware that, over the past 12 months, the Executive Council has approved approximately $673,000 to support your two MECs in finding solutions and resolving their differences.
The Council and I believe that this process has taken far longer than it should have, for a variety of reasons, but regardless of the outcome of the Polar System Board arbitration and whether the two groups end up in joint contract bargaining or separate Section 6 negotiations, it is critical that the bargaining processes begin promptly. It is my and the Council’s expectation that the time over the next few months will be used wisely by both groups for negotiations preparations, so that regardless of the outcome of the legal dispute on the merger issue, our members at both Atlas and Polar are timely and well served with new, improved pay rates and working conditions.
The pilots who serve on the Executive Council and I fully understand that issues emanating from corporate transactions, strikes, mergers, arbitrations, and litigation can create problems among our members. But, as union officers, it is our responsibility and our sincere desire that the open issues that divide you be addressed and resolved face to face in the very near future. That is the reason for the Executive Council’s resolution, which allows the Polar MEC position on the merger question to be arbitrated and directs that the two negotiating committees simultaneously prepare for submission of their contract opener(s).
In unity,
John H. Prater
President
AIR LINE PILOTS ASSOCIATION, INTERNATIONAL
101ST REGULAR EXECUTIVE COUNCIL MEETING
January 15-17, 2008
SUBJECT
AAI-PAC Merger
SOURCE
President John Prater (10/07 EXCL, AI #37)
BACKGROUND INFORMATION
In October 2007, the AAI MEC adopted a resolution requesting the President to present the AAI/PAC merged seniority list (the Harris Award) to Atlas Air, Polar Air Cargo, and Atlas Air Worldwide. They further requested that joint contract negotiations with the PAC MEC commence no later than December 14, 2007.
In November 2006, the Executive Council established a program with respect to the AAI-PAC merger and has continued to review the status of developments with respect to the merger.
At the October 2007 meeting, the Executive Council stated its desire to consider whether management would take constructive action to assist both pilot groups in resolving their differences through a negotiated transition agreement which protects the legitimate interests of both pilot groups. They determined that the AAI MEC and PAC MEC should be provided with an opportunity to resolve their differences. Barring resolution, both MECs could appear before the Executive Council before it considers whether additional action is appropriate.
The Executive Council restated its request that the AAI MEC and PAC MEC confer with respect to resolving their differences, with the assistance of the Executive Administrator, and if so directed by the President, report at the January 2008 Executive Council meeting.
FINAL RESOLUTION
WHEREAS the Executive Council on November 30, 2006, established a program with respect to the AAI-PAC merger, and
WHEREAS the Executive Council, at its October 2007 meeting, restated its request that the AAI MEC and PAC MEC confer with respect to resolving their differences, and report at the January 2008 Executive Council meeting, and
WHEREAS the Executive Council has received reports from the respective MECs and considered the issues arising from the inability of the MECs to resolve their differences, and
WHEREAS the Executive Council has determined that the best interests of the pilots will be served by working together on negotiations preparation, without prejudice to the position of the PAC MEC in PAC System Board proceedings concerning the merger,
THEREFORE BE IT RESOLVED that the AAI and PAC negotiating committee members, together with the Executive Administrator, jointly convene as soon as possible and prepare for negotiations, and
BE IT FURTHER RESOLVED that the President report to the AAI and PAC pilots on 2007-2008 developments including the terms of this resolution, and
BE IT FURTHER RESOLVED that the AAI and PAC MEC Chairmen report to the Executive Council at its April 2008 meeting, or at an earlier date if so directed by the President, and
BE IT FURTHER RESOLVED that this resolution and the action taken pursuant to its directives shall be without prejudice to the positions of the PAC MEC in pending System Board proceedings and shall not be introduced into or referred to in any way in pending System Board proceedings.