American Airlines is attempting to cut its costs in bankruptcy protection as its flight attendants have approved a new contract from the company. The vote taken by the flight attendants was in favor of the contract by a vote of 59.5 percent to 40.5 percent. The new contract for the flight attendants includes multiple concessions but it protects them from larger cuts that might have occurred in bankruptcy court.
The leaders for the union urged flight attendants to ratify the contract because some 2,000 flight attendants might have been forced to take furloughs or unpaid leave if they rejected the contract. Bruce Hicks, a spokesman for American Airlines, said that the vote “is an important step forward in our restructuring. We know this was not an easy decision for our flight attendants and we are very pleased with the choice they made.”
Other groups who have accepted new contracts include other union workers and mechanics. A recent offer has been declined by the pilots. The APFA said that the vote of ‘yes’ should not be viewed as support for the executives of American Airlines. “It is important to remember who and what has caused this horrible situation: our current management team.”
AMR Corp. is the parent company of American Airlines and it has been pushed by US Airways Group Inc. to merge together. The union also feels that a merger should take place if American Airlines is to succeed in the future. Earlier in 2012, unions with American Airlines agreed to contract proposals with US Airways in case the two companies merged together. Those union groups included ground crews, pilots and flight attendants.
Spending will decrease by $195 million per year, according to AMR, because of the new contract. The union said that 93 percent of flight attendants eligible to vote, which is 12,570, did so. Prior to the new contract for the flight attendants taking effect it will need to be ratified by the bankruptcy court.
This new draconian agreement adds another 25% cut in pay/benefits to be added to the 33% cut AA’s Flight Attendants took in 2003. This means they are receiving nearly 60% less than they were in 2002 – with no raises to match cost-of-living increases. Most Flight Attendants at major airlines have at least a Bachelors degree but began flying careers for the flexibility in work schedule and free travel. However, the new agreement allows AA to create work schedules with 90+ flight hours per month (roughly 400 hours away from home p/month). With that much flying, flexibility is history. The other perk, free travel, is no longer free. A pass for one from Chicago to London costs about $200 one-way for an employee. Now that the average salary will be around 28-33K per year, there won’t be a vacation travel budget for most crew members. Additionally, flights are so full that it is almost impossible to find a couple open seats left for oneself and a friend on a leisure trip (employees are given the rare empty seat, if there is one, after all paying passengers, standbys, and management travelers are boarded).
Most American Airlines Flight Attendants are “stuck” in their careers, unable to quit for greener pastures for two reasons. First, the average age of the workforce is 54. Most are too old to begin new careers and, after a decade of concessions, cannot afford to retire early, if at all. Second, younger crew members cannot find new work opportunities due to the decimated job market/economy. I predict, once the economy begins to offer options, there will be a “mass exodus” of cabin crew from most major air carriers in the U.S. This will have a very noticeable effect on the quality of service/safety/security on board our nation’s commercial flights. No one with marketable skills and a decent I.Q. will accept positions as Flight Attendants when the pay and benefits (and unbearable work-rules) are so poor. Airlines won’t be able to attract quality prospects. I foresee the FAA being required to reduce its stringent requirements (F/A’s getting a 90% or better on all written and performance exams (regarding demonstration of safety, security, and medical knowledge). Passengers will be forced to cross their fingers if the aircraft has an emergency landing, someone is having a heart attack, stroke, or giving birth, or if there is a bomb threat or hijacking. What will the frequent flier have to look forward to when he uses his frequent flier points to upgrade to first class? Well, any semblance of professionalism on the part of the crew will become a thing of the past. The “new” Flight Attendant won’t be the well-spoken, literate, intelligent employee with a strong work ethic of the then past. Business travelers can expect a first class service ala Denny’s style. Picture the help at your local frozen yogurt shop then you’ll get the idea. We get what we pay for, and uncontrolled competition between carriers has led to airline’s inability to pay for quality employees.