Dear Brothers and Sisters,

By now you may have received a promotional flyer in the mail from American Airlines called “From the Ground Up”, a slick pitch intended “only to provide a description of the facts and issues already presented at the bargaining table.” A couple of questions immediately come to mind. First, how much did this flyer cost to produce and mail to nearly 10,000 fleet service households? Second, how accurately can these bullet point “facts” represent the complex realities that have been central to these negotiations for well over two years?

Despite the flyer’s disclaimer that asserts it is not negotiating directly with you, the membership, be assured that is exactly what it represents. Putting management’s version of the facts before you, without the years and months of context that defines both their table position and ours is a divisive, dividing tactic. The pages presented in this supplement are intended to bring balance to American’s message and to give you some insight into a difficult negotiating environment, one that has strained the resources of our Locals and the patience of our members.

The TWU is committed to bringing back a contract that is fair and non-concessionary. Your negotiating committee has made reasonable, credible, creative proposals during the past 31 months that have addressed each and every one of the Company’s competitive issues. These proposals were crafted in ways that would not degrade your contract or do harm to current or future members; they were proposals that would provide AA with long term competitive changes that would address their needs in the long run. But they want it all now. Management continues to pass proposals that will degrade our agreements permanently in exchange for pocket change. They seek fundamental modifications but refuse to assign dollar values to them. In the end they want a bankruptcy agreement without the bankruptcy.

Management asserts that they are simply giving you “facts”. Their flyer does present facts, but in isolation – they are not all of the facts, they are often facts out of context, and they are arranged such that related facts are presented separately so that their full impact is hidden. In total, “From the Ground Up” is the facts viewed through the Company’s rose colored glasses, and as a result is a distortion of those facts.

The TWU believes that a healthy, competitive, and profitable American Airlines is the key to our futures and job growth. We have worked towards this goal by being collaborative and supporting the Company’s “working together” initiatives. We are not, however, interested in further gutting what is left of our contracts as a sacrifice to make American healthy – we already did that. In the end we are not interested in voluntarily giving up 900 jobs, placing small cities at risk, or degrading your fundamental benefits.

When you read the Company’s flyer, please review it with this TWU Supplement at your side as an additional resource that will help you get the whole picture. Only then will you have an unbiased version of the facts. Thank you for supporting your negotiating team as it continues to work towards a fair agreement for our members.

Fraternally,
John M. Conley
Airline Division Director International Administrative Vice President

by Asst. Director of the Air Transport Division Robert Gless
December, 2009

Most likely you've heard the term before, perhaps during a S.W.A.T. type television show or a news report on the specifics of a daring military mission. Military experts would explain "situational awareness" as the ability to gather the facts of a threatening situation swiftly and accurately, consider these facts to assess your surroundings and develop an operational plan - all while adjusting your resources and confronting the threat to complete the mission. Simply put, situational awareness is the act of being aware of your surroundings and planning tactfully and accordingly to address the situation.

I recently heard the term while listening to FAA Administrator Randolph Babbitt speak at a DC luncheon and it hit me; that term is easily applicable to the U.S. airline industry and its "mission". A few airline executives have a grasp of the specifics in their ever- changing environment, the "threat". They adjust resources and constantly assess competition and options, but oftentimes without regard to the workers who run the day-to-day operations they oversee.

The Local 234 SEPTA strike in Philadelphia and the closing of a major aircraft maintenance base affecting Local 530 members in Kansas City, has made it clear that some companies no longer stand by their word, or have the ability to stand by their word. They continue do what is best for the bottom line with no consideration for their workers. When companies behave this way, we have to act accordingly to the situation.

For the past few years, those who have been in negotiations realize that standard collective bargaining rules no longer apply. We've seen this with situations like Southwest Airlines' requesting its dispatchers to ferry aircraft to El Salvador for maintenance and AMR's demands for cost neutral collective bargaining agreements, while rewarding top executives with bonuses as the company continues losing money.

As labor, our situational awareness is heightened by the fact that our economy has not stabilized and that keeps us in an unfavorable position. The airline industry has never experienced such economic turmoil in its history. We are doing all we can politically and at the bargaining table, to fight for our members during this lengthy recession.

Many of you have contacted me directly to voice your disappointment with AMR's contract negotiations; I am frustrated too. We have to continue with the mediation process until the time comes when we can ask the National Mediation Board (NMB) for a release. As we move closer to resorting to such action, I want to use this opportunity to explain the NMB process.

Under the Railway Labor Act, the union or company sends notification of an interest to modify the Collective Bargaining Agreements (CBA) under section 6, so that both parties can engage in discussion regarding pay, benefits and work rules. During that process either party (or both by agreement,) is free to request an NMB mediator be assigned to assist the parties in obtaining a mutual agreement that then must be ratified by the rank and file members.

Either party can request that they are at an impasse in the event that an agreement cannot be reached. Once an impasse is declared, the NMB offers binding arbitration to both parties. If this is rejected by either party, then a 30 day cooling off period goes into effect and the countdown begins.

At this point, the union and company need to decide what they are prepared to do in order to reach an agreement. After the 30 days, the company is free to impose an agreement of its own and the union is free to impose "self help". Self help can be defined as an all out strike or strategic pinpointed attacks of a company's operation.

I have monitored the lengthy AMR negotiations and am briefed regularly of all situations that influence our potential agreements. Our Negotiations Committees are dedicated to being alert and responsive to the changing dynamics of the industry and factor that into our plans in order to get the fair and equitable contract our members deserve. As airline employees we are very familiar with the need for situational awareness. In many aspects of our lives we need to stay attune to our ever changing landscape, constantly reviewing our game plan and prepare for the worst and best case scenarios.

I wish you and your family a safe and happy holiday season.

Announcements of base closings and job losses are always difficult to accept, these deep cuts are especially painful. AMR’s maintenance operations in Kansas City, Detroit, the Twin Cities and San Jose will be completely discontinued.

We know that this decision is completely unrelated to the quality, skill, work ethic and professional behavior exhibited by those affected – performance is not the question.

The factors leading to these cutbacks are not state secrets. The ongoing and unrelenting pressure created by economic uncertainty, instability, unpredictable revenue streams and overcapacity have contributed to an overall industry contraction. Add this to the lingering effect of frequent mismanagement and a deregulated environment combined with cutthroat domestic and international competition and you have turmoil.

TWU and AMR have worked closely in recent years to keep maintenance in-house, to market our facilities to other airlines and to find new ways to boost productivity. However, our efforts to save jobs, at MCI in particular, which started before the recent recession, have been hindered by the decline in travel over the past year. We’re still hopeful that before the Kansas City facility closes late next year that industry conditions will improve and allow many of our members to find work elsewhere in the company.

By the time you read this article, we will have
recognized the eighth anniversary of September 11. Certainly and unquestionably the most devastating and horrific event of my lifetime, others include; the assassinations of John F. Kennedy, November 22, 1963, Martin Luther King Jr. April 4, 1968 and Robert F. Kennedy June 5, 1968.

I will never forget where I was and what I was doing when United Flight 175 was flown into the South Tower of the World Trade Center at 0903 which, as we remember, was preceded by American Flight 11 at 0846 into the North Tower.

The attacks debatably ignited an economic malaise, creating a downward spiral of global proportions, from which we have yet to recover. Since that day our Division has endured one “body blow” after another, indiscriminately affecting virtually every local and discipline, Government, Public and Private alike. Coupled with a dreadful economy, bank and lending collapses, industry failures, housing slumps, loan foreclosures, untold bankruptcies and of course the epic proportion of financial fraud by Bernie Madoff. He is just one of many, some have yet to be brought to justice but the damage is obvious to our nation’s financial psyche.

Overcoming perpetual obstacles, transforming challenges into opportunities and snatching victory from the jaws of defeat, seem to have become the order of the day. Make no mistake; this is not a light hearted micro observation. Many of our member’s lives, their families, homes and communities have been irrevocably altered. The testament lies in the fortitude, courage, tenacity and unyielding will, exhibited by you!
A marathoner paces and relies upon endurance, after all the start is irrelevant – the finish is all that matters.

The near term challenges will include solidifying a viable FAA Re-authorization Bill. One that addresses congestion and tarmac delays (ATC), technology advances with NextGen GPS tracking, foreign maintenance and repair standards, etc. Monitoring the Federal Register for Notice of Proposed Rulemaking (NPRM) modifications, providing comments and insisting upon direct participation are essential, visit http://www.ed.gov for more inform-ation. FMLA and OSHA reforms are necessary and must be secured further testing our perseverance and stamina.

Other venues requiring due diligence are the Open Skies II agreement, and pending anti-trust immunity for legacy carriers. By partnering and combining services in appropriate markets, these carriers will enhance and thus share in the growth of profitable routes. An ever present threat is the consolidation and or bankruptcy of air carriers. There is always a boomerang effect in this business, some positive but oftentimes not. We must remain engaged to have our needs addressed as the business continues morphing around us. There will be many more challenges ahead.

The Jedi Master – Yoda, a Star Wars character said, “Do or do not, there is no try.”

In May, officers at Local 556, 557 and 525 took their oaths of office.  Local 557 Flight Crew Training Instructors was issued its new charter on May 26.

During the first week of June, I attended the Texas AFL-CIO Labor Management Conference where I attended keynote speaker presentations and participated in multiple workshops.
On June 10th I attended the TWU Health and Safety Training meeting and extend special thanks to Local 513 President Darrin Pierce and his staff for hosting the event.  I also have to thank the folks at 513 for their continued support for the TWU motor coach project, including providing its home and staging area.

I had the opportunity to attend the swearing in of the new Federal Aviation Administrator, J. Randolph Babbitt, by Department of Transportation Secretary Ray LaHood and I will be in Brussels from June 20 to the 25th for the second EU-US Labour Forum and look forward to reporting on the issues discussed upon my return.