|
February 19, 2002
On
Monday, United Airlines and its mechanics announced a tentative
labor settlement. But it's subject to ratification by the union
membership who two weeks ago rejected a settlement that would have
awarded raises of more than 30 percent. We asked our Savvy Traveler,
Rudy Maxa, if United ticket holders should be taking steps to protect
themselves.
The airline
admits that this latest round of labor difficulties has already
led to a downturn in bookings by passengers afraid that United might
be shut down by a strike. But Monday's announcement of an agreement
may very well head that off.
We won't know,
of course, until the first week of March -- the ratification vote
by members is scheduled for March 5th. But mechanics will stay on
the job until then, so if there's a United flight in your immediate
future, you should be fine.
And it's my
guess that the mechanics will agree to accept this latest deal.
They've been waiting for a new contract for 8 years. And when a
White House-mandated board 2 weeks ago suggested raises that would
make United's mechanics the best paid in the industry, that was
considered a breakthrough. But the rank-and-file membership voted
down that version because there was a clause mentioning unspecified
concessions down the road. United lost more than a billion dollars
last year, and it'll soon be asking its employees to take pay cuts
in order to help save the airline. Monday's agreement allows the
mechanics to vote separately down the road on any such requests
by management.
There's another
reason I doubt United will be closed down. President Bush has already
made it clear there won't be a strike on his watch. The economy
and the airline industry would be badly wounded, and the White House
doesn't want that. I'd expect the president would find a way to
pressure Congress into halting any strike.
So would I book
travel in March and beyond on United? Yes, and in fact, I have.
But if you're more worried than I am, obviously you can check out
alternate airlines.
What if you're
already holding a United ticket and you don't want to run the risk
of a strike? Well, United is not going to refund a nonrefundable
ticket. The airline's president is certain United will remain in
the air, and the union's negotiating committee has recommended a
"yes" vote on this new contract.
This, then,
is what we can be certain of. You'll be fine until at least until
March 7th, when the mechanics' votes should be tallied. If, by some
chance, the mechanics reject this latest proposed contract, and,
if by some chance, Washington doesn't step in to prevent a strike,
United will book passengers on alternate flights on other airlines.
If you have a paper ticket, you'll find it easier to have it endorsed
to another airline than if you have an electronic ticket. So if
you have a reservation on United for March, and you want to plan
ahead to avoid as much inconvenience as possible, request a paper
ticket.
This is the
second time in less than 3 years United has seen revenue drop due
to labor problems. Two summers ago, a work slowdown by pilots nearly
crippled the airline and caused loyal passengers to defect in droves.
If United hopes to one day see black ink again, its new CEO, Jack
Creighton, must regain the trust of the employees so he can have
labor peace. Remember the old slogan United used to use, "Fly the
friendly skies"? These days, the airline and its customers will
be happy just to know its flying.
From the Savvy
Traveler, I'm Rudy Maxa for Marketplace.
For More Savvy Traveler On Marketplace
|