By HARRY R. WEBER, AP Business Writer 17 minutes ago
Delta Air Lines Inc. pilots, angered by management's effort to throw out their contract and impose deep pay cuts, voted by a wide margin to authorize a strike, union leaders said Tuesday.
The 94.7 percent vote in favor of authorizing a strike gives union leaders the authority to set a strike date. They didn't set a date immediately and gave no indication when they might act.
The results were announced in a memo to pilots from the chairman of the union's executive committee, Lee Moak.
An arbitration panel must decide by April 15 whether to void the pilots contract. The union has said it will strike if its contract is rejected.
The nation's third largest carrier, which is operating under bankruptcy protection, has said a strike would put it out of business.
"The results of this ballot will send the strongest message yet that if Delta's senior executives are successful in their misguided attempt to reject our contract, we will strike," Moak wrote in his memo to pilots.
He added, "All too often over the past months, management has attempted to mischaracterize the defense of our contract as posturing, gamesmanship and, most recently, saber-rattling. They are wrong."
Company spokesman Bruce Hicks said the vote will not affect Delta service.
"Together with our pilots and all of our employees we remain focused on our No. 1 priority, which is taking good care of our customers," Hicks said.
He added that the company is committed to seeking a consensual deal with its pilots.
Atlanta-based Delta sought approval to reject its contract with its 5,930 pilots so it can impose up to $325 million in long-term pay and benefit cuts, which would include a wage reduction of at least 18 percent.
Delta's pilots previously agreed to $1 billion in annual concessions, including a 32.5 percent wage cut, in a five-year deal in 2004. But Delta, which has imposed pay cuts on other employees, said it needs more from its pilots after filing for bankruptcy protection in September.
So far, there has been little movement toward a long-term deal to replace an interim deal reached in December, though both sides have met at least twice since arbitration hearings in Washington ended March 23.
Of the 5,590 pilots who voted on the strike authorization ballot, 5,295 voted in favor, according to the union.
We are going on vacation in 9 days. Please oh please don't let them strike before then, pleassssssssssssee!
i'm sorry if this may affect your vacation, but i am so sick of these huge corporations asking their employees to take huge paycuts while still paying ceos and executives so highly.
maybe if they didn't have fucking 300 million dollar salaries, this wouldn't be an issue.
Oh no Irene!!! I really hope you don't get stuck in the middle of this.
My dad was a Union Business Agent (represented workers) for 9 years... I usually side with the union. However, I trully believe that this was a bad idea on the union's part. The airline industry is not good right now. If I were the company- I would fire everyone on strike- there are plenty of laid off pilots and stewards looking for jobs- for less money. The fact is, this could fold Delta. (Oddly enough, a similar situation to this is, in fact, a major cause in how my father lost his job.)
Erin- I do agree with you though- if the execs didn't have the ridiculous salaries, they probably wouldn't be in trouble... but i guess as my boss always says, S*#t flows downhill. If all pilots and stewards in all airlines got together and refused these pay cuts is the only way that this would work. But I suspect people will trade sides when out of work.
fyi. That was the business side of me, not the moral and sympathetic side talking.
You have to remember, the number of executives at a company is usually less than 10. In comparison, when you have thousands of employees, lowering the salaries of the execs is not going to make a dent in the financial situation of any company. It's the masses that have the power of financial stability of the company (wage wise), not the executives.
Regarding exec salaries: You have to remember, the number of executives at a company is usually less than 10. In comparison, when you have thousands of employees, lowering the salaries of the execs is not going to make a dent in the financial situation of any company. It's the masses that have the power of financial stability of the company (wage wise), not the executives.
You're right, but if I were asked to take a 32.5% paycut, I wouldn't see that clearly. I would just be like, "Strike? Where do I sign up?" Gosh...this all really sucks. It's not like they can raise prices to save the business. Prices for flights are through the roof. I just bought a ticket to Ohio, which is like 2 states over, and the "bargain" price I found was $400. The average was about $700.
If they strike and Delta goes out of business, how do you think that will affect the industry as a whole?
Seashells wrote: Erin- I do agree with you though- if the execs didn't have the ridiculous salaries, they probably wouldn't be in trouble... but i guess as my boss always says, S*#t flows downhill. If all pilots and stewards in all airlines got together and refused these pay cuts is the only way that this would work. But I suspect people will trade sides when out of work.
i see what you are saying, and i agree partially. i wish that *had* been the case...(that they all banded together across the board)
irene, i am feeling too lazy to look up stats, but even if you have only ten execs, there is a HUGE gap between wages of execs/employees. sometimes by like 300%. maybe in a year that doesn't affect the bottom line, but over time it sure does. and why are they getting these inflated wages anyhow? they obviously aren't gearing the company in the right direction.
also i want to add iirc, southwest airlines is union and is doing well. (although i have no idea the gap between the ceo pay and employee pay)
i think another thing to consider is that maybe these companies should look at their business plans and think of more creative ways to get their numbers up rather than cutting wages.
also, this is an entirely different topic, but i don't get why there isn't a trend of big business lobbying for universal healthcare, which would no doubt release a major burden off of their books.
Erin, I have no problem with the employees not wanting to take another pay cut. I fully understand that. But the reason I am anti-union (and have been for a long time) is that through a union employees can strike, interrupting not only thousands but millions of lives. And that I cannot agree with. Unions that go on strike often do get what they want in the end anyway so they screwed with everyone for nothing.
Take the NYC strike for example...an interim agreement was made between the TWA and the MTA and it only contained what was originally agreed to, and they refused it anyway. So what was the whole point?
Another thing about unions is that a company has to go through hoops to fire anyone. So they are forced to continue to pay people who don't do good jobs.
Ugh, the whole situation just stresses me out. I have been a long time passenger of Delta and have been treated very well by them. I do want the pilots to get paid more than they get currently and would love for them to get what they deserve. I mean, smeone flying a plane 30,000 with the lives of 150-300 in their hands deserve every dollar. But if the airline cannot afford to pay you what you want, then what can you expect them to do? You cannot pull money out of a hat unfortunately.
i'm pro union, mainly b/c i had a union job and the union protected me when the company tried to fire me for bullshit.
that aside i fully support the workers right to strike. while it sucks, sometimes it's necessary, especially in service industries. a lot of times people take workers in the service industry for granted and they are such a vital part of our lives. most people in these industries get paid such crap wages, and have to put up with so much.
i've been on the other side. during christmas of 2004, united (us?) employees staged a sick out on 12/24. while it sucked for me personally (well not that much i was refunded the ticket price and put on a plane) sometimes you got to do what you got to do.
to me a lot of this reminds me about the arguments people make concerning teachers vs. pro-athletes & celebs. yeah we all want them to get paid more, but how many people are going to reach into their pockets and pay more money for that to happen? to me it's the same thing. if delta emailed you and said your ticket was going to go up by $100 would you still pay them.
if delta emailed you and said your ticket was going to go up by $100 would you still pay them.
Actually, yes I would. Flights are pretty cheap, we paid only $220 from NY to LA. I have no problem paying a bit more if I knew it was going to the employees.
That argument of teachers versus celbs doesn't fly either. When you go into an industry, you know what the average pay is. You cannot compare the two industries. This is different from the pilots because they are having their wages reduced.
Anyway, we just went through a strike 4 moths ago. I don't think we can deal with another one right now.
you should call them and share that sentiment. maybe they won't strike.
and we can agree to disagree on the teacher thing. the underlying idea is the same. people deserve to get paid fairly for their work, and that is the point. regardless of the "choice" they make in the decision. you could argue that pilots continue to stay in the airline industry despited the fact that it's doing poorly and pay cuts should be expected. that still doesn't make it fair.
I'm from Atlanta (Delta's headquarters) so you can imagine what a big deal this is here. A LOT of my friends work for Delta too. Thing is, regular employees have already taken paycuts and have started paying a lot more for their healthcare and benefits. Delta pilots make more money than pilots of any other airline and work fewer hours per month. I understand that taking a paycut sucks no matter how much you make, but if Delta goes under they won't be able to get jobs making nearly what they do now. It seems they might be willing to do this to help their company so they can keep their jobs. The union and the company are only off by 2%.
While I definitely see the business side of things, you have to remember that pilots, flight attendants, etc have taken paycut after paycut lately and it's ridiculous. My dad was an airline pilot for 30+ years and after 9/11 lost a TON not only in salary, but pensions.
While I agree that cutting the salaries of CEOs and upper level execs wouldn't necessarily do much to improve Delta's financial picture, if the CEOs and upper level execs were to take pay cuts and demonstrate their commitment to the company and their willingness to roll with the punches, then that morale would trickle down to the pilots. It just sucks to be a pilot and have to take a pay cut when you know that everyone else above you is making the same as they were before.