APFA Negotiations

NEGOTIATIONS Updates

The updates section provides historical information about scheduled bargaining sessions.

View 2009 Updates   |   View 2008 Updates

February 27-March 3, 2010
The last five days of negotiations concluded Wednesday, March 3, as scheduled by the mediator.

 

Demonstrating our willingness to negotiate an agreement in a timely manner, the company presented a comprehensive proposal that significantly moved toward APFA in several areas of the contract, including compensation where the company offered structural increases.

 

As we’ve said all along, the company is willing to be creative in finding solutions that meet the needs of both parties.  We recognize that structural increases are very important to the APFA. In order to offer those increases and other items key to APFA – like sequence pay protection and increased vacation and sick – we’ve proposed an eight-year deal that would help us to balance our costs over the long term.

 

APFA’s current proposal would cost the company hundreds of millions of dollars over the life of their proposed six and a half - year contract, which would keep our labor costs at an uncompetitive level in relation to other carriers. This is an economic reality the company has asked APFA to recognize so both sides can work out an agreement that will allow the airline to compete successfully and provide competitive pay and benefits and a good career for its employees.

 

The parties are awaiting next steps from the mediator, and look forward to continuing to bargain when the mediator establishes the next set of dates.

 

New elements that the company proffered in its latest proposal are detailed below (more explanation around each of these elements will be included in the next edition of “Flight Attendant Negotiations News”). For the full proposal, click here.

 

Article 3 – Compensation (Modify)
In consideration of a long-term (8 year) agreement, the Company is willing to propose structural increases as indicated below:

  • Signing Bonus – 3% previous calendar year earnings (non pensionable)
  • DOS + 8 months – 2% structural – applicable to steps 6 through 15 only
  • DOS + 12 months – 2% structural – applicable to steps 7 through 15 only
  • DOS + 24 months – 2% structural – applicable to steps 8 through 15 only
  • DOS + 36 months – 2% lump sum
  • DOS + 48 months – Industry average increase*
  • DOS + 60 months – Industry average increase*
  • DOS + 72 months – Industry average increase*
  • DOS + 84 months – Industry average increase*

*Industry average increase shall be defined as the average increase year over year in the flight attendant domestic pay rates in each longevity step in the agreements of Delta, Continental, United, US Airways, Air Tran and Southwest

 

Article 4 – Expenses

  • (Withdraw) Eliminate TAFB for Turns (as proposed on 7/24/09)
  • (Modify) Increase Per Diem:
  • DOS – $1.55 Dom / $1.80 Intl
  • DOS + 12 months – $1.65 Dom / $1.90 Intl
  • DOS + 24 months – $1.80 Dom / $2.00 Intl

Article 6 – Vacation

  • (Modify) Limit PVDs to six (6) at 3:30 hour daily rate
  • (Modify) Sliding Scale increase accrual based on the following:

                 

Annual Vacation Accrual

Less than 540 paid hours

540 – 739  paid hours

(Current Accrual)

740 – 939 paid hours

940 or more paid hours

0-5 years

0

9

10

11

5-12 years

0

14

15

17

12-20 years

0

19

21

23

20-25 years

0

23

25

28

25+ years

0

28

30

35

*Must maintain an average of 45:00 hours per active month

  • (Modify) Option to sell back one (1) or two (2) weeks of vacation at 3:30 hour daily rate (FA must choose this option during annual bidding period)
  • (Modify) Increase value of 401(k) converted vacation to 3:30 hours/day for Domestic and International

Article 7 – Hours of Service

  •  (Modify) Schedule Monthly Max
    • DOS – 80:00 Dom / 85:00 Intl    
      • (New) 25% of lines can be pure bids built to 85 Dom / 90 Intl
      • Exception: Three (3) India / China sequences per bid line is acceptable
      • (Withdraw) Eliminate Pure Bid Restrictions – The Company will attempt to maintain purity in the lines as operationally feasible
      • (New) Redefine pure bids as: Sequences with the same number of legs (not to exceed 12 International), and home based departures variance no greater than four (4) hours
      • A “No Option” Flight Attendant will not be involuntarily reassigned above schedule max
      • An “Option” Flight Attendant will not be involuntarily reassigned more than five (5) hours above the schedule max
  • DOS + 12 months – 85:00 Dom / 87:00 Intl
      • (New) 25% of lines can be pure bids built to 90 Dom / 92 Intl
      • Exception: Three (3) India / China sequences per bid line is acceptable
      • (New) Redefine pure bids as: Sequences with the same number of legs (not to exceed 12 International), and home based departures variance no greater than four (4) hours
      • A “No Option” Flight Attendant will not be involuntarily reassigned above schedule max
      • An “Option” Flight Attendant will not be involuntarily reassigned more than five (5) hours above the schedule max
  • (New) DOS + 24 months – 89:00 Dom / 89:00 Intl
      • (New) 25% of the lines can be pure bids built to 95
      • Exception: Three (3) India / China sequences per bid line is acceptable
      • (New) Redefine pure bids as: Sequences with the same number of legs (not to exceed 12 International), and home based departures variance no greater than four (4) hours
      • A “No Option” Flight Attendant will not be involuntarily reassigned above schedule max
      • An “Option” Flight Attendant will not be involuntarily reassigned more than five (5) hours above the schedule max
  • (New) DOS + 48 – 92:30 Dom / 92:30 Intl
      • (New) 25% of the lines can be pure bids built to 95
      • Exception: Three (3) India / China sequences per bid line is acceptable
      • A “No Option” Flight Attendant will not be involuntarily reassigned above schedule max
      • An “Option” Flight Attendant will not be involuntarily reassigned more than five (5) hours above the schedule max
  • (Modify) Create daily rate of 3:30 hours for PVDs
 

Article 9 – Scheduling

  • (Modify) Combine Domestic / International operations for all Flight Attendants at DOS + 48 at the Company’s discretion
  • (Modify) Withdraw bid line protection (as proposed on 1/20/10)
  • (New) Create sequence pay protection
    • Sequence pay protection up to the schedule max (excluding carryover time)
    • Company offered “Option II” flying will be sequence protected above the schedule max
    • Must bid or be assigned a trip that originates within days originally scheduled to fly (DOSTF) unless assigned comparable days later in the month
    • Flight Attendant may bid or be assigned multiple sequences within DOSTF
    • If protected for turn-around, Flight Attendant may be assigned airport stand-by duty. Stand by assignment must be in open time at time of bidding
    • Sequence pay protection does not apply to Reserves
    • Eliminate 9.P.6.
    • All other Article 9.P. rules will apply
  • (New) The parties agree to create a joint committee to explore alternative line construction and bidding systems

 

Article 10 – Reserve

  • (Modify) Reduced days of Reserve Availability – percentages determined by the Company

Article 26 – Sick Leave

  • (New) Sliding Scale increase accrual based on the following:

Annual Paid Hour Threshold

Less than 540 paid hours

540 – 739  paid hours

740 – 939 paid hours

940 or more paid hours

Accrual hours per active month

0

3:00 hours

3:30 hours

4:00 hours

*Must maintain an average of 45:00 hours per active month

Article 38 – Duration

  • (Modify) Duration of agreement – eight (8) years from date of signing (May 1, 2018)
  • (Modify) Establish an amendable round of negotiations commencing six (6) months prior to May 1, 2014
    • Absent an agreement during the six (6) month negotiation period, each party may submit to binding interest arbitration up to five (5) discrete contract proposals (excluding compensation) on which they have been unable to reach agreement during the amendable round

 

January 16-21, 2010
This week, the American and APFA negotiating teams met with Senior Mediator Zachary Jones to continue their discussions.

 

Over the course of the two-week period, the American team presented APFA with two comprehensive counterproposals, and APFA presented the company with two comprehensive counterproposals. The teams worked hard, and American remains committed to reaching an agreement that recognizes flight attendants’ service and dedication while positioning the company for long-term success. The company’s proposals aim to increase flight attendants’ earnings and enhance their quality work-life, while at the same time, improving productivity and therefore the cost position of the company. Currently, American has among the highest labor costs in the industry, with our flight attendants being one of the highest compensated. We must bring these costs in line with the competition in order to continue to provide good jobs with good pay and benefits.

 

While the teams did not reach an agreement during this time, the company stays committed to the process, and we are ready to move ahead with any proposal that makes good economic and operational sense. We look forward to resuming mediated discussions with APFA February 27 – March 3 in Washington, D.C.

January 11-15, 2010
This week, the American and APFA negotiating teams met with Senior Mediator Zachary Jones in Frisco, Texas. On Friday afternoon, the company presented APFA with a comprehensive proposal which covers open areas of the contract, including a counterproposal on Article 3 – Compensation. American remains committed to working with APFA to reach a contract that recognizes the contributions of our flight attendants while allowing the company to be competitive and provide for long-term success.

The teams will continue meeting with the mediator this weekend and through next week.