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Tue, Mar 11, 2003

United's Mechanics' Union Sees Competitor

Aircraft Mechanics Fraternal Association Challenges IAM

Widely blamed as the 'final straw' in United's December Chapter 11 filing, the Machinists' Union has gotten a lot of flak, some unfair, about its role in the giant's fall.

As United's other labor unions made various concessions, the IAM stood alone, refusing to consider pay and benefit cutbacks that the airline claimed were necessary to avoid seeking bankruptcy protection. As things are now, United is on the edge, ready to ask the Court to simply nullify all the union contracts, leaving the IAM's members to receive whatever backlash may be forthcoming, and ready to absorb larger cuts than the other unions' members -- workers who have already received 'voluntary' cuts.

Into this scenario comes the Aircraft Mechanics Fraternal Association, petitioning the Mediation Board to let United's mechanics leave the Machinists and organize with them. This request has not been well-received at the IAM's offices.

In the Chicago Sun-Times, Robert Roach Jr, IAM's general vice president, was quoted saying, "AMFA's intrusion at this critical stage introduces potentially fatal distraction into an already precarious situation."

The AMFA petition included signature cards from over 60% of United's cleaners and mechanics, currently represented by the IAMAW. It's up to the Mediation Board to decide whether that 60% is enough to allow a vote.

Not as much is at stake, as a week ago: United is no longer, thanks to its shrinking stock and ESOP sales, an "employee-owned" company; its employee-owners no longer have the special privileges they held, when employees owned more than 20% of the stock.

FMI: www.ual.com; www.iamaw.org; www.amfanatl.org

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