United Air Lines files emergency motion to approve amended labor pacts

By Jeff Pines

Washington, Jan. 19 - United Air Lines Inc. asked the U.S. Bankruptcy Court for the Northern District of Illinois Wednesday to approve an amended restructuring agreement with the Air Line Pilots Association and tentative agreements with the Association of Flight Attendants and the Aircraft Mechanics Fraternal Association.

The revised pilots' agreement cuts base pay rates by 11.8% and caps pilots' wage rates until 2006. Pilots would also get a revised profit-sharing program that would pay out if the airline exceeds certain profit margins, among other changes.

The flight attendants would take a 9.5% pay rate cut and their wage rates would be capped until 2007.

For the mechanics, the base pay rate of non-utility workers will be cut by 5% and the base pay of utility-classified workers will be cut by 10% and wage rates will not start climbing until 2006.

The agreements are still subject to the approval of the unions.

A Jan. 21 hearing is scheduled.

United filed for bankruptcy on Dec. 9, 2002. Its Chapter 11 case number is 02-48191.

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