10-Mar-2010 1:58 PM

American Airlines’ mechanics union delays request to be released from contract mediation

American Airlines’ mechanics union, the Transport Workers Union, reportedly delayed a request to the National Mediation Board to be released from contract mediation to a 30-day “cooling-off period”, which could lead to strike action (Tulsa World, 09-Mar-2010). 16 contract items, including wages and benefits, are yet to be agreed upon by American and TWU, although 31 contract items have been agreed. Negotiations commenced in Nov-2007. The American Association of Professional Flights Attendants also expressed interest in being released from mediation to the cooling-off period. Meanwhile, American CFO, Thomas Horton, stated its pilot costs are higher than its rivals, with the carrier aiming to make its pilot costs more “competitive” with other airlines (AP, 09-Mar-2010). Mr Horton added it is “fair to say we are far apart with the pilots' union”.

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