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Old 07-07-2006, 07:18 AM
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Default UPS pilots urged to approve contract

UPS pilots urged to approve contract
Leaders say deal best they can get

By Wayne Tompkins
[email protected]
The Courier-Journal

UPS pilot-union leaders aren't enthusiastic about the deal they negotiated with the shipping company, but they're telling members they should take what they can get at a time when their colleagues at passenger airlines have taken pay cuts and lost their pensions.

"There is a part of me that would very much like to reject this contract and continue the fight," Jim Magner, chairman of the Independent Pilots Association's negotiating committee, said in the current issue of Flight Times, the union newsletter. He said he feels UPS' 2,700 pilots deserve more for "the contribution we have made to the corporate bottom line."

The deal offers pay raises, pension improvements and work rule changes for pilots but requires them to pay more for health care. The deal would raise the average wage of a UPS captain from about $250,000 to $300,000 a year. New pilots at UPS are paid $26,000 a year.

The pilots will get a briefing in Louisville Sunday afternoon and are expected to vote on the agreement that would run through 2011 by September. The union's executive board and its pilot negotiating committee unanimously approved the tentative agreement, which was reached last week. UPS officials called it a "fair and balanced" contract benefiting both sides.

Despite his misgivings, Magner urged pilots to ratify the deal.

With the challenges facing pilots at commercial airlines, Magner said that the public is "unlikely to have much sympathy" for pilots who turn down a contract that has the potential to pay them $300,000 per year.

"You may feel aggrieved," Magner said. "But if you turn down this contract, don't expect Bono to show up at the benefit concert."

Worldport at Louisville International Airport is UPS' main air cargo hub, and the city is the headquarters of UPS Airlines. About half the pilots live in the Louisville area.

Robert Reusche, a UPS Boeing 757 captain who lives near Fort Myers, Fla., is leaning toward supporting the tentative agreement.

"Those guys (IPA negotiators) have the information. I could sit here and armchair quarterback it, but I'm not there doing the hard work, and I'm not receiving all the information they do, so I've got to kind of go with them."

Reusche said that while UPS has been doing well financially, the IPA lost negotiating leverage because of difficulties the pilots' brethren in passenger airlines are facing.

Dan McCoy, a DC-8 first officer who lives in New Albany, Ind., said yesterday he'll put in "a lot of study time" before making up his mind on how to vote.

"There are a lot of changes that need to be weighed out, the pros and cons, and anybody that doesn't do that is fooling themselves," McCoy said.

In the Flight Times newsletter, Magner was especially critical of first-year pay for pilots, which he described as "still a disgrace" and at "the bottom of the industry."

UPS spokesman Mark Giuffre said the first year is mostly spent in training and that, once it is completed, salaries and careers advance more quickly than at other airlines.

Magner said that while the tentative deal offers modest increases, UPS has dozens of applicants for these positions at any price.

"They just do not care that these people have to support families on what they pay," Magner said.

On scheduling, the deal would give pilots more rest between flights, a change that is especially attractive to international crews.

Magner said that while pilots would be paying more for health care in the new contract, "low co-pay and drug coverage remains in effect and the quality of our coverage has not been reduced."

While coverage would double from a maximum of $1 million to $2 million, "the sad fact is that we are moving to what everyone else has been paying for years."

The threat of a potentially crippling strike by pilots loomed during the talks, and, just before Christmas, pilots sought permission to walk off the job.

Under federal laws governing airline contracts, a union can't strike and a company can't lock out pilots unless mediators declare an impasse. Even then, the two sides would have to wait 30 days before taking action.

The meeting in Louisville Sunday begins at 2 p.m. at the Clarion Hotel, 9700 Bluegrass Parkway. The union held similar meetings with pilots this week in Miami and Philadelphia.

Reporter Wayne Tompkins can be reached at

Last edited by Freighter Captain; 07-07-2006 at 07:53 AM.
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Old 07-07-2006, 07:33 AM
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"You may feel aggrieved," Magner said. "But if you turn down this contract, don't expect Bono to show up at the benefit concert."

Will he show if the TA is voted in? I think not! Maybe Cher, but not Bono.
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Old 07-08-2006, 08:05 AM
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They compare UPS to 'other airlines' in the industry that have taken pay cuts and lost their pensions........i dont know anything about the TA but id say a company that makes $4billion in PROFITS a year can handle a respectable contract for their pilots
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Old 07-08-2006, 11:37 AM
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You can partly blame ALPA, goarmy, at least on compensation. How?

Talking to our finance guys, our agreed to top hourly rate in 2006 was $235 neighborhood, but once ALPA publicly undercut our already agreed to 235 last year, our mediator forced us lower. So without even looking at the passenger carriers, ALPA FedEx undercut hourly rates and can be directly blamed for our weak top hourly rates.
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Old 07-08-2006, 12:28 PM
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Originally Posted by Priority 3
You can partly blame ALPA, goarmy, at least on compensation. How?
You have got to be kidding me!! FedEx ALPA is the reason the UPS IPA could not get better pay rates. Could it be that your dysfunctional leadership and negotiating committee had anything to do with it.

Either way pay rates are not the only part of the formula genius. I wll take a lower hourly pay with a higher min pay per day. You need to look at the whole picture.
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Old 07-08-2006, 01:22 PM
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From Priority3:

You can partly blame ALPA, goarmy, at least on compensation. How?

Talking to our finance guys, our agreed to top hourly rate in 2006 was $235 neighborhood, but once ALPA publicly undercut our already agreed to 235 last year, our mediator forced us lower. So without even looking at the passenger carriers, ALPA FedEx undercut hourly rates and can be directly blamed for our weak top hourly rates.
WTF!

My car broke down, damn FedEx ALPA group. My wife's cheating on me, damn FedEx ALPA group. I busted my checkride, damn FedEx ALPA group. It rained today on my birthday, damn FedEx ALPA. Our top hourly rates are too low, damn FedEx ALPA..........


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Default yes vote, I admit
It's not a bad contract. It underdelivers on many fronts, but it's not a bad contract.

I'm voting yes as it stands now. I've had a change of heart after an extensive reading of the T/A.
But with all your complaining you're still going to vote yes. What a man.

Last edited by sandman2122; 07-08-2006 at 02:52 PM.
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Old 07-08-2006, 01:29 PM
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Sure am, Sandman. I'm not happy with the agreement, but I don't think waiting until 2007 is going to see much improvement over what we have now.
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Old 07-08-2006, 01:31 PM
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Originally Posted by USMCFDX
You have got to be kidding me!! FedEx ALPA is the reason the UPS IPA could not get better pay rates. Could it be that your dysfunctional leadership and negotiating committee had anything to do with it.

Either way pay rates are not the only part of the formula genius. I wll take a lower hourly pay with a higher min pay per day. You need to look at the whole picture.
It's the truth. You can make an argument that our leadership is the reason, but when you're in front of the NMB asking for the moon and stars and FedEx drops a low rate on their table, It Matters.
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Old 07-08-2006, 01:32 PM
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Then don't blame us for what you declare as an "inadequate TA".

Who knows, maybe you guys will get the last laugh when both groups have a signed TA, we'll see.

Last edited by sandman2122; 07-08-2006 at 01:34 PM.
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Old 07-08-2006, 01:33 PM
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I'm not, I was only speaking of the compensation section.
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