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Mergers and Acquisitions Facts, rumors, and conjecture

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Old 04-24-2008, 04:24 PM   #1 (permalink)
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Default More fibs from the NWA MEC

Wow, the hits just keep coming. From the Council 74 newsletter:

An important side note: During all of this, the Delta management has been supporting the Delta MEC to the tune of $8 million. All of the flight loss pay incurred by the DAL MEC and support staff is paid by the company as "company business" in addition to all related expenses covered by DAL management. Also, on top of full flight loss pay, the
DAL MEC officers receive an additional $1,000 per month override. Ever wonder why the DAL pilots and management are so cozy? The DAL MEC isn’t out one solitary dime while they drag their feet. NWA management has agreed to pay "all reasonable costs" at the conclusion of this merger. We will have to justify the costs, and knowing what we know about Steenland and the boys, probably not much will be deemed reasonable.



The truth. Every MEC has a Special MEC Reserve Account that is set aside as part of their budget every year. If the MEC does not spend that money, it accumulates in that account. The Delta MEC has $8 million in their SMRA through the normal budgeting process and through some grievance settlements and has not been given $8 million by Delta management to complete this merger. The Northwest MEC has a SMRA account and they must have some money in there also. Maybe their money was from a secret bribe from Northwest management or maybe it accumulated there the same way the Delta MEC's money did. Who knows?

Each respective airline management agreed to reimburse the MEC's for their costs associated with attempting to complete the pre-nuptial merger deal. At least Council 74 admits this. How this makes Delta more cozy with their management I don't know. We both struck the same deal.

As for the override payment, the Delta MEC has for many years authorized an override payment, paid for by the Delta MEC and not management to some of their officers, negotiators, etc. This is allowed under ALPA bylaws. All of the ALPA National officers also receive an override payment from National funds. This is not some bribe from Delta management this is paid for by the Delta MEC.

Why does the Northwest MEC continue to put out half truths, lies, and innuendo in relation to this deal? Why can't they be honest with their pilots? I guess if I screwed something up this badly I would try to find an excuse too, but I have heard better stories from my teenagers telling me why they were late for curfew.
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Old 04-24-2008, 05:12 PM   #2 (permalink)
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If that is true, that's fairly lame from the NWA guys. At the very least, it's not productive to make such claims. Again, at best it's bad spin, at worst, an outright lie.
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Old 04-24-2008, 06:47 PM   #3 (permalink)
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hey, sounds to me like the Delta MEC has a better contract regarding flight pay losss for union work. Do a better job in negotiations next time NWA MEC.
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Old 04-25-2008, 08:46 AM   #4 (permalink)
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I have personally emailed the reps @ council 74 about this and await their reply........
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