So it looks like we are negotiating a new FDA deal outside of Section 6 negotiations.

Brilliant. Nothing like giving away one of our best points of leverage at the beginning of contract negotiations.

This may be the most stupid move since... our last FDA LOA.

ALPA email follows:

FDA bargaining

Undoubtedly, the thrust of FedEx Express’s growth lies in the international arena. In order to achieve synergies in our vast route system, management has tried to stand up two Foreign Duty Assignments (FDAs) since 2007. They have been moderately successful with the HKG Airbus FDA, although First Officer slots remain unfilled after multiple bids. Until very recently, efforts in the European theater have failed to yield a solution. However, continuing demand for access to Asian markets and a potentially favorable reception from a new, different European state, Germany, have lead the Company to seek two new FDAs, HKG MD-11 and CGN 757.

In May of this year, management approached us about the two new FDAs. We agreed to conduct a site survey of CGN and visited there in June. We then held preliminary talks with the Company in early summer. We were very clear that any new agreement with regard to FDAs would have to be vastly superior to the current FDA LOA. Specifically, we told management that any viable LOA needed an improved rental allowance with a recognition for currency fluctuation, education financial assistance for a pilot’s children, scheduling improvements and quality of life enhancements.

The company proffered a new FDA LOA during the 9/22-24 bargaining sessions that recognized our issues outlined above. It was not a “taker,” but it did demonstrate a commitment to a deal on our terms. With the assistance of the LEC 14 (HKG) Block Representative, we proffered a counterproposal within a day of receiving the Company’s proposal. We made it clear that if the company decided to counter our offer, we would receive their offer and consult with the MEC to determine whether further talks were warranted. On 10/5, management provided a new document that indicated to our committee that they were serious about obtaining a deal. Friday, we briefed the MEC on the current table positions and the path forward as we see it.

The MEC has authorized us to respond to the company’s current offer. The MEC and our committee, in consultation with ALPA’s Director of Representation, did not make this decision lightly. Historically, LOAs have been bargained on our property during contract talks. However, we are acutely aware of the need for significant improvements to the current FDA LOA. The value of the LOA should be so clear that a member could make his or her own judgment without any outside assistance or interpretation from the MEC leadership. Simply put, we want to produce a document which speaks for itself.