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ASA Lockout Arbitration
updated 08/22/2008 11:56 AM

District 143 Meets with ASA
August 22, 2008

The first meeting between Company officials and District 143 officers took place on Thursday, August 21, 2008 in Minneapolis at the District 143. This was an exploratory meeting between the parties. Talks lasted for over three hours.

Among the topics discussed -- the arbitation award and how each side interpreted the arbitrator's decision. A very generic, broad discussion was held on possible scenerios to reinstate the IAM to the Seattle ramp location. The talks were open and frank. Both sides are mindful of the task in front of them.

Those present for the Company were Dennis Hammel, Glen Johnson and Herman Wacker. The Union was represented by PDGC Steve Gordon, and General Chairs Fay and Otto. Present via telephonic conference were the Union and Company attorneys.

No proposals were exchanged. No agreement was reached.

The parties are scheduling future meeting dates. The next tenative date is September 29, 2008. The parties agreed to communicate to each other frequently prior to this date, keep a dialogue going, and meet on dates that become open prior to September 29.

We thank you for your patience and support. Each email, phone call or letter is being viewed, discussed and kept on file for reference. Continue to read this web site for any updates we may be able to add.

Update
August 15, 2008

The May 13, 2005 Alaska lockout of 478 RSSA members arbitration case has been decided. THE UNION HAS PREVAILED. The parties agreed at the onset of the case that once the decision was rendered, the Company and Union would then develop the remedy. The arbitrator is still, however, monitoring the proceedings. The first meeting dates will be the week of August 18 followed by a week in September. Please keep reviewing our website for updates on the progress of these meetings. Thank you for your patience, comments, and continued support. CONGRATULATIONS IAM MEMBERS!

Federal Arbitrator Rules Alaska Airlines Violated Union Contract When It Outsourced 500 Union-Represented Baggage Handling Jobs to Menzies Aviation
August 7, 2008

A federal arbitrator ruled that Alaska Airlines violated its collective bargaining agreement with IAM District 143 when it laid off 500 baggage handlers and other ramp workers in May 2005.

“This ruling is a huge victory for the IAM, Air Transport District 143, and all the hard-working airline employees we represent.  The ruling sends a message to the airlines that they must respect their workers and their Union contracts,” said President Stephen Gordon.
 
The ruling comes more than three years after Alaska Airlines subcontracted its entire ground handling operation to Menzies Aviation.  IAM-represented ramp employees who showed up to work on May 13, 2005 had their security badges deactivated by Alaska and were told they no longer had jobs.

Since outsourcing the work to Menzies, Alaska Airlines has endured negative press reports involving lost and mishandled bags, flight delays, safety problems, and increased customer complaints.

The federal arbitrator who decided the case considered the parties’ contract language, which permitted Alaska Airlines to subcontract the ground handling work only if it was cheaper than keeping the work in-house.

The federal arbitrator directed Alaska Airlines and District 143 to work together to determine the appropriate remedy for the contract breach, but will take the matter up again if Alaska Airlines and District 143 are unable to agree on a solution.

“Only because of our strong Union and the opportunity of a grievance resolution process could we prevail in protecting jobs; without such a process, all is for nothing,” stated President Stephen Gordon.


June 20, 2008

The award for the May 13, 2005 RSSA lockout grievance has NOT been issued to date. The final written briefs were given to the arbitrator on December 11, 2007. Both the Company and Union are interested and anxious for this decision to be rendered. The arbitrator received over 100 exhibits which contained detailed financial data and various spread sheets. The arbitrator reviews all such data as well as the extensive testimony in his case study. District 143 will announce the outcome once it is received. This delay is not unusual.

March 14, 2008

The lockout case has not been settled. Final briefs were completed on December 11, 2007, which means 12 weeks have passed. It is not unusual for a case such as this to take weeks longer. Please continue to check our website for updated information on this matter -- do not listen to rumors or speculation.

February 1, 2008

District 143 continues to wait for the arbitrator’s decision on the SEA Ramp Lockout case. As we previously reported to the membership, on December 14, 2007, the Company and Union submitted briefs at the conclusion of the arbitration hearing in August. The Company asked the arbitrator to allow an additional rebuttal brief. After listening to the pros and cons of allowing the parties to submit another brief, the arbitrator allowed the Company to submit a final written brief. The Union was allowed review time to evaluate the Company's arguments before our final say in our own brief.

“District 143 has NOT been advised of any decision from the arbitrator – regardless of any rumors that our membership may be hearing on the shop floors,” said President Gordon. “We will continue to wait for the decision, and once received, I can assure you that the membership will know the outcome.  I find it amusing that other labor organizations will tell our members that they heard a decision – while in the meantime we continue to wait for one.”  DO NOT BELIEVE THE RUMORS!


December 14, 2007

The Company and Union submitted briefs at the conclusion of the arbitration hearing in August. The Company asked the arbitrator to allow an additional rebuttal brief. After listening to the pros and cons of allowing the parties to submit another brief, the arbitrator allowed the Company to submit a final written brief. The Union was allowed review time to evaluate the Company's arguments before our final say in our own brief. This was all completed on December 11, 2007. The arbitrator will now review the complete record and respond. Again, a case of this magnitude could take 8-12 weeks before the arbitrator issues his decision.

August 31, 2007

On August 24, 2007 the IAM and Alaska Airlines completed the RSSA lockout case before an arbitrator and the Union and Company board members. The parties agreed that upon receipt of the transcript from the hearing (approximately two weeks), a closing brief will be submitted to the arbitrator for his review. Generally, when a tentative draft award is ready, the arbitrator will call for an executive session with the board members wherein the arbitrator will discuss his tentative decision with this panel. After this session, a final award will be issued and the board members can demand another executive session to discuss and debate his decision. It is not unreasonable for a decision of this magnitude to be delayed until the end of this year.

District 143 thanks the membership for its patience and support for the past two years — from the June 2005 federal court date to the August 24, 2007 completion of the arbitration. Many members have helped in the Union's presentation. The evidence, information and suggestions from the membership helped to develop a solid base for the Union's theory of the case. A special thank you to our attorney, David Campbell, and his staff, as well as our financial advisor, Tom Roth. Union witnesses Bea Knott, Jackie Fay and Nan Otto brought the IAM members' experience with the vendor and the negotiation process to life in their testimony. Michael "Geno" Genovese, the grievant, as well as Roger Clark, Jason McAdoo and Mark Walker attended some, if not all of the hearings. PDGC Gordon, GC Bernson and Grand Lodge Representative Tim Klima also lended their support.

One frequently asked question is "can the parties settle this before the arbitrator makes his ruling?" The answer is yes. A settlement can be reached at any time before the award is issued.

Please check our website frequently for the most current information on this matter. Don't allow rumors to upset, concern or distract you.

 

August 10, 2007

The final day for the RSSA lockout arbitration will be August 24, 2007 in Sacramento. Thank you for all your patience and support as the wheels of justice slowly turn to the end. The arbitrator will rule after the parties submit closing arguments via written briefs. An award could be issued in late November 2007. Don't listen to rumors! This case is NOT over.


July 20, 2007

The arbitration for the May 13, 2005 Seattle ramp lockout is not over! Company witnesses testified the week of June 25-29, 2007. The Company decided to call one witness who was in Europe. The June arbitration dates were scheduled one year in advance; yet, this witness wasn't in town on June 25. Therefore, the Company could not rest their case. The arbitrator gave the parties August 24, 2007 in Sacramento, California, as the final day for both parties to complete their presentations. When this part of the case is completed, the lawyers will wait for the transcripts and then each side will submit a post-hearing brief to the arbitrator. The arbitrator will review the briefs, evidence and testimony. A case like this could take some time for a draft decision (upwards of 90 days or more). Don't listen to rumors! This case has not been settled! Don't assume that just because the vendor isn't showing up (June 23-24, 2007) and management is now working flights that it is over. ASA management working the flights is a separate violation from the vendor matter and has been grieved.

Ramp Arbitration Continues

Throughout the week of June 25-28, various witnesses were questioned in the Alaska Air arbitration case involving the outsourced ramp work at Alaska's Seattle hub. Pending further testimony, the arbitration will continue in mid-August.

June 25-28, 2007 will be the last four days of arbitration

The District has received several email inquiries about the results of this arbitration.  The arbitration is not completed.  When both sides, the Company and Union, have presented their cases, including any rebuttal testimony, each side will rest their case.  After the transcripts are received, written briefs will be submitted to the arbitrator.  Arbitrators, in cases of this magnitude, take 12 weeks or more to rule.  It is quite possible that this ruling may not be made and finalized until November of 2007.  All the rumors about the settlement are false.

March 23, 2007

The continuation of the RSSA lockout grievance will be April 30-May 1 in Sacramento at the arbitrator's office. The final dates for completion of this arbitration will take place in June in Seattle.

Update of January 2007 Hearings

The arbitration for the May 13, 2005 lockout of 475+ Seattle Ramp and Stores agents began in January 2007. After an unsuccessful attempt to secure justice for these IAM members in the court system, the parties were directed by a judge to settle the dispute via arbitration. The battle for documents continued. The various costs for a vendor were not provided during contract negotiations, and they were not provided for many months prior to the arbitration.

Various members have asked what has happened during these January 2007 arbitration hearings. Prior to these hearings, the Company and Union participants agreed that the Company's costs, invoices, and Menzies costs would be kept confidential, as well as the testimony about such costs. If the information was not kept confidential, the party revealing the information would be held in contempt and the Union's case would be thrown out. Because of this agreement, the Union will comment on the following:

  • Opening remarks were given by the Union only
  • Union proceeded with its financial expert, Tom Roth, as first witness
  • Union called SEA CSA Bea Knott to testify about the condition of the Seattle location after the May 13 lockout

The parties then recessed as the Company had no cross-examination. The Union and Company have agreed to set dates for the next few months, with the last four days in June as a target to complete the case.

During negotiations, Alaska Airlines had wanted the IAM to agree to a proposal that would include pay cuts of up to 35%, increased insurance premiums, managers allowed to do our work, and still live with the threat of the Company’s farming out our work after four years.  This was the Company’s last and final offer to the membership.  To bring out the Company’s proposal might sound like a simple thing to do – it is the right of the membership – that was the easy part.  The hard decision was do the negotiators recommend a yes, no, or stay neutral on the ratification vote.  A very difficult decision to make, especially when you know that if you recommend a no vote it could expedite the farming out of the ramp vote.  Our negotiators made it clear to recommend a no vote.  However hard it might have been to arrive at that decision, we believe it was the right one.  The Company’s proposal was union busting at its best.  The membership agreed by voting down the proposal by an 87% margin.  Our Seattle ramp members paid the ultimate price when ASA locked them out of their jobs at 2:30 a.m. on May 13 and replaced them with a foreign ground servicing company.

The IAM filed a request for an Emergency Motion for Preliminary Injunction against Alaska Airlines to stop the outsourcing of these 475+ jobs, contending that the lockout is a direct violation of the Railway Labor Act wherein both parties are required to maintain the “status quo,” meaning that neither the Company nor the Union may make changes to pay, benefits or working conditions.    Federal Court Judge Ricardo Martinez ruled against the IAM on June 2, ruling that our argument was a minor one and should be heard by an arbitrator, not a federal court.

This wrongful lockout shook all IAM members across the Alaska Airlines system and showed just how callous a company can be to long-time dedicated employees.  Alaska Airlines not only hurt its employees, but also its customers in their quest in chasing a cheap fix to their financial woes.  In the long run, Alaska Airlines’ poor decision-making and stubborn stance alienated the most dedicated group of employees any airline could hope to employ.  Alaska Airlines ignored the safety of both passengers and employees by farming out our work to inadequately trained people.