The Transport Workers Union, seemingly unaware of the big economic picture, has rejected a perfectly reasonable contract proposal offered by American Airlines. The union seems to be unaware that the airline industry is suffering a loss of passengers while having its profits slashed by high oil prices. In addition, AA already provides the highest salaries in the airline industry, plus a highly generous profit-sharing plan. The airline addressed all of the union’s issues and offered generous increases in vacation time, holidays, sick leave, and salaries for all employees represented by the TWU. In addition, it substantially increased the level of profit sharing for employees. Is it any wonder that so many workers in the airline industry are envious of American Airlines employees?
Not willing to say yes to such a generous offer, some union officials rejected the offer before even permitting TWU members to vote on the contract. According to an article in the Dallas Morning News, the members of the TWU Negotiating Committee voted to reject AA’s offer without giving the union’s members an opportunity to vote. Would the members have thoughtfully voted to approve it? Is that what worried the union? The TWU said that the airline put a time limit on voting for the contract. In that case, why not negotiate the time limit, so that that all workers would have an opportunity to vote?
If the airlines are to avoid being permanently grounded, they must be permitted to operate profitably without being shackled by unreasonable union demands.