Delta & Northwest almost at the altar?
Rumors are flying that Delta and Northwest will announce their merger imminently despite the failure of the pilot unions to agree to a framework for merging their seniority lists and contracts.
Failing to learn from the US Airways/America West merger that has been solidified on paper but not with its workforce, executives at Delta and Northwest have been reportedly hammering out final details of a merger without union agreements.
According to Bloomberg News:
The airlines are forging ahead after failing to get their pilots to draw up a combined seniority list before a merger.
Delta instead has focused on reaching an agreement with its 7,000 pilots. The airline and its pilot leaders came to a preliminary accord on most issues last week and are ironing out differences on the size of pay increases, two people said. Northwest’s 5,000 pilots will be asked to join under a single contract later.
Northwest pilot leader Dave Stevens said yesterday in an e- mailed statement that any merger involving Northwest must be in the best interests of pilots, customers and employees in order to “avoid our vigorous opposition.”
Of course the executives’ contracts probably reward them for consummating a merger, so they are eager to move forward. Reportedly, Doug Steenland has a reward coming for retiring in June, merger or no merger. Pilots see no benefits for them personally, so they are much more circumspect. And management still has not specified how merging the airlines and adding millions of dollars to their legal expenses will lower operational costs.
You may also be interested in these articles
Comments
Please share your thoughts...