3.01.12 – (LAA) – APFA’s Attorneys Appear in Bankruptcy Court, National Coordinator Nominations, Division Representative Nominations, Professional Standards,

BANKRUPTCY UPDATE

• APFA’s attorneys appeared in the Bankruptcy Court in Manhattan today at a hearing on the company’s motions to spend tens of millions of dollars on additional consultants. APFA was the only union to challenge the company on several of these motions, and even before today’s hearing achieved some changes to the terms of payment for some of the consultants which addressed concerns raised by both us and the Creditors’ Committee. Our basic position at the hearing was that, despite those changes, the bankruptcy court should allow APFA and other parties to seek court review of any lump sum payments (called “completion fees” or “transaction fees”) based on legal standards of “reasonableness.” The Court denied that request, based in part on the company’s agreement that the United States Trustee could seek such review.

  While we did not get everything we asked for, our opposition helped to preserve the funds available for improving the company, rather than lining the pockets of high-priced consultants. In addition, our continued vigilance in the court case and in negotiations helps to ensure that any contract changes we may ultimately agree to will be on terms that are fair and equitable, and truly necessary for the successful reorganization of the company.

• Yesterday APA filed a lawsuit against American claiming that Section 1113 of the Bankruptcy Code does not apply because there is no labor contract in place, which the company could reject. Instead APA contends that its collective bargaining agreement expired when negotiations began under the Railway Labor Act more than four years ago. The company will counter that contracts under the RLA do not expire but become amendable. At that time when bargaining begins the company and union are required to honor the “status quo”, defined by the terms of employment that comprised the CBA.

  As it has done since November 29, when AMR filed for bankruptcy, APFA constantly assesses its negotiations and litigation strategies so that the interests of the Flight Attendants are protected and our wages and benefits are preserved to the greatest extent possible. While APFA, APA and TWU maintain very close communications and have the same goals, each union must independently decide the best way to achieve these objectives. In the situation here APFA will carefully and fully consider what, if any, actions it should take in response to APA’s lawsuit.

 

NATIONAL COORDINATORS

APFA President Laura Glading will nominate individuals for the six National Coordinator positions: Communications, Contract, Health, Hotel, Safety/Security and Scheduling. Those nominations will be submitted to the APFA Executive Committee for confirmation at the meeting it will hold between April 1 and April 15, 2012. Once finalized, the meeting date will be announced via this Hotline and will become the deadline for resume submission.

If you wish to be considered for any of these positions please refer to information regarding eligibility, job responsibilities, and duration of appointments that can be found in Article IX of the APFA Constitution and Section 13 of the APFA Policy Manual. Both of these documents can be found on the APFA web site.

For consideration, please email your resume to APFA Secretary Denise Pointer at [email protected] or send it to her by mail at:

APFA
Attn: Denise Pointer
1004 West Euless Blvd.
Euless, TX 76040

DIVISION REPRESENTATIVES

APFA Vice President Elect Marcus Gluth will nominate individuals for the five Division Representative positions. Those nominations will be submitted to the APFA Executive Committee for confirmation at the meeting it will hold between April 1and April 15, 2012. Once finalized, the meeting date will be announced via this Hotline and will become the deadline for resume submission.

If you wish to be considered for Division Representative please refer to information regarding eligibility, job responsibilities, and duration of appointment that can be found in Article IX of the Constitution and Section 9 of the APFA Policy Manual. Both of these documents can be found on the APFA web site.

For consideration, please email your resume to APFA Secretary Denise Pointer at [email protected] or send it to her by mail at:

APFA
Attn: Denise Pointer
1004 West Euless Blvd.
Euless, TX 76040

PROFESSIONAL STANDARDS

Professional Standards is a program in which Flight Attendants can address issues they may be having with another AA employee prior to reports being sent to management.

APFA Professional Standards Representatives are available at every base. These Representatives are trained to deal with every situation, including Rule 32 issues, and have the ability to assist in the resolution of conflicts between employees without involvement from the company.

Once the company has been notified of a situation, they must investigate. Often times this includes investigating the employee filing the complaint as well.

Should you feel that an issue needs to be addressed, please first contact your local Professional Standards Representative. A list of each Base’s Council can be found on the Base Pages on APFA.org. If a Professional Standards Representative is not listed on your Base’s Council, contact your Base Chairperson for assistance.