Although the proposed alliance with Continental Airlines is said not to be high on the list of union concerns, management at Northwest Airlines is nevertheless struggling to reach agreement in contract negotiations with its pilots.
The stalemate is bound to slow progress on the planned alliance, which depends on a go-ahead by pilots at both airlines. In its current talks with unions, however, Northwest insists that pay - and not the alliance - is the big issue.
Following a tense set of negotiations in May, talks between management and representatives of the Air Line Pilots Association ended without a breakthrough. 'Pay is the big sticking point. Everything else is resolvable, including the Continental alliance issue, where we have made some progress,' says Northwest.
But the union says it is a long way from agreement on several major issues and was planning to begin pickets in early June. The company is proposing to tie pilots' wages to the average pay of the three largest US airlines, namely American Airlines, Delta Air Lines and United Airlines. Northwest made its disappointment clear when that offer was rejected by the union, which dislikes a linked proposal for yearly salary arbitration.
In contrast, Continental's management has struck a fast and painless tentative deal with members of the Transport Workers Union. After just four days of 'intense, direct negotiation', both sides were praising the other for their spirit of cooperation and commitment. Details of the agreement are being released to union members for ratification, which is expected by 1 July - nine months ahead of the current contract's expiration date.
Source: Airline Business
