A "yes" vote by the FAs would put American in a better position to deal with both it's creditors and bids from US Airways.
In a hotline message sent out to American Airlines’ flight attendants on Thursday, the union pointed out the improvements in the carrier’s latest offer, without actually telling flight attendants to vote in favor of the contract.
Flight attendants are currently voting on the offer and have until August 19 to submit their ballot. Association of Professional Flight Attendants president Laura Glading told members that while the contract is far from the deal the union was negotiating prior to bankruptcy, it was better than the concessionary term sheets American filed with the bankruptcy court in March.
Glading framed the vote as one that could determine if a proposed US Airways merger is successful against a stand-alone American restructuring plan.
“Although no carrier has emerged from bankruptcy without labor agreements, there is no legal barrier preventing it. If we reject the LBFO, and the Court allows American to impose the Term Sheet, the flight attendant costs in American’s business plan would be $84 million less than the US Airways plan. That would give American a serious advantage over US Airways, and one that they will exploit when convincing creditors their standalone plan is stronger,” Glading said in the hotline.
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