June 19, 2008 - Less than two months after Continental Airlines rebuffed United Airlines’ merger overtures, the two airlines have announced a comprehensive global alliance.
The airlines issued statements indicating they developed teams to achieve significant cooperation on frequent flier programs, lounges, facility utilization, information technology and procurement.
The airlines’ statement read, “This work was assisted by the efficiency opportunities identified and relationships developed during the parties' earlier merger discussions.” Specifics of the cooperative agreement have not been released.
The Machinists Union has contacted both carriers demanding all details of the agreement so we can assess the impact on workers at both airlines.
“Alliances like this are just mergers on the installment plan,” said IAM General Vice President Robert Roach, Jr. “Integrating programs and technology today will make it easier for the airlines to complete a merger tomorrow. The IAM will remain vigilant in our fight to block mergers that hurt employees.”
