Thursday, March 3, 2005

DOT Report Blames US Airways

A scathing report by the Department of Transportation blamed poor planning by management and confirmed IAM claims that the widely reported holiday meltdown at US Airways in Philadelphia was due to chronic understaffing and not a result of any job action by employees.

The inspector general’s report faulted management for the cancelled and delayed flights and thousands of lost bags. “While management had plans to address these issues over the holiday period, they turned out to be insufficient,” said Kenneth M. Mead, the inspector general.

Between Dec. 22 and Dec. 28, US Airways canceled 405 flights, affecting more than 46,000 passengers. During the same time, the airline delayed 3,900 flights, affecting more than 518,000 passengers. US Airways received nearly 72,000 complaints regarding lost or damaged bags, the report said.

In an unrelated report, the latest report filed by US Airways with the Securities and Exchange Commission (SEC) identifies the 2004 departure of former chief executive officer David Siegel as costing the twice-bankrupt airline a total of $6.3 million, nearly a third more than was disclosed at the time.

Siegel, who left last April, received a $4.7 million severance payment triggered by his resignation, higher than was reported at the time. In the SEC 10-K filing, Siegal also received a 3 1/2-month salary of $198,462, $65,000 in legal fees, $75,000 in accrued vacation and a $773,133 payout in defined contribution benefits. Siegel still has more than 1.1 million shares of restricted stock, which he can exercise at any time.

Public Support Plummets for Privatization Plan

Recent polls indicate that President Bush’s efforts to privatize Social Security continues to lose support among the American public, with only one-third of Americans approving the President’s handling of Social Security.

A USA TODAY/CNN/Gallup Poll conducted this weekend found that 56 percent of those polled disapproved of the President’s record on Social Security, compared to only 35 percent who approved.

Just three weeks ago, 43 percent of Americans approved of Bush’s Social Security record – indicating there is a growing skepticism regarding Bush’s proposed plans to overhaul Social Security.

In fact, 59 percent of those polled said the Social Security system does not need to be changed right away and 47 percent of Americans said they have greater trust in the Democrats to deal with Social Security – a 10-point advantage over Republicans.

IAM Raps Air Canada Moves

The IAM has accused Air Canada of bargaining in bad faith following the airline's announced closure of nine of its mainline stations.

The airline is shifting all of its service in nine Canadian cities to its regional Jazz subsidiary — a decision that will result in the layoff of 224 IAM members.

“During negotiations with Air Canada under the CCAA process, we in fact talked about and indeed modified working conditions to increase the percentage of part-time workers at these stations for the real purpose of having them remain open,” said GVP Dave Ritchie.

”Our agreements were bargained in good faith and the company is not honoring those agreements. We intend to take this issue to the Canadian Industrial Relations Board.”

AFL-CIO to Refocus Federation Activities

By a 15-7 vote, members of the AFL-CIO Executive Council voted in committee this week to implement a series of reforms proposed by Federation President John Sweeney and Secretary-Treasurer Richard Trumka.

IAM President Tom Buffenbarger, a member of the executive council, supported the changes that call for 17 percent of dues to be dedicated to organizing and 50 percent of dues to be spent on political activities.

“We are making decisions today that will give us the power to win and provides real incentives to grow,” said Buffenbarger who predicted the proposals would clear the way “for both an aggressive organizing and an equally aggressive political strategy for the years ahead.”

Machinists’ Deal Saves Jobs and Company

North American Pools in St. Catharines, Ontario will remain in operation thanks to a new investor and the members of IAM Local 2413.

The 70 members at Local 2413 ratified a new two-year agreement tailored to attract new investment to keep the struggling pool manufacturing business afloat. A cash infusion by the new investor, Priveq, began to flow immediately following ratification, according to Sandro Sperduti, District 140 Assistant Deputy.

North American Pools is a world-leading manufacturer of above ground and in ground swimming pools.

IAM Mourns Florida Rep. Tillie Fowler

International President Tom Buffenbarger extended the IAM’s condolences to the family and friends of Florida Rep. Tillie Fowler, who died suddenly on March 2 of a brain hemorrhage in Jacksonville, FL.

“This union is deeply saddened by the untimely loss of Tillie Fowler,” said IP Buffenbarger, who served with Rep. Fowler on the Commission on the Future of the U.S. Aerospace Industry. “While we differed on some issues, she was a strong and reliable ally for protecting our members’ jobs in the defense and aerospace industry. Her solid counsel and strong beliefs about national security will stand as an example of responsible leadership for many years to come.”

Rep. Fowler, also known as the “Steel Magnolia,” represented northeast Florida in the House of Representatives from 1993 to 2001.

New IAM Employee Starts Off With a Bang

As part of the new hire process, all IAM employees are offered the chance to donate to MNPL (Machinists Non Partisan Political League) via payroll deduction. Nancy Harrington (right, with GST Warren Mart) not only decided she wanted to participate, but she elected to join a select group of MNPL contributors — The $1,000 Club.

“I feel strongly about what the MNPL does,” said Harrington. “I believe in the work they do.”

Before coming to the IAM, Harrington had previously worked for the National IAM Benefit Trust Fund.

IAM Celebrates International Women’s Day

As International Women’s Day approaches, the IAM Women’s Department is marking it with a mail-in postcard campaign that fights against attempts to dismantle the Family Medical Leave Act (FMLA). The campaign also urges lawmakers to expand the scope of the Act.

International Women's Day (IWD), which was first held in March 1911, celebrates the economic, social, cultural and political achievements of women. Always celebrated on March 8, IWD is the story of ordinary women as makers of history and is rooted in the centuries-old struggle of women seeking to participate equally in society on an equal footing with men.

Separately, the IAM Women’s Conference will be held September 9-11, 2005 in Toronto, Ontario.