Indianapolis-based aircraft technician John Cherny at a recent Indianapolis State House rally with 3-year-old John Cherny Jr. and 6-year-old Kala Hans.

Failure to respond to IAM contract concerns cost former CEO James Goodwin his job at UAL.

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The two-year roller coaster ride for 45,000 IAM members at United Airlines took some sharp turns recently. And the white-knuckle ride is not over yet.

Take a look at the obstacles UAL employee-owners and IAM negotiators faced since talks began in 1999.

On May 24, 2000, six months into negotiations, United announced plans to acquire US Airways for $11.6 billion. The prospect of protecting 60,000 IAM members under six contracts at two airlines quickly complicated negotiations.

Then came the record-   setting contract for United’s pilots. Their August 2000   contract gave employees a glimpse of what UAL had to offer. Contract votes at other airlines raised expectations of IAM members whose pay was fixed at 1994 levels.

As employee relations soured, United made costly investments in aircraft and Internet ventures. Managers sought court orders against increasingly frustrated employees. A raider organization that exists only to interfere with legitimate unions gave United the excuse to halt negotiations until the government ruled their bid for an election was unwarranted.

On March 7, 2001, the IAM advised the Justice Department that United Airlines’ proposed merger with US Airways was a threat to employees, passengers and shareholders alike. “Without written job security language for members at both carriers, the deal was doomed,” said Robert Roach, Jr., IAM General Vice President.

The United-US Airways merger died on July 27, 2001. By then, the recession was in full swing. United felt it first. Way back in October 2000, UAL reported a quarterly loss of $64 million –– it’s first loss since 1993.

UAL managers reacted by furloughing hundreds of employees, abandoning line stations, shuttering dozens of ticket offices and closing overnight maintenance facilities –– all prior to September 11.

An industry-wide bailout, massive layoffs, the Biz Jet check, a poisonous letter, and Jim Goodwin’s resignation  followed like dominoes.

The PEB: Confounding expectations, the Bush-appointed board recommended immediate raises for IAM members at UAL. From left, board members David Twomey, Helen Witt, and Ira Jaffee

On December 20, 2001, a Presidential Emergency Board (PEB) was appointed to intervene in the mechanics’ negotiations.

On January 20, the PEB rejected the carrier’s argument for a pay freeze and recommended an immediate 37 percent wage hike for mechanic and related members at United. “The board recognized the merits of our case. Even so, we strongly opposed this third party intervention in our negotiations,” said Scotty Ford, District 141-M president and lead negotiator for the UAL mechanics group.

United accepted the PEB recommendations, making them their “last best offer.” On February 12, 2002, District 141-M members voted to reject that offer by a wide margin. With the 30-day  cooling off period deadline looming, the IAM called for non-stop talks to hammer out a new agreement.

“The 30-day cooling off period is where difficult negotiations are often resolved,” said GVP Roach. “But the members at United will decide,” said GVP Roach. “That’s what we’ve been fighting for all along. And that’s what we’ll continue to fight for.”

Update: The IAM and UAL came to a tentative agreement on February 18, and the IAM agreed to extend the strike deadline until March 7. Members vote on March 5 whether to ratify the agreement.

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District 141M