The unions representing American Airlines and US Airways pilots released some new materials on Tuesday detailing more of the memorandum of understanding that would govern the groups should a merger happen.
The Allied Pilots Association released some details on their website about what the agreement looks like between the companies. The US Airline Pilots Association also sent a joint letter to pilots. The key points include:
- The MOU starts with the APA 2012 Collective Bargaining Agreement (CBA) as the baseline contract for all pilots, and allows APA to make $522 million in contractual improvements ($87 million per year over six years).
- USAPA pilots will be covered under the modified APA 2012 CBA on the Effective Date, which will be the date the Plan of Reorganization is approved by the bankruptcy court.
- All existing AA aircraft, including orders and options, will be flown by current APA pilots.
- All existing US aircraft, including orders and options, will be flown by current USAPA pilots.
- US Airways pilots will fly the first thirty E190 aircraft and starting with the 31st E190, APA will receive two E190 aircraft for every additional E190 above thirty flown by US Airways pilots.
- Shuttle operations (BOS-LGA-DCA) will be flown by current USAPA pilots, along with existing PHX-Hawaii flying.
- All transpacific (Asia) flying will be performed by current APA pilots.
- Minimum block hour floors are established at US and AA to prevent the new company from drawing down either operation at the expense of the other. Pay protection is provided for pilots subject to displacements (subject to contract modification and valuation phase).
- The agreement also apparently provides for seniority integration, a major sticking point that can derail a merger.