Delta Pilots to Wrap Up Strike Vote

Monday, April 3, 2006; 3:28 PM

ATLANTA -- As Delta Air Lines Inc. pilots were preparing to wrap up a strike authorization vote, a bankruptcy court judge Monday gave the company permission to void millions of stock options.

The pilot votes were to be tallied after polling closes at midmorning Tuesday. If approved, union leaders would be able to set a strike date, but that doesn't mean a strike would necessarily be imminent.

At issue is the Atlanta-based company's request to throw out its contract with its 5,930 pilots so it can impose up to $325 million in long-term pay and benefit cuts, which would include a wage reduction of at least 18 percent.

The pilots union has said it will strike if its contract is voided. An arbitration panel must decide on the company's contract rejection request by April 15.

Delta's pilots previously agreed to $1 billion in annual concessions, including a 32.5 percent wage cut, in a five-year deal in 2004. But Delta, which has imposed pay cuts on other employees, said it needs more from its pilots after filing for bankruptcy protection in September.

So far, there has been little movement toward a consensual deal, though both sides have met at least twice since arbitration hearings in Washington ended March 23. The union plans picketing this week at airports serving Atlanta, Boston, Cincinnati, Dallas, New York and Los Angeles.

Company spokesman Bruce Hicks declined Monday to update the status of negotiations, except to say it still hopes to reach an agreement with its pilots. Hicks said talk of the strike authorization vote isn't affecting operations, though he wouldn't say how it might be affecting flight bookings.

"Our customers continue to book Delta with confidence," Hicks said. "Our operations remain unaffected by the union's activities."

Several messages seeking comment left for the chairman of the union's executive committee, Lee Moak, were not returned.

Meanwhile, in bankruptcy court Monday in New York, Judge Adlai Hardin gave Delta permission to void roughly 93 million stock options held by 70,000 current and former employees and directors.

The company had said the options, if exercised, would provide little to no real value, making the $305,000 a year it costs the airline to maintain, account for and administer the benefit an unnecessary burden on Delta.

The judge also granted a request by Delta's bankruptcy trustee to postpone consideration of fee payments for the airline's lawyers and consultants. The payment requests, totaling $43.6 million for the first 4 1/2 months of the airline's bankruptcy case, will be taken up at a hearing on May 1.

"There is no such thing as "replacement pilots". Will take too much time to have pilots retrained and recertified. If pilot walks, that's the end of it."

I just had a humorous flasback of the MLB strike in 1994 and the scab players they used to replace the striking players. LOL. Yeah, thank goodness airlines don't have "replacement pilots" - I'd rather have my plans cancelled than have my plane piloted by someone who just came in off the street.

Anyoo...

So is April 15 the deadline, then? I guess I'll hold on to my tickets until that date and see what happens.

Lauren0309,

Thanks for the Delta update. You didn't mention your source for this really important information.

Would you mind posting where you got this info?

I just went to Yahoo News and typed in "Delta" and the article came up. It's from the AP.

I read this article from the Washington Post.

And for the record, "replacement" pilots are completely qualified to operate the aircraft. FAA regulations ensure that. They are not just promoted from the ranks of baggage handliers.

Thank you.

Should Delta pilots strike, will this effect their Delta connection carriers such as Sky West?

The Delta Connection carriers are not technically affected, but in reality, if all of the mainline DL flights get shut down, there's no point in running a lot of the regional flights. So, the flights may very well be cancelled.

Pilots just voted to strike, according to the AP. No indication on when they would act.

Story:

http://news.yahoo.com/s/ap/20060404/...e/delta_pilots

We should have a better idea of what's happening after April 15. If they throw out the union's contract, the pilots say they will strike.

<i>Yeah, thank goodness airlines don't have &quot;replacement pilots&quot; - I'd rather have my plans cancelled than have my plane piloted by someone who just came in off the street.</i>

Or directed by newbies in the control towers and ATC centers. 1981 is a long time ago, I guess.

I fly home from vacation on April the 15th....After all of the hassle this spring break trip is causing me and now on top of it...a strike. Well I might get half way home. We land April 16th in Atl. I could always rent a car? What a joke.

It is hard to imagine that anyone is buying tickets from Delta now. That alone might finish them off.

Keith

Yes, they better work this out quickly before the 15th. By then, they will be broke!

Does anyone have any information regarding the meaning of the phrase &quot;by April 15&quot;? I am scheduled to fly Delta to Germany on, you guessed it, April 15.

I'm wondering if the decision by the arbitration comittee would be anounced prior to the 15th, on the 15th, or on the 16th?

If at that point, pilots chose to strike, my guess is that it would not happen immediately. There may be some sort of government-mandated cooling off period. Or at the very least, pilots who are enroute would want to return home, I assume.

I know there's nothing I can do but sit and wait, but I was curious if anyone knew a bit more about how the arbtitration thing works.

Per:
Author: John
Date: 04/03/2006, 11:52 pm
Should Delta pilots strike, will this effect their Delta connection carriers such as Sky West?

I have a friend who is a pilot with Skywest and the talk is that they would take over some of the smaller routes, and since Skywest has a contract with United as well, there should not be a problem with them. Also, I heard that Skywest was about to buy another airline

I'm supposed to fly to Venice on Delta on April 22nd!! I'm going with my father and it's his first time to Italy. I bought travel insurance b/c I think there were rumors on this board at the time that a strike might happen (back in february). I believe this should cover it, right? We just need to get TO italy, b/c coming back our flight is on Alitalia. What stress!

Check it out with your insurance if they cover Delta. I just bought some insurance for a trip a few days ago and was told by the company they covered no insurance if the airline was already in bankruptcy such as Delta and Northwest.

Does anyone know when they filed for bankruptcy? My family is flying Delta to Belize 4/8-4/15. I booked the tickets last August and bought travel insurance then. We're leaving on Saturday and hoping we'll make it home somehow the following Saturday!