Monthly Archives: January 2018

TWU Aviation Division Legislative Update January 2018

As a member of TWU’s Aviation Division, your work is directly impacted by federal regulations and legislation set by policymakers in DC. This includes legislation that Congress has been working on that would renew aviation policy. This document is intended to provide you information about that aviation legislation and its provisions that impact your work.

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Equity Update

Brothers and Sisters:

As a follow up to yesterday’s conference call with TWU Presidents, below is a summary of the plan that has now been agreed upon between TWU and American Airlines, with respect to the TWU Reserve/Equity fund distribution.

– The earliest the distribution will be is late May/early June, assuming all goes well with Project Spring. In the event of any impact to the distribution as a result of Project Spring, the Company will advise TWU of a future date

– Computershare will distribute funds in the form of a check and mail to each eligible employee

– TWU to provide the company with the employee list and the amount or percentage of distribution for each eligible employee

– TWU will be responsible for Computershare fees and costs associated with the distribution(s)

– Computershare will withhold applicable taxes and send file to American for tax remittance to the IRS and W2 preparation

– TWU will be responsible for capital gain taxes, if any, for/from the TWU Reserve Equity Fund

“Project Spring” is a merger of the legacy AA and US human resources computer systems.

Having now brought closure to the process of distribution, TWU can now work to finalize the plan of transferring the trust assets into the funds necessary to determine each member’s share of the equity.

As a word of caution with regard to capital gains, TWU still does not have the answer on if we will or will not have to pay capital gains and that answer may not be known in advance of the distribution. If TWU does not have the answer on capital gains in advance of the first opportunity for distribution, TWU will be forced to hold the

estimated capital gains tax portion of the funds, until such times the IRS rules on the union’s application for capital gains tax relief.

I will continue to provide updates to the American Airlines TWU Presidents, and the membership, as more details become available.


Gary Peterson
TWU International Vice Presiden

Negotiations Update

Brothers and Sisters,

The full negotiating committees met with Association attorneys in December to prepare our Scope proposals followed by a sub-committee meeting in Washington D.C. the week of January 2nd to the 5th, along with the Association legal team to finalize these Scope proposals.

The Executive Negotiating Committee met face to face with American Airlines this week in Washington D.C. The Executive Committee presented our proposals and positions on Scope articles for all Association Classifications to the company. This is another important step that will ultimately bring the parties closer to resolutions on the remaining critical economic topics.

Additionally, the parties had dialogue and narrowed the gaps on MLS/M&R overtime opportunity distribution procedures and the unpaid LOA matrix charts for all groups.

Complete Tentative Agreements were reached on:

Reduction in Force- MCT

Reduction in Force – MTS

ASAP (Aviation Safety Action Program) Letter of Agreement- M&R – MLS

The future negotiating calendar is as follows:

January 22- DCA

February 12- DCA

February 19- DCA


Fleet Negotiating Committee: Mark Baskett ,William Fa, Mike Fairbanks, Tim Hughes, Steve Miller, Tim Murphy ,Pat Rezler, Art Risley, Andre Sutton, Rodney Walker, Bill Wilson

Mechanic and Related/Stores Committee: Jason Best, Mike Bush, Ken Coley, John Coveny, Dale Danker, Mark Huffman, Bennie Martino, Gary Peterson, Rollie Reaves, Sean Ryan, Jay Sleeman, Mark Strength,