Joint Communication between the APA and TWU regarding AA negotiations

FOR IMMEDIATE RELEASE 

CONTACT: Captain Dennis Tajer, 847-902-8481; Gregg Overman, 817-302-2250

Unions Representing Pilots and Mechanics are Standing Together for a Safety Culture Change at American Airlines 

The Allied Pilots Association Calls on American Airlines to Give Mechanics, Represented by the Transport Workers Union, a Fair Contract 

TWU International President John Samuelsen and APA President Dan Carey shake hands while flanked by leaders of their unions.

BOSTON (May 17, 2018) — The Allied Pilots Association – and its 15,000 pilots at American Airlines – has pledged unconditional support for the Transport Workers Union, which represents the airline’s maintenance, stores, and fleet service workers.

The TWU and the International Association of Machinists (IAM) have been trying to negotiate a joint collective bargaining agreement with American Airlines management since December 2015.

“Years with no contract for our TWU colleagues is unacceptable when this company is wildly profitable, making $500,000 an hour,” said Captain Dan Carey, president of the Allied Pilots Association. He and the union’s vice president, First Officer Tim Hamel, were in Boston this week at the invitation of the TWU’s International Executive Council.

Among the sticking points in the negotiations is the loss of union jobs to maintenance facilities in South America and Asia.

“Safety is the foundation of what we do. Whether I’m in the cockpit with members of my union or in the cabin with members of my family, I expect to be assured that the protection of the margin of safety is first and foremost on every flight,” Carey said. “With American Airlines outsourcing TWU maintenance jobs to under-regulated offshore camps, I have serious concerns over the potential narrowing of the safety margin.”

TWU International President John Samuelsen is thankful to have APA’s support.

“I’m extremely grateful to have the pilots on our side, and today marks a new era in our relationship,” Samuelsen said. “We are strong unions individually. Together, we are even more formidable. American Airlines is facing some serious turbulence on several fronts.”

With June right around the corner, Carey is encouraging all pilots to be mindful of the situation TWU and IAM members will be in during the busy summer travel season.

“Whenever you’re at work or in your communities, reach out to our brothers and sisters of TWU and IAM with words of encouragement, so they know we have their backs,” Carey said.

Founded in 1963, the Allied Pilots Association — the largest independent pilots union in the United States — is headquartered in Fort Worth, Texas. APA represents the 15,000 pilots of American Airlines, including several hundred pilots on full-time military leave of absence serving in the armed forces. The union’s website is AlliedPilots.org. American Airlines is the world’s largest passenger airline.

Station Visit – SJU

International officers shop gating Local 501 and 591 members in San Juan about the AA contract and job security at SJU.

TWU Reserve/Equity Fund Distribution Update

Dear Brothers and Sisters:

As a follow up to today’s conference call with TWU American Airlines Presidents, below is a summary of the latest developments, with respect to the TWU Reserve/Equity fund distribution:

– First and foremost, I am happy to announce that the TWU International was successful in our appeal to the IRS and a capital gains tax will not be assessed by the IRS against the Reserve Fund, resulting in an additional thirty five percent (35%) approximately being available for the equity distribution to our members — monies that otherwise would have gone to the IRS.

– The company has notified TWU that it remains on track to provide the necessary tax payer information to Computershare, from the Project Spring computer software program update, for a late May/early June distribution. (“Project Spring” is a merger of the legacy AA and US human resources computer systems.) The company must provide this information to Computershare, since TWU does not employ our members and TWU does not have the necessary individual tax payer information for each member needed for this type of distribution.

– The distribution of the funds from Computershare will be made by check and mailed to each eligible employee’s last known address on file with the Company.

– A meeting is scheduled for May 24th in order for TWU to discuss any final items needed by Computershare to ensure the accuracy of our membership list and the amount/percentage of distribution for each eligible employee.

– A legal determination, in accordance with IRS rules and regulations, has been requested with respect to the withholding of income taxes on the equity distributions to be made in accordance with the following formula:

1. For active employees and those on leave of absence or those who have since left the company via retirement, termination or otherwise and are still alive, American Airlines will issue a W2 and withhold applicable taxes; {00648465.DOCX / }

2. For employees, deceased after 1/1/2018, American Airlines will issue a W2 with and will withhold applicable taxes; and

3. For employees deceased prior to 1/1/2018, Computershare will issue a 1099 form and no taxes will be withheld.

In closing, we are nearing the end of this long-awaited process and I want to again thank you for your patience and perseverance and your faith in the TWU. I also want to remind each of you and all of our TWU members that this equity distribution is not a bonus, but rather hard earned dollars that truly can never adequately repay for the sacrifices our AA members were forced to accept in bankruptcy in order to permit AA to remain in business.

TWU International will continue to provide any new or additional information and details to you as soon as they become available.

Fraternally,

Gary Peterson
TWU International Vice President