Originally Posted by johnso29
(Post 877331)
Obviously you know very little about merging seniority lists. Perhaps you need to do some research. I suggest starting with the Bond-McCaskill act that prevents a staple. It was created to avoid a repeat of AA-TWA, in which most TWA pilots were stapled to the bottom of the AA list.
An straight integration will either be negotiated, or decided by an arbitrator. There is no staple allowed. Let me preface by saying you bring up valid points and what transpires will have so many variables that the true outcome won't be known for years. M-B is not a given in all situations. The F9 FAs argued that their merger was not air carriers but holding companies, allowing them to remain separate for the time. I'm NOT saying this would be the case in our situation, but pointing out that M-B isn't the only outcome in mergers/acquisitions. SWAPA in the past has said that outside legal counsel has told them that employees do not necessarily have to come with a transaction. Again, I'm NOT saying that this is the case in this situation, but I do lend credence to lawyers that understand M and A law better than pilots. There are too many variables in this situation to even guess how this will play out, but I know it's not going to be quick or fun. I would guess this may end up in arbitration in the end. I guess my point is that dealing in absolutes of things that will or will not happen is irrelevant because none of us know (unless a deal has already been hashed out in principal before the announcement was made, which given the nature of things I wouldn't be totally surprised). |
Everybody's just assuming the AirTran pilots will become Southwest pilots working under the Southwest contract. That doesn't happen automatically.
A quick read of the AirTran contract reveals a basic successorship clause. It would seem SWA will have to negotiate a JCBA just like DAL/NWA did if they want to integrate the operation. That JCBA might just be a straight adoption of the SWA contract, but it doesn't have to be. Haven't studied it, but it looks like the pilots are going to get a crack at management due to this: AirTran's contract: D. SUCCESSORSHIP This Agreement shall be binding on any Successor, or Assign of the Company, unless, or until changed in accordance with the provisions of the Railway Labor Act, as amended. For the purposes of this paragraph, a Successor or Assigned shall be defmed as an entity (other than an Air Carrier, or an entity which owns, or is owned by an Air Carrier,) which acquires all or substantially all of the assets or equity of the Company through a single transaction, or a multi-step related transaction, which closes within a twelve (12) month period. |
Originally Posted by Check Essential
(Post 877400)
Everybody's just assuming the AirTran pilots will become Southwest pilots working under the Southwest contract. That doesn't happen automatically.
A quick read of the AirTran contract reveals a basic successorship clause. It would seem SWA will have to negotiate a JCBA just like DAL/NWA did if they want to integrate the operation. That JCBA might just be a straight adoption of the SWA contract, but it doesn't have to be. Haven't studied it, but it looks like the pilots are going to get a crack at management due to this: AirTran's contract: D. SUCCESSORSHIP This Agreement shall be binding on any Successor, or Assign of the Company, unless, or until changed in accordance with the provisions of the Railway Labor Act, as amended. For the purposes of this paragraph, a Successor or Assigned shall be defmed as an entity (other than an Air Carrier, or an entity which owns, or is owned by an Air Carrier,) which acquires all or substantially all of the assets or equity of the Company through a single transaction, or a multi-step related transaction, which closes within a twelve (12) month period. |
or sw will hire a thousand pilots, let it go to court and years later, staple.
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Originally Posted by AtlCSIP
(Post 877412)
If I understood what you posted correctly, this is a moot point as SWA is an AIR CARRIER.
I guess maybe the next paragraph applies? E. MERGER PROTECTIONS In the event of a merger between the Company and another Air Carrier, where the surviving Air Carrier decides to integrate the pre-merger operations, the following procedures will apply: I. The Company will integrate the two pilot groups in a fair and equitable manner, including where applicable agreement through collective bargaining between the Carrier and representatives of the pilot groups involved 2. In the event of a failure to agree pursuant to Paragraph 1, of the above, the dispute may be resolved in accordance with Section 13, of the Allegheny-Mohawk Labor Protective Provisions, except the integration of the seniority lists of the respective pilot groups may be governed by Association merger policy if both pre- transaction pilot groups are represented by the Association. 3. Discussions related to any merger shall not be pursuant to Section 6, of the Railway Labor Act, and reaching an agreement with the Association shall not be a prerequisite for closing, or any other aspect of the transaction, or operation pursuant to the transaction. F. NOTICE If <<<AirTran>>> Airways, Inc., or its parent Company, AirIran Holdings, Inc., or any other subsidiary of <<<AirTran>>> Holdings, Inc., enters into any agreement of acquisition or merger, with any other air carrier which has control of, or acquires control of another air carrier, it shall notify the ATPA, in writing, of the proposed acquisition or merger within three (3) working days after the execution of such agreement. <<<AirTran>>> Airways, Inc., or its parent Company, <<<AirTran>>> Holdings, Inc., must give written notice of the existence of this labor agreement to any air carrier, or any other entity which has control of, or acquires control of, another air carrier with which <<<AirTran>>> Airways, Inc., or <<<AirTran>>> Holdings, Inc., enters into an agreement of acquisition or merger. A copy of this written notice will be given to the ATPA, no later than three (3) working days after the parties have signed an agreement of acquisition or merger. |
Originally Posted by pilotrob23
(Post 877417)
or sw will hire a thousand pilots, let it go to court and years later, staple.
dream much? :rolleyes: |
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Originally Posted by tsquare
(Post 877257)
Apparently since I received sanction from the moderators it is less acceptable than making fun of a potentially dangerous situation. Your arrogance is amazing, and the fact that it is allowed is disgusting.
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Those 717 would look real nice in SWA livery:)
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Originally Posted by Bigflya
(Post 877290)
If I were USAir I'd offer a higher competing bid and turn this thing into a hostile takeover. At least make SWA bid up the price higher ala AMR-PanAm-Delta. Even if they have no intentions of really wanting it. USair is the one stuck in the middle of the NE now getting squeezed more and more. It's a fight for survival for them.As always in this biz these are interesting times.
Maybe USair has already approached Airtran and their management team shot down the offer. Maybe USair management hadn't even thought about the prospects of Airtran merging with SWA. I think any decent airline manager or industry analyst saw this was coming from Airtran, but I get the impression this was designed to come out as a complete shock to everyone (as these things usually are). It would be hard for USair to get into a bidding war with SWA, but if anything it could delay the whole process and cost them more money. Hard to gamble with that which you don't have. Either way USair is agreeably in a difficult position. Any guess on who they might try to merge with now? I guess AMR and JB is something on people mind. USair has never addressed it's pilot labor issues, and I think that makes them unattractive to other companies who maybe considering to integrate. |
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