Unions: ‘No Stock Buybacks in Aviation Until Problems are Fixed’

Today, the Association of Flight Attendants-CWA (AFA-CWA), the Air Line Pilots Association, Int’l (ALPA), the Association of Professional Flight Attendants (APFA), the Communications Workers of America (CWA), International Association of Machinists and Aerospace Workers (IAMAW), the International Brotherhood of Teamsters (IBT), Transport Workers Union of America (TWU), and Service Employees International Union (SEIU), representing hundreds of thousands of aviation workers, launched a public campaign demanding that airlines pledge to stabilize the industry with reliable operations and good jobs before diverting any airline profits to Wall Street through stock buybacks.

From 2014 through 2019, United, Southwest, American, and Delta rewarded Wall Street with more than $39 billion in combined stock buybacks. That money should have been invested in better passenger experiences, staffing, and good jobs. Early in the pandemic, aviation unions secured a historic relief package, the Payroll Support Program (PSP), to keep workers in their jobs with pay and benefits. It also barred airline executives from utilizing stock manipulation tricks through September 30, 2022.

“We paused the greed in aviation for a little while with legislative constraints tied to COVID relief,” said Sara Nelson, President of the Association of Flight Attendants-CWA, “But the greed that ran rampant before COVID created a system that was already stretched thin with minimum staffing and high overtime hours. We can’t allow executives to send one dime to Wall Street before they fix operational issues and conclude contract negotiations that will ensure pay and benefits keep and attract people to aviation jobs.”

In just the first half of 2022, U.S. airlines have canceled more flights than in all of 2021, disrupting travel for millions of passengers and creating high-stress conditions for aviation workers. Unions are calling for airlines to resolve the ongoing operational chaos by better aligning staffing and scheduling to meet demand and concluding delayed labor contract negotiations.

“ALPA pilots worked with other frontline employees to help keep the aviation industry afloat during the pandemic, and fought to ensure that federal assistance included strong labor protections, specifically prohibiting the use of stock buybacks,” said Capt. Joe DePete, ALPA President. “Through those successful efforts, U.S. carriers and their crewmembers were well positioned for the increased travel demand we are experiencing today. However, some airlines failed to properly plan, resulting in operational issues and increased cancellations causing significant frustrations for passengers and airline employees alike. ALPA encourages airline management to get their operations back on track by investing in their workers before rewarding Wall Street.”

Aviation unions announced the launch of nostockbuybacks.org to accompany the public petition that demands pledges from the CEOs of U.S. airlines. The unions are demanding that airlines pledge to extend the COVID relief ban on stock buybacks until:

  • operational meltdowns are not the norm and staffing and flight schedules are aligned to support public demand; and
  • labor contract negotiations are concluded.

“We fought for and won unprecedented relief for airline workers to save the industry for its workers and the flying public, not to line the pockets of Wall Street,” said Richard Johnsen, Air Transport Territory General Vice President for the International Association of Machinists and Aerospace Workers (IAM). “As passengers and airline workers continue to bear the brunt of chronic understaffing, the IAM is ready to help grow this critical workforce to meet the needs of worldwide travel. The IAM stands strong with its airline union allies to fight for every airline worker and traveler.”

“Stock buybacks don’t help families reach their destinations safely or ensure that flights are on time, but airline workers do. Every dollar that goes toward stock buybacks is a dollar that could have been used to reduce disruption by addressing understaffing, high turnover, excess overtime, and low starting wages,” said Richard Honeycutt, Vice President of CWA District 3 and Chair of CWA’s Passenger Service Airline Council. “We’re asking airline executives to show us that providing high-quality service and supporting their workers is more important to them than increasing the wealth of a handful of Wall Street investors.”

“This is a critical moment. Our airlines are returning to profitability, and there is potential to keep growing in that direction,” said Julie Hedrick, National President of the Association of Professional Flight Attendants. “But growth will not happen without proper investment. Passengers and employees have weathered the pandemic and chaotic airline operations. Contract negotiations were put on hold, and workers have been stretched thin. Stock buybacks will only add insult to injury. When we invest in ways that make our passengers excited to return to the sky, stock prices will follow. Let’s not forget that support from aviation Labor Unions stabilized the airline industry, and now we expect substantial investments in the workforce, and our airline’s future.”

“The need for airlines to invest in their operations has never been clearer,” said John Samuelsen, International President of the Transport Workers Union of America. “Any airline that chooses to buy back stock now instead of investing in their workforce would be not only irresponsible but untrustworthy. Airline CEOs need to know that the public is watching and that we won’t stand for their greed.” Anyone interested in supporting the campaign can learn more and sign the petition at nostockbuybacks.org.

“It’s time for the lawlessness of Wall Street to end,” said Sean M. O’Brien, General President of the International Brotherhood of Teamsters. “Millions of passengers and workers are suffering at the hands of corporate bullies who are lining their pockets. We’re not asking; we’re demanding that CEOs get their priorities straight and ensure safe, reliable air travel.”

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Air Transport General Chairs Touch Down at W3 Center

Air Transport General Chairs Touch Down at W3 Center

The Air Transport Territory recently had the 13 newest IAM General Chairpersons touch down at the William W. Winpisinger Education and Technology Center for the General Chairs Orientation Program.

The IAM District General Chairs spent the week learning about the airline industry, the duty of fair representation, constitutional requirements, retirement and pension basics, strategic resources, and effective communications with the membership. This curriculum helps the new General Chairs better understand their leadership role and duties to the members they serve.

“The Air Transport Territory appreciates the space and training provided by the Winpisinger Center,” said IAM Air Transport Territory General Vice President Richard Johnsen. “We are excited about this new group of General Chairs who have proven themselves as leaders in their locals. Our Territory, along with Districts 141 and 142, believes our members should have leaders with every tool necessary to fight on their behalf.”

The General Chairs left the Winpisinger Center with a full understanding of what it takes to fight for air transport members who are on the frontlines.

The IAM Air Transport Territory District General Chairs who attended:

  • Justin Bates, Local 601, District 142 General Chairperson
  • Oralia “Lollie” Beecher, Local 2198, District 142 General Chairperson
  • Kenneth Coley, Local 1725, District 142 General Chairperson
  • Lorraine Fraser, Local 846, District 142 General Chairperson
  • Warren Glenn Jr., Local 846, District 141 Special Representative
  • Andrea Myers, Local 1886, District 141 Assistant General Chair
  • Kaleb Rosa, Local 2202, District 142 General Chairperson
  • John Staton Jr., Local 2508, District 141 Special Representative
  • Ole Staveland, Local 2202, District 142 General Chairperson
  • Danny Suafoa, Local 2202, District 142 General Chairperson
  • Gary Welch, Local 811, District 141 Special Representative
  • William Wilson, Local 1776, District 141 Assistant General Chair

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Lodge 1930 Members Push Long Beach City Council for Competitive Wages to Retain First-Responders

Lodge 1930 Members Push Long Beach City Council for Competitive Wages to Retain First-Responders

IAM Local 1930 members showed up and spoke up at a City of Long Beach (CA) Council meeting, demanding cost-of-living raises and competitive wages for city employees, especially 911 dispatchers and ambulance operators.

Local 1930 represents almost 3,000 city employees, including the 911 dispatchers and ambulance operators who are now demanding safety, respect, and fair wages.

Although Local 1930’s contract with the city includes periodic wage increases, members are calling attention to the stress that comes with first-responder jobs and how Long Beach’s wages are not high enough to keep the most committed employees.

“We hear all the time about the cost of paying employees more — but no one seems to discuss the cost of not paying us proper wages,” said Local 1930 President Natalie Gonzalez during the public comment section of the council meeting. “Our members have been given more duties and fewer resources, more stress, and less compassion.”

District 947 Business Representative Devin Ablard and Local 1930 members spoke up at the meeting to shed light on how the long shifts and stress of the job are impacting employees’ health. Local 1930 member and 911 dispatcher Michelle Salas explained that her department is so understaffed that employees often work 14 to 16-hour shifts, and added that the job takes an emotional toll.

“This is an issue that is affecting members across the departments,” Gonzalez told Kristy Hutchings of the Press-Telegram. “One of the things that we’re struggling with is retaining employees because they’re going over to other, higher paying cities… This continuous and accelerated loss of institutional knowledge impacts our efficiency.”

Gonzalez and the Local 1930 membership plan to continue showing up at the City Council budget hearings to advocate for the proposed budget, which must be adopted in September, to allow for cost-of-living wages increases for city employees.

“Our members showed up in full force to engage with public officials on the Long Beach City Council,” said IAM Western Territory Grand Lodge Representative Richard Suarez. “They’re demanding what every worker deserves – safety, respect, and a fair wage. The city should not depend on our members sacrificing their health and happiness out of the goodness of their hearts to keep the city safe.”

“The city quite literally runs because of IAM Local 1930’s work,” said IAM Western Territory General Vice President Gary R. Allen. “The city needs to step up and do right by its employees and our members. Local 1930 has the Western Territory’s full support as they fight for better wages and working conditions.”

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Machinists Union Members Vote to Ratify Strong New Contract At Harley-Davidson in York, Penn.

Members of the International Association of Machinists and Aerospace Workers (IAM) Local 175 (District 98) employed at the Harley-Davidson plant in York, Penn., have overwhelmingly ratified a new industry-leading 5-year collective bargaining agreement.

“We are glad that Harley-Davidson realized that a two-tier system for the workforce is not good for the bottom line,” said IAM Eastern Territory General Vice President David Sullivan. “This contract reflects IAM Local 175 members’ skills and dedication to making Harley-Davidson one of the most successful iconic brands in the world. I want to thank the negotiating committee for their patience in getting our members a deal that locks in increased wages and benefits.”

“Our members had concerns over the two-tier wage scale,” said IAM District 98 Assistant Directing Business Representative Kermit Forbes. “Their solidarity paid off, and together the membership won the day, eliminating the two-tier wage system at the end of the agreement. My thanks go out to the Negotiating Committee and the membership.”

The York facility is Harley-Davidson’s vehicle operations plant, assembles motorcycles, and performs other manufacturing functions.

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Missouri District 9 Builds Wheelchair Ramps in ‘HELPS’ Community Service Event

Members of IAM District 9 recently built two wheelchair ramps as a part of the IAM Midwest Territory’s “IAM H.E.L.P.S. in the Community” program. H.E.L.P.S. stands for Honoring, Engaging, Lifting, Providing, and Servicing.

The ramps, paid for by union member donations and built completely by IAM volunteers, were built for a family in need. More than a dozen volunteers showed up to build the two ramps required to access the home. District 9 raises money through raffles as part of their community services fund.

“My thanks to the volunteers and the entire committee,” said District 9 Community Services Coordinator Scott Hargis. “They show up when it counts – with volunteers who get the work done, and on their own time too. It’s truly priceless.”

“District 9 takes tremendous pride in our community service events,” said IAM District 9 Directing Business Representative Dave Weaver. “My thanks go out to Community Services Coordinator Scott Hargis and the entire committee for their efforts and hard work.”

“This is what service to the community is all about,” said IAM Midwest Territory General Vice President Steve Galloway. “Doing things for others, good deeds and being helpful, all of which in the end are not just satisfying, but rewarding. All of this is what the IAM motto stands for – service to the community.”

For more information on the IAM Midwest Territory’s “IAM H.E.L.P.S. in the Community” program, click here.

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