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TWA, Union Reach Tentative Accord on Sweetened Contract

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From Associated Press

Trans World Airlines on Sunday reached a tentative agreement on new contract proposals with the union representing its flight attendants, mechanics and other workers after the airline’s previous offer appeared doomed to fail.

The International Assn. of Machinists and Aerospace Workers said it would cancel the rank-and-file voting that began last week and present the new contract offer to its 16,000 TWA members. It agreed there would be no work stoppages during the monthlong ratification process.

“The IAM will recommend to our members that they vote yes on ratification of these revised proposals, which represent a significant improvement over previous contract offers from TWA,” union official William O’Driscoll said.

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TWA Chief Executive Bill Compton said employees “deserve the increases in this contract,” calling the deal fair and one the company can afford.

Details of the pact will be released Tuesday. Workers will begin voting on it Wednesday.

On May 28, TWA presented what it described as its “last, best offer,” and the rank-and-file had been voting on it even though it did not have the approval of union leaders. The new deal nullifies the previous bid and those earlier votes.

The airline’s previous offer received little support. Union members had also cast ballots on whether to approve limited strikes targeting key flights during the Fourth of July weekend, typically one of the year’s busiest weekends for airlines.

The union is seeking payback for years of what the airline acknowledges were subpar wages and cuts in benefits and retirement plans.

TWA hasn’t turned a profit in 10 years. Since 1989, St. Louis-based TWA has lost more than $2 billion.

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