Airline, Pilots Agree to Cost-Cutting Plan
From Times Wire Reports
US Airways and its pilots union announced they had tentatively cleared obstacles to a cost-cutting plan aimed at resuscitating the struggling airline, moving the carrier closer to meeting conditions for a potentially lifesaving loan.
The pilots already have agreed to a 26% pay cut. Under the final negotiations, they would receive a 20% equity stake in the company and a union member seat on the company’s board of directors, said Roy Freundlich, an Air Line Pilots Assn. representative. But they would forgo furlough protections, giving the company latitude to let more pilots go, he added.
The plan must be approved in a union vote.
