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UAL Reaches Another Labor Pact

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From Bloomberg News

UAL Corp.’s United Airlines said Sunday that it reached a tentative agreement with its meteorologists’ union, the latest labor group to negotiate concessions the airline says it needs to avert a bankruptcy filing.

Details of the agreement, which was reached with leaders of the Transport Workers Union, weren’t released because they must first be shared with the union members, United said. The company employs about 20 meteorologists. The union members and United’s board and labor committee must all approve the agreement.

Unions have been negotiating with the world’s second-largest airline on how to achieve $5.8 billion in labor savings over 5 1/2 years. UAL has said it needs to cut costs to win a federal loan guarantee that will help it raise $2 billion and pay $945 million in debt before year’s end.

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The top union council for United’s pilots approved a concession plan Friday that would provide the company with $2.2 billion in labor savings over 5 1/2 years. Pilots must still approve the plan.

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