United Airline's flight attendants union agreed last night to pay cuts that would bring the carrier $412 million in savings over the next five-and-a-half years, labor leaders announced.
The tentative agreement, after several days of talks, comes one week after the pilots' union at United, the second-largest US carrier, agreed to cuts totaling $2.2 billion.
"The sacrifices we are now considering will enable our airline to . . . avoid bankruptcy and return our airline to premier status in the airline industry," said Mr Greg Davidowitch, president of the 26,000-member flight attendants' union, in a letter to the membership.
United has been losing about $9 million per day and risks going belly up without substantial union concessions, airline officials have said.
Union membership must approve the pay deal, which comes just two days after United announced it intended to lay off 2,700 flight attendants beginning January 31st, 2003, which would bring to 4,800 the total number of flight attendants laid off.
AFP