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Judge Halts US Airways Maintenance Outsourcing

  • 10-22-2003
US Airways machinists won a key court battle Tuesday when a federal judge granted an injunction preventing the airline from outsourcing maintenance on 10 of its newest jets.þþThe decision, which the airline is appealing, affects only US Airways, but it sends a message to other airlines to be careful that they do not violate their labor contracts when subcontracting to third parties.þþOutsourcing has become a contentious issue during labor negotiations and a reason for bitter frustration when mechanics' jobs disappear after their work is subcontracted to other companies.þþLast spring, more than 1,100 mechanics found themselves out of work when United Airlines closed an $800 million heavy maintenance facility in Indianapolis. Northwest Airlines has cut about one-third of its mechanics since 2001 while expanding its use of outside contractors.þþAirlines would like to outsource as much work as possible to cut costs, said George Hopkins, a professor and labor expert at Western Illinois University.þþÿIf the bottom line is all that matters, then the one who outsources the most will be most successful in the marketplace,ÿ Hopkins said.þþIn this case, US Airways said it hired an outside firm--ST Mobile Aerospace Engineering Inc. in Mobile, Ala.--for the first round of heavy maintenance on 10 Airbus jets because the airline did not have the facilities to do the work in-house.þþUS Airways, which emerged from bankruptcy in March, has been looking into the feasibility of building a facility and buying equipment for the work.þþThe International Association of Machinists and Aerospace Workers contends the airline has the capability to perform the maintenance work and in early October requested an injunction, saying the airline was violating its contract.þþÿThe court recognized the harm US Airways' actions would have inflicted on our membership,ÿ union General Vice President Robert Roach Jr. said in a statement.þþÿUS Airways' ill-advised attempt to violate our collective bargaining agreement did nothing but aggravate an already tense worker-management relationship,ÿ Roach said.þþAlthough maintenance work on the first two aircraft was halted immediately, the airline is seeking to overturn the decision.þþÿWe are surprised by the court's ruling,ÿ the airline said in a statement. ÿWe immediately will seek an emergency stay of the order. ... We are confident that our position will prevail in the appellate court.ÿþþ

Source: Chicago Tribune