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ATA Pilots to Vote on $6 Million Pay Cut

  • 12-30-2004
INDIANAPOLIS (AP) -- ATA Airlines pilots begin voting Thursday on whether to take a $6 million pay cut over the next four months. The voting will end Jan. 10, pilots union spokesman Rusty Ayers said Wednesday.þþATA, which filed for bankruptcy protection in October, negotiated the tentative concessions with the master executive council of the Air Line Pilots Association.þþIt would be the second set of concessions for the Indianapolis-based airline's 1,100 pilots. In late June, the pilots eliminated an annual pay increase.þþ``Reaching an agreement outside of bankruptcy court would allow us to retain some control over any changes to our contract,'' said ATA pilot Erik Engdahl, chairman of the council.þþThe latest package would cut pay, change some work rules and reduce ATA pension contributions by half.þþThe pay cuts would range from 8 percent to 15 percent depending on the type of aircraft flown by the affected pilots. Ayers said ATA is expected to seek more concessions as it proceeds with plans to downsize its fleet.þþThe new pilot package would be in place for 120 days as airline and union negotiators work on a permanent contract, according to the union. The pilots' current deal with ATA is open for amendment in June 2006.þþATA flight attendants also accepted a 10 percent pay cut this year.þþAn ATA spokeswoman did not return a message for comment Wednesday.þþA federal judge last week approved Southwest Airlines' $117 million deal with ATA Airlines, a package that gives ATA a cash infusion it needs to keep flying as it emerges from bankruptcy protection.þþUnder the deal, Dallas-based Southwest will add six of ATA's 14 Midway gates to its current 19, increasing its Midway capacity by nearly a third.þþATA, part of ATA Holdings Corp., is the nation's 10th-largest U.S. carrier based on revenue passenger miles and is the largest North American operator of commercial and military charters.þþþþ

Source: NY Times