This article from NYTimes.com has been sent to you by psa188@juno.com. /-------------------- advertisement -----------------------\ Enjoy new investment freedom! Get the tools you need to successfully manage your portfolio from Harrisdirect. Start with award-winning research. Then add access to round-the-clock customer service from Series-7 trained representatives. Open an account today and receive a $100 credit! http://www.nytimes.com/ads/Harrisdirect.html \----------------------------------------------------------/ UAL and Union Reach Tentative Agreement April 26, 2002 By EDWARD WONG United Airlines and a union representing more than 23,000 ground workers reached a tentative agreement last night on a contract that would increase the workers' pay above 1994 levels, making the wages the highest in the industry. The contract came after more than two years of negotiations and, if ratified, will pave the way for United executives to talk to union leaders about wage concessions in an effort to return the company to profitability. The contract between the UAL Corporation, United's parent, and District 141 of the International Association of Machinists and Aerospace Workers, would last until Nov. 1, 2004. The workers, who include ramp and food service employees, customer service representatives, and security guards, would receive a 15 percent raise retroactive to July 12, 2000, a 7 percent increase on the date of signing and 3.5 percent increases in the summers of 2003 and 2004. Top base pay for ramp workers will increase to $25.06 an hour, and to $26.02 for customer service representatives. The contract will be put up for a vote at chapter meetings some time in the next several weeks, said Joe Tiberi, a union spokesman. "This is a forward-looking agreement," Randy Canale, district president and the lead negotiator, said in a written statement. "The industry is struggling today, but indicators are starting to point to recovery. These contracts reflect our members' hard work and the success we believe United is capable of." United reached a contract agreement in February with District 141M, a union branch that represents 13,000 mechanics and cleaning-crew workers. Those workers voted last month in favor of the new terms, leaving the contract with District 141 the only outstanding one in the airline. Both sides were close to reaching a settlement before the Sept. 11 attacks prompted United to eliminate 20,000 jobs. Jack Creighton, chief executive of United, said in a statement yesterday, "As we said when agreement was reached with District 141M last month, reaching an agreement with District 141 is a milestone in developing a recovery plan that meets the needs of passengers, preserves jobs and puts the company on the road to financial stability." United, the only employee-owned airline, has struggled more than most of its competitors since Sept. 11 and reported a first-quarter net loss last week of $510 million. It lost $2.1 billion last year, setting an industry record, and has not been profitable for two years. Mr. Creighton met yesterday afternoon with leaders of five of the airline's six unions to talk about concessions. But District 141 boycotted the meeting and will not meet with Mr. Creighton until the agreement has been ratified, Mr. Tiberi said. Negotiators from both sides had been meeting since Monday at a hotel near O'Hare International Airport in Chicago, and the agreement was reached about 7 p.m. yesterday. Union leaders had said that they would ask the National Mediation Board for a cooling-off period if no settlement was reached by the end of the week. That they canceled a meeting with the board yesterday in Washington signaled that they were close to an agreement. In a separate negotiation, United also reached an agreement with 500 workers represented by the union at its Mileage Plus subsidiary. http://www.nytimes.com/2002/04/26/business/26AIR.html?ex=1020840991&ei=1&en=9f37ad4335190fbb HOW TO ADVERTISE --------------------------------- For information on advertising in e-mail newsletters or other creative advertising opportunities with The New York Times on the Web, please contact onlinesales@nytimes.com or visit our online media kit at http://www.nytimes.com/adinfo For general information about NYTimes.com, write to help@nytimes.com. Copyright 2002 The New York Times Company