NYTimes.com Article: US Air and Union in Dispute on Overhauls

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US Air and Union in Dispute on Overhauls

October 7, 2003





By Bloomberg News

The US Airways Group, which emerged from bankruptcy
protection this year, said yesterday that it had hired a
Singapore unit of Technologies Engineering to overhaul 10
aircraft. The airline's mechanics' union will seek to block
the action.

US Airways, which is based in Arlington, Va., lacks the
space and the equipment to work on Airbus SAS A319 planes
and will contract with ST Mobile Aerospace Engineering,
which is based in Mobile, Ala., and is part of Singapore
Technologies, the airline said.

The International Association of Machinists, which
represents mechanics, said it would seek a temporary
restraining order in Federal District Court in Pittsburgh
to block US Airways' action.

Airlines in the United States have been increasing the use
of contractors for maintenance in recent years to cut
costs. As part of the financial reworking of US Airways,
the company and the union agreed on lower wages and new
work rules to help reduce costs.

No layoffs will result by using ST Mobile, the airline
said.

The labor contract bars subcontracting of major
maintenance, the union said. "We already have members who
are laid off and this work is rightfully theirs," a
machinists spokesman, Joe Tiberi, said.

A spokesman for the airline, David Castelveter, disputed
the union's assertion that US Airways employees were
entitled to the work. US Airways has not overhauled its
Airbus fleet, and because the company lacks the space and
the equipment, a contractor can be hired for the work, he
said.

http://www.nytimes.com/2003/10/07/business/07USAI.html?ex=1066531930&ei=1&en=56f2b05d42931d27


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