ALPA Sues Pinnacle

When Pinnacle Airlines unilaterally implemented pilot bonus programs by changing pay and working conditions of the pilots, Pinnacle violated the Railway Labor Act (RLA), according to the Air Line Pilots Association (ALPA), which said the airline should have first bargained and reached agreement with the...

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When Pinnacle Airlines unilaterally implemented pilot bonus programs by changing pay and working conditions of the pilots, Pinnacle violated the Railway Labor Act (RLA), according to the Air Line Pilots Association (ALPA), which said the airline should have first bargained and reached agreement with the pilot’s union. As a result ALPA, which represents Pinnacle pilots, filed suit in U.S. District Court . Pinnacle pilots and management have been negotiating for a new contract since February 2005, and have been in federally mediated negotiations since September 2006.
Pinnacle called the suit totally without merit. However, President and CEO Phil Trenary expressed frustration with the negotiations. Speaking during the Q3 conference call he twice said that they’ve thought they had an agreement, complete with handshake only to find out later the goal posts had moved. “We feel like Charlie Brown and Lucy with the football,” he said.
"Pinnacle management is circumventing the law in its attempt to address our pilot shortage, which is caused by low pay and inferior working conditions,” said Capt. John Prater, president of ALPA. “The company should be focused on working cooperatively with ALPA at the bargaining table for a comprehensive solution to improve pay and working conditions for all Pinnacle pilots as quickly as possible. We cannot and will not allow any management team to undermine our union's legal right to negotiate fair wages and work rules for pilots."
ALPA reported that Pinnacle management met with union leaders a few months ago to discuss the implementation of bonus programs to recruit new pilots and to reward existing employees who referred a pilot, ultimately hired by the company. At the time, ALPA said such programs were illegal unless they were negotiated with the union because they altered the current "rates of pay, rules and working conditions of Pinnacle pilots without prior negotiation. The union said it offered Pinnacle help with its pilot shortage as well as its recruitment and retention problems by “properly negotiating a bonus program as part of overall pay and working condition improvements in the negotiations for a new contract.” ALPA said management rejected the proposal.
“ALPA believes that Pinnacle's actions are designed to evade the union and the carrier's collective bargaining obligations,” said the union in its press release. “ALPA is therefore asking the court to direct Pinnacle to properly deal with ALPA as the exclusive collective bargaining representative of Pinnacle pilots, to bargain in good faith and complete all required mediation procedures under the RLA before implementing such changes to Pinnacle pilots' pay and working conditions.” It also wants Pinnacle to refrain from otherwise undermining ALPA as the bargaining representative and for the court to require Pinnacle to cease and desist from using bonus programs without first gaining agreement with the union.