IAM concludes negotiations at United

USA: In mid May, after two years of difficult negotiations, the International Association of Machinists and Aerospace Workers (IAM) and United Airlines (UAL) reached an agreement for new collective contracts covering over 25,000 UAL employees. Those covered by the new agreements work in ramp services, stores, public contact, food services and security, plus some 500 newly-organised members at Mileage Plus Inc., a wholly-owned UAL subsidiary. According to the IAM, which is affiliated at global level to the International Metalworkers' Federation, 88 per cent of the Mileage Plus membership, who were voting for the first time, approved their agreement, and over 78 per cent at UAL voted in favour of ratifying their 4.3-year agreements, whose terms include wage and overall compensation improvements "making IAM members at United industry leaders once again." Base pay for senior ramp workers will increase to $25.06 over the life of the agreement, and for customer service agents pay will rise from $19.74 to $26.02. In 1994, to protect jobs, UAL employees took a substantial cut in pay. The company has an Employee Stock Ownership Plan and is majority-owned by the employees. In March 2002, in separate negotiations, the IAM and UAL concluded a 5-year agreement for 13,000 mechanics and related employees. The IAM is the largest airline union in North America, representing 150,000 air and rail members throughout the U.S. and Canada.