Even as it tries to win $5.8 billion in labor cost concessions it says are necessary to qualify for federal loan guarantees and avoid bankruptcy (see WIT for Aug. 26, 2002), United Airlines today announced that it will cut 1,250 jobs. United is well past its self-imposed deadline for reapplying for the guarantees from the Air Transportation Stabilization Board (see WIT for Sep. 27, 2002), and is still negotiating with unions representing pilots, mechanics, flight attendants, reservation and ticket agents over the size of the concessions needed (see WIT for Aug. 26, 2002). The International Association of Machinists (IAM)---which represents over 1,000 of the workers to be laid off, and has been particularly critical of the magnitude of concessions demanded (see WIT for Oct. 11, 2002)---met today with the company to discuss the layoffs.
See "United Plans to Cut1.4 Billion in Operations and 1,250 Jobs", EDWARD WONG, The New York Times, October 21, 2002