Catherwood LibraryILR School

Outraged by an apparent attempt to scare 45,000 United Airlines employees into giving concessions at the bargaining table, the president of the International Association of Machinists has called on United's board of directors to begin searching for a replacement for James E. Goodwin, the current chairman. The alleged scare tactic is a recent letter from Mr. Goodwin (see October 17, 2001 WIT), warning that the company will "perish" if it does not save money---a move that many employees feel is aimed at influencing the current negotiations between United and the IAM. The IAM's request carries significantly more weight than would a similar request at most companies, as there are two union members on United's board of directors, and employees own a majority of the company's stock.