November 22, 2024
Participants for AMFA
Bret Oestreich – National President
Will Abbott – Region II Director
Jason Salazar – Airline Representative
Ernest Harris – Member at Large
Lucas Middlebrook – Legal Counsel
Peter Manikowski – Economist
Participants for Spirit Airlines
Robert Jones – Vice President, Labor Relations
Jackson Fowler – Corporate Counsel, Labor Relations
Barney Whaley – Regional Director Maintenance
Joe Harmon– Sr. Manager, Maintenance
The AMFA-Spirit Negotiating Committee (the “Committee”) is providing this update to the Membership at Spirit Airlines (“Spirit”). This is the only officially authorized source of negotiating communications by the Committee.
The parties held a three-day bargaining session, November 12-14, in Fort Lauderdale at Company HQ to continue bargaining toward a first collective bargaining agreement (CBA) for the Spirit group. This was our fifth session in mediation with the National Mediation Board (“Board”).
Day 1 was scheduled as a half-day. AMFA was prepared and presented counterproposals to three articles for which it owed responses: Article 8 – Training; Article 9 – Field Service; and Article 10 – Management Rights. AMFA made significant movement toward the Company with its Management Rights counterproposal. In addition, AMFA once again worked to seek resolution to the payment of expenses when you are assigned to training and field service away from your station. AMFA also proposed deferring further discussion on the economic components of Field Service until the parties reach a comprehensive financial stage of negotiations. The Company, unfortunately, was wholly unprepared on Day 1 to present any of the articles for which it owed responses from the prior session. AMFA spent the remainder of Day 1 in caucus working on a counterproposal to Article 12 – Furlough and Recall.
Shortly after concluding Day 1, the Wall Street Journal reported news that potential merger discussions between Spirit and Frontier had broken down and a bankruptcy filing from Spirit was imminent. AMFA’s negotiating team learned of this in the same manner as the public – through news reports. In a display of poor labor relations, the Company failed to provide your Committee with any advance notice of this news despite the parties spending the entire day together at Company HQ. This lack of communication leads to distrust between the parties, which is not conducive to a productive labor relationship. Spirit must do better.
The parties spent the entirety of Day 2 discussing issues related to the possibility of impending bankruptcy. Your Committee also spent considerable time on Day 2 in discussion with the mediator and in caucus formulating questions related to the bankruptcy-related news reports.
At the outset of Day 3, your Committee met with the Company and the mediator to review questions related to the potentially imminent bankruptcy filing and thereafter discussed those issues internally in caucus. As the parties were nearing the afternoon on Day 3, your Committee had to press the Company for responses to the three articles presented by AMFA on Day 1. The Company finally returned with responses to those articles. The Company’s responses made some movement on the outstanding issues, but no tentative agreements were reached. AMFA has made a point to seek common ground on difficult issues to reach prompt agreement on a tentative CBA; however, Spirit has not reciprocated in this respect and continues to lag in terms of negotiating productivity. Spirit failed to pass counterproposals on any of the articles for which it owed responses from the October session. This is unacceptable and at odds with the responsibility to be prepared to bargain in good faith each session.
In AMFA’s opinion, Spirit’s current financial position is a result of corporate mismanagement at the hands of its executives and other relevant decision-makers. As such, AMFA will resist all efforts by Spirit to shift the consequences of such corporate mismanagement onto the backs of its hardworking mechanics and related employees. We advised Spirit, in no uncertain terms, of AMFA’s position that a bankruptcy filing does not relieve the Company of its legal obligation under the Railway Labor Act to continue bargaining in good faith toward a first CBA.
We know, with the bankruptcy filing, that these are uncertain and stressful times. AMFA, as your chosen representative, will continue to bargain aggressively on your behalf. We are also committed to pressing the Company for answers, protections, and assurances as it relates to the bankruptcy filing or the uncertain economics in which Spirit finds itself. Members of your Negotiating Committee and AMFA’s legal team have been through airline bankruptcies before, and we understand what you might be feeling. Please contact your ALR if you want to discuss what is happening or might happen next, and we will get you as much information as possible.
The National Mediation Board has informed the parties that it has assigned a new mediator to our case starting in December. The parties have scheduled a partial day to meet in December electronically to meet the new mediator and discuss scheduling and logistics. The next in-person bargaining dates are scheduled for January 21-23 at a location to be determined by the new mediator. Remember – stay engaged, remain informed, and continue to support the Negotiating Committee as that support increases the ability to bargain a CBA your hard work deserves.
Fraternally,
AMFA-Spirit Negotiating Committee
