IAM Chooses Lesser of Two Evils At Northwest Airlines - 05/24/06

By Jesse Russell

A deal has been made between Northwest Airlines and baggage handlers represented by the International Association of Machinists. Nearly 700 jobs could be lost under the new proposal, but the union says originally the airline was seeking to cut 3,100 jobs. If the contract is approved by members it could result in wage cuts of up to 11.5 percent, less vacation days and reduced sick pay. The IAM is unhappy with the proposal, but sees it as the lesser of two evils - they decided to take what NWA had left on the table just hours before a bankruptcy court was able to free the airline to impose a contract on the employees. Other items in the contract include allowing the airline to outsource work at airports not considered to be on Northwest’s "mainline," having employees pay 15 percent of the cost for their health insurance premium and freezes the current pension plan. A date for the members to vote on the contract has not been set.