Washington: Delta Air Lines Inc, FedEx Corp and other carriers lost a court bid to block a new federal rule that makes it easier for unions to organise employees into collective bargaining units.
US District Judge Paul Friedman in Washington upheld a change in union voting procedures that lets airline and railway workers form bargaining units with approval from the majority casting ballots rather than a majority of potential members. The Air Transport Association, an industry trade group, claimed the shift was arbitrary and illegal. The rule is effective on July 1.
"Non-participation rates are high," Tamra Moore, an attorney for the National Mediation Board, the panel that issued the rule, said in a June 21 hearing. "That doesn't mean they don't want representation. There are many reasons why people don't vote."
Last step
The association's lawsuit was a last step in the airlines' battle to turn aside a regulation that could ease the way for organising the remaining carriers that lack company wide union representation, such as Delta, FedEx and JetBlue Airways Corp. Others participating in the suit were AirTran Holdings Inc, Alaska Air Group Inc and Hawaiian Holdings Inc, according to an Air Transport Association statement.
The three-member board, which under the 1926 Railway Labour Act referees labour-management relations at railways and airlines, approved the change in May after a request by the AFL- CIO, the largest US federation of labour unions.
Under the new rule, unreturned ballots are no longer counted as "no" votes. The association argued that by making a change in the 75-year-old rule, a minority of the employees would be able to make decisions on unionisation for the majority. The association's complaint pointed out that the rule was changed by a 2-1 vote, with two appointees of President Barack Obama in the majority against a holdover from President George W. Bush's administration.
"We are disappointed with the court's ruling and believe the National Mediation Board does not have the authority to impose this new rule," the association said in an emailed statement.
"We will thoroughly study the decision to determine what, if any steps ATA will take, including exercising our right to appeal the ruling."
Cabin crew call off strike
A trade union representing 12,000 flight attendants at British Airways Plc called off a strike ballot scheduled for this week to consider a new offer on pay.
The airline, Europe's third-biggest, made the offer on June 25 in an effort to prevent the resumption of strike action in a 17-month dispute over staffing levels and future wages.
Tony Woodley, secretary general of Unite, the union representing the cabin crew, said the strike ballot would be postponed in an interview broadcast on Sky News yesterday.
British Airways offered to increase allowances for existing crew once new recruits join their ranks later this year, drop plans to reduce benefits to fund higher staffing levels on some flights, and lift salaries for two years starting in 2011.
The proposals didn't address the removal of travel perks, the suspension of strikers and the use of volunteer crews, issues that Unite says must be resolved before a deal on a wider cost-cutting plan can be made. Walkouts have forced British Airways to ground flights on 22 days since March 20.
"We welcome this statement from the Unite leadership," British Airways said in an emailed statement. "We believe our offer is fair and reasonable and provides a genuine opportunity to end this dispute."
