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Another vote for United

Union leaders hope contract will pass


By Dave Carpenter
Associated Press

CHICAGO >> On the eve of United Airlines mechanics' second strike vote in three weeks, union officials expressed hope yesterday a contract agreement will be ratified. But they proceeded with preparations for a mid-week walkout just in case.

United Air Lines Investors showed their optimism ahead of today's vote, sending the stock of United parent UAL Corp. on its biggest one-day rally since before the Sept. 11 attacks. Shares fell 87 cents to $15.53 today on the New York Stock Exchange. The stock rose yesterday with signs of improvement in the airline industry also contributing.

If the 12,800 United mechanics and aircraft cleaners reject the pact reached Feb. 18 and opt to strike, a nationwide walkout could begin at 7:01 p.m. Hawaii time tomorrow, shutting down the nation's No. 2 airline.

That's considered far less likely than it was last month, particularly since the International Association of Machinists and Aerospace Workers has endorsed the tentative deal. The union took a neutral stance on the previous offer, which was crafted by a presidential emergency board, and went back to negotiate improvements that observers think will help reverse the Feb. 12 outcome.

"We're still recommending a 'yes' vote, and we hope the contract ratifies," said Tom Reardon, assistant general chairman of the IAM. "But we're preparing in the event that it doesn't."

Picket signs have been made up and strike assignments are being given, he said.

Approval would end a bitter two-year contract dispute and give mechanics their first raise since 1994.

The tentative pact would grant pay raises of as much as 37 percent for the most senior mechanics, increase their wages from the current $25.60 an hour to $35.14, or about $73,000 a year. Among other changes made to the previous offer, it sweetened workers' retroactive pay and removed a controversial provision requiring mechanics to agree to unspecified future concessions.

Still to be resolved is another contract dispute between United and its 23,000 baggage handlers, customer service representatives and reservation agents. Talks are under way in Chicago this week.

Once those two contracts are settled, UAL chief executive Jack Creighton is expected to push for wage givebacks that he says the airline's employees must make if United is to pull out of its financial crisis.

Union leaders expect talks on that touchy subject to last several months before being put to a vote by members.



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