Key Hawaiian Airlines
labor hearing delayed

A bankruptcy judge yesterday postponed a hearing on whether to force a labor contract on Hawaiian Airlines pilots until this morning to allow further negotiations.

Hawaiian and its pilots union could not agree yesterday on whether to proceed with a hearing to determine the company's legal authority to impose a contract on the pilots.

"Both sides have very good reason to settle this," Bankruptcy Judge Robert Faris said. The alternative would be trusting the judge to make a decision that may not appeal to either side, Faris added.

The two sides held an all-night negotiating session that didn't end until 6 a.m. yesterday, and they later sniped at each other in court.

Bruce Bennett, attorney for Hawaiian Airlines trustee Joshua Gotbaum, told the judge he thought the two sides were close to a deal and there were a limited number of issues that could be resolved in time for an afternoon hearing yesterday.

But Richard Seltzer, counsel for the Air Line Pilots Association, said the pilots needed more time for negotiations.

Following an 80-minute recess, Bennett said in absence of a deal that he wanted to begin yesterday's hearing at 2:30 p.m.

But Seltzer said "it was the most counterproductive suggestion that (Bennett) could make," noting that some of the people needed for the hearing were in the negotiations.

The two sides resumed talks at noon yesterday.

Bennett also notified the court that the company needed to push back a Feb. 28 confirmation hearing on a reorganization plan until at least mid-March, because of unsettled negotiations.