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Northwest
Airlines Back In Hiring Mode
Furloughed
Northwest Airlines pilots are responding
to the carrier's new hiring call. The Associated
Press more than 1,400 pilots have applied
to join Northwest, including more than 1,000
applications in the first eight days after
the new recruitment was announced on July
24.The report also cites Northwest's plan
to hire 250 to 350 new pilots in the next
year. It has also recalled nearly 400 furloughed
pilots. Those pilots need some training
before they can begin flying again, but
230 of them were at the controls by Aug.
1, and 40 more will be flying by the end
of the month, Northwest said. Northwest
canceled hundreds of flights at the end
of June and July because it did not have
enough pilots.
The
Airline Pilots Association recently
ratified an agreement with Northwest Airlines
management on contract issues and work rules.
Both groups report the new contract will
help improve the airline's operational performance
and reliability. Northwest wants to continue
discussions with each of its unions to explore
cost-neutral ways to improve employees work
environment, and the airline also has established
a Summer Reliability Incentive Program under
which all contract employees, including
pilots, will receive incentive pay equal
to 15 percent of eligible earnings, up to
$1,000, for achieving appropriate attendance
standards from Aug. 4 through Sept. 3, 2007,
inclusive.
New Contract
for Flight Attendants
In other news, the airline's management
and the flight attendant union leaders approved
a new contract agreement. Under the new
agreement, the airline's flight attendants
will receive a $182 million secured claim,
which will be sold for cash and distributed
when the company leaves bankruptcy protection.
Northwest exited bankruptcy protection just
two weeks ago. The carrier ended its 19-month
bankruptcy on May 31 with $2.5 billion in
annual cost savings and an equity value
of about $7.8 billion.
In July, Northwest with approval from
a bankruptcy judge, imposed $195 million
in concessions on its flight attendants
after they voted down two contract proposals.
In contrast, employees will each benefit
from an estimated $15,000 payout in their
hands in exchange for their concessions.
By approving the new contract, flight attendants
will split up a $182 million claim in Northwest's
bankruptcy reorganization.
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Northwest Airlines is one of the world's
largest airlines with hubs at Detroit, Minneapolis/St.
Paul, Memphis, Tokyo and Amsterdam, and
approximately 1,400 daily departures. Northwest
is a member of SkyTeam, an airline alliance
that offers customers one of the world's
most extensive global networks. Northwest
and its travel partners serve more than
1,000 cities in excess of 160 countries
on six continents. As you can imagine, its
fleet is sizeable, including the venerable
Boeing 747. Enjoy this week's video clip
of a classic Northwest Airlines jet in action.
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