Costco – JetBlue Flight Attendants Reject Labor Deal Amid Coronavirus Journey Slowdown
Fmild attendants at JetBlue Airways (NASDAQ: JBLU) have rejected a tentative contract settlement strong between the airline and union leaders, together with an additional layer of uncertainty at a time when the airline is already dealing with a pandemic-related slowdown.
The airline’s flight attendants voted to unionize in April 2018, and the company and the Transport Workers Union (TWU) have been in talks a few contract. The two sides struck a deal late remaining month, subject to approval from the union’s 5,000 members.
Image provide: JetBlue.
JetBlue said Friday afternoon that the settlement was rejected by union memberships, though it didn’t disclose the margin of defeat.
“We’re disenchanted within the outcomes of the vote,” Ian Deason, JetBlue’s head of purchaser experience, said in an announcement. “Each the TWU and JetBlue labored by way of unprecedented circumstances to achieve an settlement that was honest to our inflight crewmembers. We’ll work with TWU to find out subsequent steps.”
The rejection is a blow to JetBlue as a result of it makes an try to scale back costs to journey out the COVID-19 catastrophe. Airlines have seen journey demand evaporate due to the pandemic, with JetBlue forecasting fourth-quarter earnings to be down 65% 12 months over 12 months.
There isn’t any speedy hazard of a strike or a chunk stoppage. Beneath the Railway Labor Act, which governs airline union negotiations, the two sides will return to the desk for model spanking new talks. Nevertheless given how commerce circumstances have deteriorated inside the two years given that preliminary union drive, it’s faraway from certain the union will probably be able to extract increased phrases inside the new spherical of negotiations.
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