1. BY: MITCHELL A. VASIN, ESQ.
AIRLINE LABOR LAW
BY: MITCHELL A. VASIN, ESQ.

2. PRESENTATION OVERVIEW
RAILWAY LABOR ACT
Why does it exist?
What is the purpose?
LABOR UNIONS UNDER THE RLA
Purpose and function of a union
Laws affecting union membership
AIRLINE MERGERS
Legal issues for organized labor
Seniority integration
Case study: the US Airways / American Airlines merger

3. ABOUT YOUR PRESENTER AVIATION EXPERIENCE LABOR UNION EXPERIENCE
Started taking flying lessons in high school (1990)
BS Aeronautical Science 1996 ERAU Prescott
Airline Transport Pilot, type rated in ATR42/72, B737, A320 series
18 years in the airline industry, 11 years at America West / US Airways / American Airlines
Over 12,000 hours of flight time
LABOR UNION EXPERIENCE
Over 15 years experience
Union officer
Contract enforcement (grievance / arbitration)
Legal campaign organizer & participant
LEGAL EXPERIENCE
Juris Doctor 2013 Arizona Summit Law School
Arizona Supreme Court extern
Fisher & Phillips LLP (national labor and employment law firm)
Vasin Law Office PLLC: family law practice focusing on airline employees

4. THE RAILWAY LABOR ACT

5. THE RAILWAY LABOR ACT
A century ago, the railroads were the country’s lifeblood.
The state of employment law at the time resulted in numerous disruptions to railroad service.
Subject to varying state laws
Carriers regularly interfered with union organizing
Expiring contracts
No streamlined dispute resolution
Congress, with support of both airline labor and management, responded by passing a comprehensive set of statutes designed to promote labor peace and minimize disruption of rail service.

6. THE RAILWAY LABOR ACT

7. THE RAILWAY LABOR ACT GENERAL PURPOSES OF THE R.L.A.
Prevent interruptions to carrier service;
Contracts do not expire
No strikes or lockouts unless NMB authorizes otherwise
Freedom to form and join unions;
Carriers cannot interfere with union affairs
NMB designates the unions
Prompt and orderly settlement of contract negotiations;
NMB - mediation services
Limitations on right to strike
Prompt and orderly settlement of contract disputes.
Federal courts generally do not have jurisdiction over labor disputes

8. LABOR UNIONS UNDER THE RLA

9. LABOR UNIONS UNDER THE RLA
PURPOSE AND FUNCTIONS:
Exclusive bargaining agent on behalf of the entire work group (craft / class).
The exclusive party to all collective bargaining agreements
Subject to its political structure, and its own internal policies and procedures.

10. LABOR UNIONS UNDER THE RLA
A NON-UNION AIRLINE

11. LABOR UNIONS UNDER THE RLA
A UNIONIZED AIRLINE

12. LABOR UNIONS UNDER THE RLA
UNION MEMBER RIGHTS
Railway Labor Act
Union dues
Duty of fair representation
Landrum-Griffin Act: 29 U.S.C. §§ (1959)
Protects union participation, elections, and financial management
Title VII: 42 U.S.C. 2000e-2(c) et seq. (1964)
Prevents discrimination based upon race, color, national origin, etc.
Union constitution (common law)
Governs the union’s internal workings

13. LABOR UNIONS UNDER THE RLA
UNION MEMBER RIGHTS: Union Dues
Union constitution & by-laws
Most pilot unions charge a percentage of your gross income
Provisions for additional assessments
Collective bargaining agreement
Agency shop clauses
“Beck objectors”
Communication Workers of America (“CWA”) v. Beck, 487 U.S. 735 (1988)

14. LABOR UNIONS UNDER THE RLA
UNION MEMBER RIGHTS: Duty of Fair Representation (“DFR”) A union has a “duty to exercise fairly the power conferred upon it in behalf of all those for whom it acts, without hostile discrimination against them.” Steele v. Louisville & Nashville R.R., 323 U.S. 192 (1944) A union breaches the duty if its conduct is either arbitrary, discriminatory, or in bad faith. Vaca v. Sipes, 386 U.S. 171 (1967). “Any substantive examination of a union's performance, therefore, must be highly deferential, recognizing the wide latitude that negotiators need for the effective performance of their bargaining responsibilities.” Air Line Pilots Assoc. v. O’Neill, 499 U.S. 65 (1991).

15. LABOR UNIONS UNDER THE RLA
LANDRUM-GRIFFIN ACT OF 1959
Also known as the Labor Management Reporting and Disclosure Act or “LMRDA”
Passed in the wake of two high profile union corruption scandals
Main tenets:
Union Member Bill Of Rights (Title I)
Government oversight of union elections and finances
Department of Labor Office of Labor Management Standards (“DOL-OLMS”)
Enforcement authority of union members by civil lawsuit
Civil and criminal sanctions for union officers who violate the LMRDA

16. LABOR UNIONS UNDER THE RLA
UNION CONSTITUTION (RLA, LMRDA, common law)
Details political structure and membership rights
Other rights exist under federal law that supersede the constitution
Serves as a contract between each member and the union
Nonmembers are not subject to the constitution
Union afforded a tremendous amount of latitude in interpreting its own constitution

17. LABOR UNIONS UNDER THE RLA
UNION POLITICAL STRUCTURE

18. LABOR UNIONS UNDER THE RLA
UNION MEMBER
NONMEMBER
FINANCIAL OBLIGATION
YES
(Dues and assessments per union constitution)
(Agency fee / germane expenses)
SUBJECT TO COLLECTIVE BARGAINING AGREEMENT
SUBJECT TO UNION CONSTITUTION NO
PROTECTED BY DUTY OF FAIR REPRESENTATION
RIGHT TO VOTE FOR REPRESENTATIVES & CONTRACT
RIGHT TO VOTE FOR A NEW UNION

19. AIRLINE MERGERS

20. AIRLINE MERGERS LAWS AFFECTING LABOR Railway Labor Act
Collective bargaining: combined collective bargaining agreement
NMB: single carrier / change of bargaining agent
Seniority Integration
McCaskill-Bond statute: 49 U.S.C (2007)
Bankruptcy Code
Rejection of Collective Bargaining Agreements : 11 U.S.C (1984)

21. AIRLINE MERGERS THE SENIORITY SYSTEM
Seniority is a CBA provision, generally governing:
Advancement / furlough
Monthly schedules
Annual vacation dates
Standby travel priority
Other provisions

22. AIRLINE MERGERS
SENIORITY INTEGRATION

23. AIRLINE MERGERS HISTORY OF SENIORITY INTEGRATION
Civil Aeronautics Board (1938)
Developed and required a seniority integration process, known as Allegheny- Mohawk LPPs §§ 3, 13
Deregulation (1978)
Seniority integration fell back into the collective bargaining process under the Railway Labor Act – a “free for all”
McCaskill-Bond statute (2007)
In response to American Airlines’ acquisition of TWA; too many lopsided integrations

24. AIRLINE MERGERS 2013 AMERICAN AIRLINES / US AIRWAYS MERGER
November 29, 2011
American Airlines files for Chapter 11 bankruptcy
March 2012
American Airlines announces plans to terminate CBAs via 1113(c)
April 20, 2012
American Airlines unions announce CLA with US Airways management, begins CBA negotiations
August 8, 2012
AA pilots reject tentative agreement
August 16, 2012
Bankruptcy court rejects American Airlines’ 1113(c) motion.
December 7, 2012
AA pilots ratify tentative agreement thereby avoiding 1113(c) motion
February 8, 2013
US Airways pilots ratify CLA

25. AIRLINE MERGERS 2013 AMERICAN AIRLINES / US AIRWAYS MERGER
February 14, 2013
Merger officially announced
August 12, 2013
Department of Justice and 5 states sue to block merger (Sherman Act of 1890)
November 12, 2013
DOJ and AA settle lawsuit, greenlighting the merger
December 5, 2013
US Airways / American Airlines merger officially consummates

26. AIRLINE MERGERS 2013 AMERICAN AIRLINES / US AIRWAYS MERGER
January 14, 2014
Allied Pilots Association (“APA”) files single carrier petition with the National Mediation Board (“NMB”)
March 4, 2014
US Airline Pilots Association (“USAPA”) files lawsuit against APA alleging violation of McCaskill-Bond statute
September 4, 2014
USAPA and APA reach agreement regarding seniority integration protocol; settle lawsuit
September 16, 2014
APA certified as the bargaining agent for all American Airlines pilots
Negotiations for a Joint Collective Bargaining Agreement (“JCBA”) commence
January 30, 2015
JCBA ratified
June – October 2015
Seniority integration arbitration hearings

27. QUESTIONS????