American Airlines reaches tentative deal with flight attendants

An American Airlines airplane takes off from Heathrow airport in London July 3, 2014. REUTERS/Luke MacGregor

By Jeffrey Dastin NEW YORK (Reuters) - American Airlines Group Inc said on Friday it struck a tentative contract agreement with the Association of Professional Flight Attendants, an important step in finalizing a deal with 24,500 U.S.-based stewards at the airline. If members of APFA ratify the agreement this fall, it will be the first contract passed since American merged with US Airways last year and the first that applies to workers from both carriers, while pilots and ticketing agents at the new American are far from reaching this stage. APFA would not disclose the agreement's content, which is still privy to the negotiating committees. However, an APFA spokesman said the terms were more generous than flight-attendant contracts at United Airlines Inc and Delta Air Lines Inc. "Our team was tenacious, they were well-prepared, and in the end they brought home an outstanding agreement," APFA President Laura Glading said in a news release. American's flight attendants had waited for a favorable contract since 2003, when they conceded about 30 percent of their wages and benefits as the airline's performance soured. They then lost another 20 percent in 2011 when American entered bankruptcy. When a merger became likely, APFA secured a promise from the US Airways management that contract negotiations would be expedited following the merger. This promise resulted in negotiations that lasted only 150 days, compared with most talks that drag out over several years. "To say that American is doing this merger correctly is an understatement," said APFA spokesman Anthony DeMaio. "We've learned from the other big mergers that (American) did not want the United-Continental experience where they've been in bargaining for years, facing furloughs." United was more than 2,000 flight attendants above capacity beginning in 2008, which resulted in voluntary and some involuntary furloughs at the airline. It announced on Sept. 15 that it was recalling those on furlough and offering its stewards a voluntary buyout of up to $100,000. "We are building an airline that will compete aggressively in a global marketplace. Today's tentative agreement with our flight attendants is another step forward in our integration," Doug Parker, chairman and CEO of American Airlines, said in a news release. US Airways flight attendants have yet to switch to American aircraft and vice versa. While US Airways and American pilots and ticketing agents have joined single unions, the groups have yet to start negotiations with the airline or determine the seniority of their members. A smaller group of flight attendants based in South America is not covered by the tentative agreement. (Reporting by Jeffrey Dastin in New York; Editing by Alwyn Scott and Andre Grenon)