Mesaba backs down on billing ex-pilots

[JEP]

Their airline dropped plans to collect training costs from first-year pilots who resigned before they were to be furloughed.

Liz Fedor, Star Tribune Last update: April 28, 2006 – 8:34 PM


Mesaba Airlines has abandoned plans to force its former first-year pilots to reimburse the company for training costs because they left the airline before they were furloughed.

Pilots union chairman Tom Wychor said Friday that management reversed its position after the union met with company President John Spanjers.

Earlier this month, pilots got letters from Mesaba telling them they would have to pay thousands of dollars within 30 days or be turned over to a collection agency. Management sent the letters because it was strictly adhering to a training contract that calls for pilots to pay back part of their $21,000 in training costs if they leave the airline before flying one year for the carrier.

Wychor said that policy historically has not been enforced. The union argued that the move was unduly punitive because the first-year pilots, who had been paid $21,000 a year at Mesaba, left the bankrupt airline because they found other jobs rather than wait to be furloughed.
Wychor stressed that the pilots had no option to remain at Mesaba.

"We were prepared to go to all lengths to protect these individuals," Wychor said. "I am very pleased that the company took the time to look into the situation and come up with a good decision to let these pilots move on in their careers."

Neither the company nor the union revealed how many pilots received the warning letters.

Mesaba spokeswoman Elizabeth Costello said, "We looked into this issue and we determined the right thing to do was not to enforce the contract provision in this matter."

Bankrupt Mesaba is in contract negotiations with the pilots, flight attendants and mechanics unions and is attempting to slash its labor costs by 19.4 percent.

In a courtroom conference Friday, Mesaba attorney Michael Meyer told U.S. Bankruptcy Judge Gregory Kishel that pilot and company negotiators met this week with two mediators, and the involvement of the third parties has been "constructive." Meyer said the two sides are "moving in the right direction," but are "not anywhere close to a deal."

Joe Vitale, an attorney for the Air Line Pilots Association, concurred with Meyer's assessment. Because of scheduling conflicts, the pilot and management negotiating teams will be unable to meet with the mediators until May 9.

"I certainly hope the mediators can do some magic," Kishel said.

The two sides are working against a May 11 deadline to reach labor pacts. If they don't meet it, the judge could grant a further extension or allow the existing labor contracts to be voided. Mesaba then could impose new pay rates and work rules on union workers. Management talks with the flight attendants and mechanics are scheduled to resume next week.
Liz Fedor • 612-673-7709

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[pilot602]

Mesaba spokeswoman Elizabeth Costello said, "We looked into this issue and we determined the right thing to do was not to enforce the contract provision in this matter."

Uh no ... they realized by pursuing these contracts they were opening themselves up to a massive class-action lawsuit.

These contracts work two ways the pilot "promises" to stay for a year and in essence the company is saying the company will have work for the individual for a year.

At the end of the day we still all pay for our training like in the '90s. First year pay is usually quite a bit less than second year and low and behold it's usually pretty close to what the training contract "asks" for. They just take the cost off your pay. Same thing just different way of doing it.

[jawright]

"Earlier this month, pilots got letters from Mesaba telling them they would have to pay thousands of dollars within 30 days or be turned over to a collection agency. Management sent the letters because it was strictly adhering to a training contract that calls for pilots to pay back part of their $21,000 in training costs if they leave the airline before flying one year for the carrier.

Wychor said that policy historically has not been enforced. The union argued that the move was unduly punitive because the first-year pilots, who had been paid $21,000 a year at Mesaba, left the bankrupt airline because they found other jobs rather than wait to be furloughed.
Wychor stressed that the pilots had no option to remain at Mesaba."

That is absolutely, without a doubt the SHI**IEST thing I have EVER HEARD.

[Doug Taylor]

Mesaba spokeswoman Elizabeth Costello said, "We looked into this issue and we determined the right thing to do was not to enforce the contract provision in this matter."

Nothing like a little comedy to springboard my saturday morning!

[JaceTheAce]

$21,000 within 30 days?! What average person can come up with that money!

I'd think that would be highly illegal to force someone into a collection agency within 30 days upon no payment since that'd take a huge adverse impact on the pilot's credit rating.

Unless it's written in the contract that they'd be sent to collections within 30 days with no payment, something along the lines of 5 years would be more reasonable.