Sunday, September 11, 2005

Northwest Union Doubts Strike Could Be Resolved

Andy Roberts, Northwest vice president for operations, said no new proposals were exchanged Saturday. The two sides still expected to hold face-to-face talks sometime later in the day.
Northwest is seeking $1.1 billion in annual labor cost savings and has said rising fuel prices mean it will probably raise that target. The company is in talks with all of its workers.
The union has said Northwest wants to keep only 1,080 mechanics' jobs and eliminate aircraft cleaner and custodian positions represented by the union. That represents about 3,350 layoffs, up from the 2,000 Northwest sought before the strike.
Northwest's proposal would save it $203 million a year, up from the $176 million it sought before the strike began Aug. 20. That proposal was made Thursday, and the union has not rejected it, even though it's a far worse deal than the one they struck over.
MacFarlane said he expects the two sides to reach a deal eventually, even though striking workers may not like it.

Do unions make the economy better or worse? Are strikes good for the economy?

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