United mechanics reject contract, OK strike

WASHINGTON (CNN) -- Union mechanics at United Airlines voted to reject a new contract that would have given its top mechanics a 37 percent raise and also authorized a strike, statements from the union and airline said early Wednesday.

"Their proposals fell short of what we felt we could achieve in direct negotiations," said Scotty Ford, the union's district president and lead negotiator for the mechanics' group. "The results of [Tuesday's] vote show our members agree."

The International Association of Machinists and Aerospace Workers (IAM) District 141M represents 13,000 mechanics at United. With about 90 percent of the membership voting, 68 percent voted against the offer submitted by the Presidential Emergency Board (PEB) and accepted by the airline to recommend immediate raises, including retroactive pay hikes, of 37 percent for the top mechanics pay.

The recommendation, made last month, would have hiked hourly pay by 47 percent by May of 2004. The offer was close to the IAM demand of raises of 53 percent over the life of the contract.

"We regret that members of the IAM have rejected the PEB's recommendations," said United Chief Executive Officer Jack Creighton. "We still believe it provides a critical platform for the parties to reach resolution."

In a separate vote, 86 percent of the union membership authorized a strike for 12:01 a.m. on February 20, 2002, if an agreement to their liking cannot be negotiated.

"We will travel anywhere, and meet around the clock if necessary for the next six days to reach an agreement," said Tom Buffenbarger, international president of the machinists' union.

"Both parties have agreed to re-enter negotiations during which either an agreement will be reached or a new proposal advanced," Creighton said.

The airline and the union indicated a mid-March contract vote was possible without a break in airline service.

Contract talks with the union follow massive fourth quarter losses posted by United and when some analysts are predicting the airline will file for bankruptcy protection later in the year.