Northwest Airlines agrees tentative concessions deal with pilots

Airline Industry Information, Oct 15, 2004

AIRLINE INDUSTRY INFORMATION-(C)1997-2004 M2 COMMUNICATIONS LTD

Northwest Airlines has agreed a tentative USD265m concessions deal with its pilots' union, a major step in achieving its USD950m cost cutting ambitions.

The new two-year deal has been agreed by Air Line Pilots Association negotiators and will now be sent to union leaders and members for ratification. The union leaders, who have already started discussing the proposal, could vote on it by Sunday 17 October 2004 and have it sent to members soon afterwards.

The Eagan-based airline is looking to cut USD950m a year from its labour costs, with a deal with its pilots seen as the key to getting other labour unions to agree to new deals, reports The Associated Press.

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