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Bad News for the Bankrupts

Some bad news from United and US Airways:

United announced permanent paycuts for its non-union employees, ranging from 4% reductions for salaried staff, to 6% for management, to 11% for the executive team.  Merry Christmas!  But that’s not all.  The same staff, on top of these cuts, will also see 4% so-called temporary reductions in pay beginning January 1st, continuing until hell freezes over or the carrier emerges from bankruptcy.  Merry Christmas, again!  United also said it is in the process of revising its benefits package, and I can’t imagine that that means more benefits for anyone.  Rough times at United.

US Airways, meanwhile, is facing a strike from its flight attendants, who say they will take the action if a judge imposes paycuts upon them.  That, as they say, will be the end of that.

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