United’s Mechanics Reject Deal

In a move that ranges in severity from "hm, that’s not good" to "oh crap," United’s mechanics union rejected the airline’s contract offer.  Worse, it said that it would strike if United went to court to impose the contract terms.  A strike during bankruptcy would be catastrophic at best.  Analysts I’ve seen quoted said a possible strike would be "suicidal" and "a death blow."  The contract would have reduced wages and benefits by 18.3%.  The mechanics will soon outline a counter-proposal that they say will offer United the necessary cost savings.

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