BristolBane
Recycles dryer sheets
- Joined
- Apr 18, 2005
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- 62
http://abcnews.go.com/Business/wireStory?id=744434
An overflow crowd of current and former United Airlines workers turned up at a downtown bankruptcy court Tuesday, delaying a courtroom showdown between the carrier and its labor unions over its most radical attempt yet to slash costs.
The target this time: employee pensions.
The carrier is seeking a judge's approval of its plan to have the government's pension insurer take over its defined-benefit plans, resulting in the largest-ever U.S. pension default. United workers would lose about a quarter of their total pensions if they are shifted to the Pension Benefit Guaranty Corp.
Before the hearing, United Chief Financial Officer Jake Brace said the carrier has no choice but to seek the difficult action.
"All the work we have done and continue to do is about ensuring a healthy United for all our employees and our customers," Brace said. "That work enables competitive jobs and a successful future for our company."
An overflow crowd of current and former United Airlines workers turned up at a downtown bankruptcy court Tuesday, delaying a courtroom showdown between the carrier and its labor unions over its most radical attempt yet to slash costs.
The target this time: employee pensions.
The carrier is seeking a judge's approval of its plan to have the government's pension insurer take over its defined-benefit plans, resulting in the largest-ever U.S. pension default. United workers would lose about a quarter of their total pensions if they are shifted to the Pension Benefit Guaranty Corp.
Before the hearing, United Chief Financial Officer Jake Brace said the carrier has no choice but to seek the difficult action.
"All the work we have done and continue to do is about ensuring a healthy United for all our employees and our customers," Brace said. "That work enables competitive jobs and a successful future for our company."