NATIONAL BRIEFING

The Delta-Northwest merger cleared a key hurdle as the carriers' pilots agreed on a joint contract.
The Delta-Northwest merger cleared a key hurdle as the carriers' pilots agreed on a joint contract. (By Michael Dwyer -- Associated Press)
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Tuesday, August 12, 2008

AIRLINES

Pilots Agree to Delta Contract

Delta Air Lines and Northwest Airlines pilots approved a new joint contract, clearing the way for combining their unions after a merger that will create the world's largest carrier. The accord was supported by more than 61 percent of Delta pilots who voted and by about 87 percent of Northwest pilots, the airlines' pilot groups said in a statement.

The ratification removes a hurdle for Delta as it works to close its purchase of Northwest. Delta's 7,000 pilots will get a 3.5 percent equity stake in the combined carrier, and their 5,100 peers at Northwest will get 2.38 percent.

The two union chapters now must draft a seniority list to set pilots' pay, vacation, routes and the jets they fly.

United Pilots Target CEO

The union representing pilots at United Airlines urged chief executive Glenn Tilton to resign, accusing him of steering the nation's No. 2 carrier down a path to poor customer service, employee morale and financial performance.

In a statement, the United chapter of the Air Line Pilots Association said the carrier needs new leadership. It launched a Web site to draw attention to what it calls Tilton's failures since he took over in September 2002.

The pilots have stepped up criticism of United's top executives in recent months, angry that they have not gotten additional compensation since their pay was cut during the company's restructuring. Their pension was also terminated while United's parent company was under Chapter 11 bankruptcy protection.

TRANSPORTATION

TSA Clears Security Firm

Verified Identity Pass, the largest operator of a quick-check security program in U.S. airports, will be allowed to resume signing up customers after the company encrypted its computers, a federal agency said.

The Transportation Security Administration last week suspended Verified from enrolling new participants in the Registered Traveler program after the company lost a laptop computer containing unencrypted records of 33,000 applicants. The company said it recovered the laptop and that the records had not been accessed.

Verified Identity took steps to encrypt computers and had an outside party verify the action, the TSA said. TSA said it will conduct random audits to further ensure compliance.


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