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Northwest Airlines Corp.

President Clinton Sends Aides to Break Deadlock in Northwest Airlines Strike

Strategic Insights

— 1 min read

President Clinton dispatched Bruce Lindsey, one of his closest aides, to Minneapolis to try to break the deadlock between Northwest Airlines and its striking pilots, which has grounded the carrier for 11 days and disrupted travel in the Midwest and South. Lindsey was joined by Transportation Secretary Rodney Slater, and they arrived in Minneapolis late in the day to assess the situation. The strike has been ongoing since August 29, with Republicans and state officials urging Clinton to use his executive powers to order the pilots back to work, while leading Democrats and labor leaders have called for him to refrain from intervening.

Key Takeaways:

  • The strike has lasted for 11 days, grounding Northwest Airlines and disrupting travel in the Midwest and South.
  • The pilots are seeking greater job security and a 15 percent raise over three years, while the company has offered a 9 percent raise over four years.
  • The average pilot earns $120,000 a year, according to the union, while the company says the average is $133,000 a year.
  • Northwest's strategy is to hold out until the President is forced to intervene, according to the union and many Wall Street analysts.
  • The Administration has the power to order the pilots back to work for 60 days while an emergency board tries to find a resolution acceptable to both sides.
  • Northwest has lobbied quietly for intervention, while the union and many Democrats have opposed it.
  • Bruce Lindsey has more clout than anyone previously involved in the dispute to press both sides to compromise.
  • The Administration announced that the Transportation and Justice Departments will sue one of Northwest's commuter affiliates for resisting a Government order to resume flights to 13 communities.

Statistics:

  • The strike has lasted for 11 days.
  • The pilots are seeking a 15 percent raise over three years.
  • The company has offered a 9 percent raise over four years.
  • The average pilot earns $120,000 a year, according to the union.
  • The company says the average pilot earns $133,000 a year.
  • The strike is the longest against an airline since machinists walked out at Eastern Airlines in 1989.

Sources:

  • "President Clinton sends aides to break deadlock in Northwest Airlines strike" (no specific date mentioned in the article)

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