The National Mediation Board is stepping away from talks between American Airlines and the Transport Workers Union and this is going to hurt both parties.  In addition, I think this is an indication of just where talks may go between American Airlines and its other unions.

The NMB said that “the amount of time expended in these mediated sessions, insufficient progress and insufficient hope for progress, the NMB could not justify scheduling future mediated sessions at this time. “

This could describe progress in union talks involving American Airlines across the board. 

Sadly, I think AA and its unions will continue to argue that its the other side instead of recognizing that failure to come to an agreement is badly damaging both parties.  American Airlines is hurt by the clear inability to bring a new wage and benefits structure to its operating model and employees are hurt by working under agreements that are diminished in value every year they go unmodified. 

I put the problem on American, however.  It’s the company’s duty to provide leadership to its employees whether they are represented by unions or not.  Ultimately, the buck stops with executive leadership and executive leadership isn’t finding any new ways to engage and lead their staff.

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