WILMINGTON, Ohio (Business Wire) -- ABX Air, Inc., a wholly owned subsidiary of Air Transport Services Group, Inc. (NASDAQ:ATSG), said today that its employees represented by Teamsters Local 1224 have voted in favor of a new Collective Bargaining Agreement (CBA) with ABX Air.
The amendments provide for more market-competitive wages, benefits and work rules than under the current agreement. It also provides furloughed and retired members with substantial severance and post-retirement benefits.
“This agreement is a vital element in our plan to forge a new long-term agreement with our principal customer, DHL, while making us a more competitive force in the global marketplace for superior quality, cost-effective air cargo transport on our fuel-efficient fleet of widebody Boeing 767s,” ABX Air President John Graber said. “I want to express my appreciation to the leaders and members of Local 1224. Their decision to vote to preserve jobs, and to make ABX Air better able to pursue opportunities in the current marketplace, through their endorsement of this agreement is a step to a more secure future.”
This new CBA is contingent upon the signing of a new commercial agreement between ABX Air and DHL that provides for DHL's continued use of ABX Air aircraft and flight crews in its U.S. express network. ABX Air is discussing such an agreement with DHL to replace the seven-year ACMI Agreement that extends to August 15, 2010, and which will not be renewed.
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