FAA-union negotiations over labor contract stall

The agency's last offer will become final if Congress doesn't intervene within 60 days.

Negotiations between the Federal Aviation Administration and the National Air Traffic Controllers Association ended in a formal impasse Wednesday, leaving Congress 60 calendar days to intervene with legislation before the agency's last offer becomes official.

The contract talks broke off Wednesday afternoon after the union and agency could not bridge a $600 million gap between the two sides' final offers.

"We have simply concluded that the gap between us is too large to continue these negotiations," said Marion Blakey, the FAA's administrator. "We have worked very hard over the course of nine months … to reach a voluntary agreement."

But NATCA President John Carr said the FAA never intended to negotiate a collective bargaining agreement and that Blakey "does not respect her workforce."

The agency's last offer included nearly $2 billion in savings from current labor costs over the five years of the contract, while the union's final offer included $1.4 billion in savings.

NATCA and the FAA have been stuck in combative negotiations over benefits and wages since July 2005. The FAA is an unusual government agency because its labor unions are able to negotiate pay, and its controllers are among the highest compensated federal government workers.

Legislation designed to put pressure on the FAA to complete the negotiations is gaining bipartisan support, and as of early Wednesday evening, included 151 House members as co-sponsors. The Senate version has 27 supporters, all Democrats.

The legislation, introduced in the Senate in January by Sen. Barack Obama, D-Ill., and in the House in February by Rep. Sue Kelly, R-N.Y., would amend the law and prohibit the FAA from implementing a new contract without authorizing legislation from Congress. In the absence of such a bill, the contract would become binding in 60 days.

Neither the union nor the agency expect a strike to occur.