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CASE STUDY: Northwest Airlines The History The basis of the dispute between Northwest Airlines and its 11,000 flight attendants was simple. In 1993, Northwest employees accepted pay cuts to help keep the airline out of bankruptcy. Further, they had been working without a contract since 1997. As a result, the airline attendants claimed that their pay lagged drastically behind industry standards. Northwest and the flight attendants Union, Teamsters Local 2000, entered negotiations in late 1998 to create a fair and appropriate contract. Negotiations between the two sides stalemated on December 7, 1998. There were no further talks and no significant movement for more than a year. On January 5, 2000 Northwest Airlines filed a federal lawsuit against the flight attendants' union and a number of rank-and-file employees. In its complaint, Northwest claimed that it had experienced a higher-than-normal illness rate over the holiday season that led it to cancel several hundred...

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