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Pre-Layoff Planning

Many reasons: loss of revenue, down-sizing, bankruptcy restructuring, bankruptcy liquidation, and others cause layoffs.

Being laid-off is always difficult and, at some level, a real shock. Even though you see others being laid-off, it seems unreal that you could also become one of them.

Being prepared and knowing your options will help you make this difficult time a little easier. We hope this guide will help you gather all the facts you may need to make it through this most difficult time.

Finding out your benefits

Check your contract

Ask your shop steward and/or your committee person

Attend union meetings and ask questions

Don't depend on rumors and "know-it-all" information

Facing the Layoff

For many people, the first step is to admit that the possibility of being laid-off is real, and even though you have the seniority and are skilled, it could still happen to you. It is also important to understand that at this point, no one knows how long you will be laid-off; it will be longer for some than others. It is better to plan for a longer lay¬off than a short one.

Making Plans

Pre-Layoff Planning Continued

It is best to make short term and long term plans for your future.

Short term plans:

Start to check out job leads to see what is out there and what the going rate of pay is.

Let friends and relatives know about your possible situation and ask them to let you know of any job opportunities and their pay scales

Get your employment documents together: your birth certificate, your service papers, a resume, and any other papers you think you may need.

Look at making a budget.

Long term plans:

You may have to change careers if the jobs in your qualifications are not readily available.

Check out the qualifications, training, and educations requirements you may need to change careers.

Evaluate your hobbies, skills, and what you have to offer to employers.

Relocation and how it will affect the family

In a layoff situation, it is sometimes necessary to relocate to find work that will suit you. Because this is such a dramatic decision, it will be very important to involve the whole family in the decision.

If trips to other locations are necessary to take the whole family (at least once, more often if possible).

Find out if any friends or relatives may be relocating to the same location or if they may know someone there.

Benefits for Laid-off Employees Covered by the IAM

The following is a summary of the effect of a layoff of your

benefits:

Note: This benefit information is intended to serve only as a summary of your benefits. Each of the benefits described here is based on legal documents, contracts, and UAL policy. If there are any conflicts between this document and your contract or UAL policy, the IAM contract or UAL policy will govern your benefits. Also, all benefits are subject to amendment

and/or termination.

Severance Pay: Please refer to your specific IAM contractual language.

An employee who has completed one year of service laid off through no fault of their own shall receive their severance pay subject to limitations and conditions. An employee laid off will not receive severance pay if one or more of the

following conditions exist:

· You exercise your seniority and accept a job in your classification.

· You fail to exercise your seniority to keep you employed, except when that would cause you to move to another location.

· You accept a job at United in another classification.

· The layoff is caused by an act of God.

· The layoff is caused by a strike.

· You are dismissed for cause.

· There is a temporary cessation of work because of circumstances beyond the company control.

If you return to work at the company in any classification, you will forfeit the remainder of your severance pay.

Only your regular tax deductions will be made from this payment: federal and state taxes and social security tax. No other deductions will be taken from this check.

Your severance pay is not included in pensionable earnings.

Your severance pay will be paid at the same frequency as your regular paycheck.

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