Alaska Airlines and AMFA reach settlement.

• Position: Transportation

With a handful of unsettled issues decided recently by an arbitrator, Alaska Airlines and the Aircraft Mechanics Fraternal Association have concluded a new, two-year contract covering the airline's 2,240 aircraft technicians and fleet service employees. The contract became amendable in December 2002.

The arbitrator awarded a 5 percent increase for technicians and 4 percent increase for fleet service employees for the term the contract. Technicians at steps one through four received a slightly greater increase.

The award adopts the new enhanced defined-contribution pension plan for new employees and provides current employees the choice--the same as for some other work groups and management--to move into the same enhanced defined-contribution...