R3･12･22 at Tokyo Appeal Court

【Judgement】 lawful dismissal

【Company】 United Airlines

【Category】 RIF

【Reference】 Rodo Hanrei 1213-31

【Position/Salary】 Flight Attendants / JPY 5.9-7.5M

【Summary】

（The instant matter involves a merger and acquisition transaction between Continental Micronesia and United Airlines, wherein employees were terminated on grounds of redundancy arising from the shuttering of Japan-based department. It must be noted that the Union had asserted that the closure of the Narita base was unacceptable and repeatedly demanded the continuation of employment for Flight Attendants.)

Given the unlikelihood of workload recovery for Narita-based FAs, the closure of the Narita base and termination of Narita-based FA employment was deemed a reasonable and necessary business decision, justifying the personnel reduction.

Given the proposals to reassign employees to ground staff while maintaining their salary levels, and to offer early retirement with an additional payment equivalent to 20 months' special severance pay, it should be acknowledged that the defendant implemented reasonable alternative measures to avert dismissals.

Given the closure of the Narita base, the infeasibility of transfers to the Guam base, and the existence of position-specific employment agreements, the decision to terminate the employment of all those who did not accept voluntary retirement or transfers to ground staff was a rational and justifiable selection.

Given that the negotiations were terminated due to the plaintiffs' refusal to compromise, and considering the negotiation process with the union and explanations provided, there is no evidence to suggest that the defendant's negotiation attitude was dishonest.