United expects to join unions in mediator request

United Airlines, in talks with unions representing 88 percent of its employees, said it expects to join five labor groups by early next month in asking federal mediators to join negotiations.

United, a unit of UAL Corp., and the six unions began talks in April. Five of the groups, excluding engineers, agreed in advance to seek help from the National Mediation Board if tentative agreements weren't reached by Aug. 1.

"Based on the current status of negotiations, it is likely that we will file joint requests for mediation by that date," Doug McKeen, the Chicago-based airline's senior vice president for labor relations, said today in an update on a company Web site. "We will have discussions with each union to determine the best timing and approach for each filing."

United and the unions, representing 42,500 workers, are trying to reach agreements as the recession erodes business travel and pushes the U.S. airline industry to a sixth straight quarterly loss. The unions want to recover at least some of the pay and benefits lost during UAL's three-year bankruptcy, while the company wants to hold down labor costs.

UAL rose 3 cents to $3.21 at 1:02 p.m. in Nasdaq Stock Market trading. The shares have declined 71 percent this year.