Pilots from United Airlines walk contained in the airport as they participate in an informational picket at Newark Liberty International Airport in Newark, Latest Jersey, May 12, 2023.
Eduardo Munoz | Reuters
United Airlines and its pilots’ union have agreed to a preliminary labor deal that features pay increases of as much as 40.2% over 4 years, ending months of tense negotiations and airport pickets. The deal makes United’s aviators the newest from a serious airline to achieve an agreement for higher wages amid the post-pandemic travel boom.
The preliminary deal, which the Air Line Pilots Association (ALPA) announced Saturday, comes months after Delta Air Lines pilots ratified a latest contract that included 34% raises over 4 years, the primary of the highest 4 airlines to achieve a latest agreement. American Airlines and its pilots’ union reached a latest labor take care of 40% raises over 4 years, though it still faces a ratification vote by members.
The pandemic paused contract negotiations across the industry but employees have been pushing for higher pay and higher working conditions since travel demand returned and talks resumed.
ALPA said the tentative deal is price about $10 billion. It includes a number of other improvements including additional time pay, holiday pay and scheduling. Cumulative pay increases range from 34.5% to 40.2% based on the kind of aircraft a pilot flies.
The agreement in principle won’t be finalized until it’s ratified by the corporate’s 16,000 pilots.
“We promised our world-class pilots the industry-leading contract they deserve, and we’re pleased to have reached an agreement with ALPA on it,” United CEO Scott Kirby said in a LinkedIn post. “The four-year agreement, once ratified, will deliver a meaningful pay raise and quality of life improvements for our pilots while putting the airline on the right track to attain the incredible potential of our United Next strategy.”
The pilots overwhelmingly rejected a preliminary, 18-month deal last yr.
United is scheduled to report second-quarter earnings after the market closes Wednesday, and executives are more likely to face questions on the fee of the deal during a conference call the subsequent day.
