Pilots at American Airlines Receive Significant Increases in Salary

Under a newly ratified contract, American Airlines pilots are set to receive a significant pay increase. Over the course of four years, their compensation will rise by 46%, with immediate changes including a 21% boost in pay and improvements to sick leave, vacation pay, and training pay. The contract also includes increased 401(k) contributions and improved benefits, as well as back pay and ratification bonuses. This agreement aligns American Airlines with Delta Air Lines and United Airlines, both of which have recently reached similar contract deals. Notably, Southwest Airlines remains the only major US carrier without a preliminary agreement with its pilots.

Interestingly, United’s deal with its pilots caused a disruption in the negotiation process at American Airlines. After reaching a preliminary agreement in May, American Airlines was compelled to improve its offer to match United’s better deal. Delta had previously set the precedent, significantly boosting pilot pay in March. The high demand for air travel and shortage of pilots has given unions a strong position in negotiations. The president of the union representing American Airlines pilots views this contract as a crucial step in restoring wages, benefits, and work rules that had been lost over the past two decades due to continuous challenges faced by the profession.

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