United Airlines pilots walk inside the airport as they participate in an information demonstration at Newark Liberty International Airport in Newark, New Jersey, May 12, 2023.
Eduardo Munoz | Reuters
unified airline and their pilots union have agreed to a preliminary labor agreement that includes a four-year salary increase of up to 40.2%, ending months of intense negotiations and airport pick-ups. The deal makes United pilots the latest from a major airline to strike a deal for higher wages amid a post-pandemic travel boom.
The preliminary agreement, which the Airline Pilots Association (ALPA) announced on Saturday, comes a few months later. Delta Airlines the pilots approved a new contract that included 34% increase in four yearsthe first of the top four airlines to reach a new agreement. American Airlines and its pilots’ association reach a new labor agreement with a 40% increase in four years, although it still faces a vote of approval by members.
The pandemic has halted contract negotiations across the industry but workers have pushed higher pay and better working conditions since travel demand returned and negotiations resumed.
ALPA said the deal is expected to be worth about $10 billion. It includes a host of other improvements including overtime pay, holiday pay, and scheduling. Cumulative pay increases range from 34.5% to 40.2% based on the type of aircraft the pilot flies.
The agreement in principle will not be finalized until it is ratified by the company’s 16,000 pilots.
“We’ve promised our world-class pilots the industry-leading contract they deserve, and we’re delighted to have reached an agreement with ALPA on that,” said CEO. United Scott Kirby said in a LinkedIn post. “The four-year agreement, once ratified, will deliver a significant pay increase and improve the quality of life for our pilots while putting the airline on track to achieve its remarkable potential.” awe of our United Next strategy.”
pilots overwhelmingly rejected a preliminary, 18-month deal last year.
United is expected to report second-quarter earnings after the market close on Wednesday and executives are likely to face questions about the cost of the deal during a conference call. on the next day.
