A New Contract for American Airlines Pilots

American Airlines pilots have approved a new labor deal, becoming the second major U.S. airline to reach an agreement with its highest-paid work group. The pilots’ union announced that over 15,000 pilots at American Airlines will receive immediate raises of 21%, with total compensation increasing by more than 46% over the four-year contract, including 401k contributions.

Previous Deal Fell Apart

An earlier agreement between American Airlines and the pilots’ union fell apart when United Airlines and its union reached a more lucrative preliminary deal. However, American Airlines increased its offer last month, leading to the approval of the new contract.

Positive Vote and Improved Benefits

The new contract was approved by over 72% of American Airlines pilots, with a turnout of 95%, according to the Allied Pilots Association. In addition to increased compensation, the agreement also includes improvements in scheduling and benefits.

Addressing Industry Challenges

The aviation industry is currently facing a shortage of pilots due to the impact of the pandemic. As a result, pilots have been advocating for better compensation and work rules. American Airlines’ CEO Robert Isom stated that the new agreement will allow the company to expand pilot training capacity and provide more career opportunities for pilots.

Similar Agreement at Delta Air Lines

Earlier this year, Delta Air Lines pilots also ratified a new agreement, showing a trend of airlines responding to pilot demands for improved working conditions.