by Donald Wood
Last updated: 9:05 AM ET, Mon July 17, 2023
United Airlines announced it had reached a labor agreement
with its pilots on Saturday to provide the employees with a significant pay
increase.
According to Reuters.com,
the Air Line Pilots Association (ALPA) revealed that United pilots would
receive a cumulative 34.5-40.2 percent increase in pay raises throughout the
new four-year contract.
The ALPA, representing about 14,000 United pilots, said it
reached a deal in principle with United management that “includes substantial
improvements to compensation, as well as advancements in quality of life,
vacation and other benefits.”
The pilots’ union had bargaining power during negotiations
as the combination of pilot shortages across the industry and increased travel demand
and spending put the ball in their court in talks with executives.
“We're pleased to have reached an agreement with ALPA,” United
Airlines CEO Scott Kirby told Reuters.com. “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 track to achieve the incredible
potential of our United Next strategy.”
Last month, Kirby announced the carrier had offered its
pilots an incremental
contract worth over $8 billion over four years, making it the largest labor
deal ever offered by an airline in the United States.
In March, Delta Air Lines became the first major carrier in
the U.S. to overhaul
pilot contracts, with 78 percent of Delta pilots voting in favor of a
four-year contract that includes a 34 percent raise.
American
Airlines was the next carrier to reach a new deal with its pilots, which
included a four-year contract and features “pay rates comparable to the wages
secured by pilots at Delta Air Lines.”
For the latest travel news, updates and deals, subscribe
to the daily TravelPulse
newsletter.
Topics From This Article to Explore
