Latest News by Industry
• The contract is valued at $1.3 billion over two years
The largest pilots union has approved a contract that would boost the pay of pilots at United Airlines (NYSE: UAL) by more than 14% over the next 18 month.
The latest move will pave the way for similar large wage increases throughout the industry.
The contract provides more than 14.5% cumulative pay increases and enhanced overtime and training pay, said the Air Line Pilots Association (ALPA), which represents over 14,000 pilots at the Chicago-based carrier. For the first time, the contract also includes eight weeks of paid maternity leave.
The deal reflects the leverage currently held by unions with the industry facing a pilot shortage that has resulted in cancellations worldwide and fewer flights.
The United contract, which the union valued at $1.3 billion over two years, would be retroactive to the start of 2022 and give three pay raises totaling more than 14.5% through the end of next year. The union said it includes better overtime and premium pay, a new retirement plan, a new 8-week paid maternity leave benefit and improved scheduling provisions.
The contract would need to be ratified by rank-and-file pilots to take effect. Voting will run through July 15.
Source - ALPA
Read more: