American Airlines CEO Doug Parker is respected by many of the airline's employees and beloved by Wall Street. He and his executive team will be just fine, no-confidence vote or not. American's pilots should probably just accept that.
American Airlines’ pilot union leaders approved a no-confidence vote against Chief Executive Officer Doug Parker and his management team, citing pay and scheduling problems, delays in implementing their full contract and a “toxic” company culture.
Monday’s balloting occurred days after the head of the Allied Pilots Association complained about Parker’s decision to skip a meeting between President Donald Trump and airline chief executives so he could speak to a gathering of 1,600 American managers. The union board action was confirmed by a spokesman Tuesday.
The vote widens a gap between the pilots group and management, who have been at odds over Parker’s refusal last year to reopen part of an existing labor contract to discuss a pay raise after aviators at Delta Air Lines Inc. and United Continental Holdings Inc. moved ahead in compensation. The tension marks a reversal from the union’s support of Parker as he pushed to combine US Airways, where he was CEO, with a bankrupt American Airlines in a 2013 merger.
American Airlines Group Inc. didn’t immediately comment. The union vote was reported earlier by Street.com.
The airline’s flight attendants are set to picket at four of American’s hub airports Tuesday over a compensation dispute and new uniforms that some workers say have caused allergic reactions.
©2017 Bloomberg L.P.
This article was written by Mary Schlangenstein from Bloomberg and was legally licensed through the NewsCred publisher network.
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Photo Credit: American Airlines CEO Doug Parker, seen here announcing the airline's merger with US Airways in 2013, has lost the confidence of his pilot union leadership. Mike Stone / Reuters