American Airlines proposed a 16.9 percent pay raise to pilots in a contract offer to the Allied Pilots Association (APA) union, CEO Robert Isom said Thursday.
The raise would bring pay for pilots at American in line with rates for their counterparts at United Airlines, Isom said in a video message that was first reported by CNBC and independently confirmed by Skift. The two-year contract proposal, which would replace an agreement that became amendable in January 2020, also includes increases in per diem and training pay.
Based on American’s math, a captain flying narrow-body jets, like the Airbus A321 or Boeing 737-8, would earn up to $340,000 a year and one flying wide-body aircraft, like the Boeing 777 and 787, up to $425,000 a year, Isom said. That represents annual increases of up to $45,000 and $64,000, respectively.
The offer comes days after pilots at United began voting on a tentative accord that would give them a headline 14.5 percent raise over two years. However, the net increase would only be 9.5 percent after 5 percent that was previously promised. Skift understands that some pilots oppose the deal over what they view as a “substandard” raise, and concerns over quality of life issues.
Pilots at American’s regional affiliates Envoy, Piedmont Airlines, and PSA Airlines all received significant pay increases earlier in June that brought starting rates to the same level, $90 an hour, as their counterparts at American.
American is offering the APA and pilots “incentives” to ratify a new agreement by September 30. The union has yet to agree to the proposal.
Tags: Allied Pilots Association, american airlines, pilot pay, pilots