Pilots at American Airlines have reached an agreement in principle on a new contract, their union said on Friday.
The
Allied Pilots Association (APA), which represents over 13,000 pilots at
the Texas-based carrier, said it will move forward with completing
contractual language of the contract before presenting it to its board
for an approval.
The union did not share the details of the new contract.
But
two sources with direct knowledge of the matter said the deal is for a
four-year contract that has pay rates comparable to the wages secured by
pilots at Delta Air Lines.
It
also includes improvements on scheduling, a critical issue for pilots
who are seeking better work-life balance in a profession that often
requires them to be away for days from their families, they said.
The
deal comes over two months after Delta’s pilots ratified their contract
that includes over $7 billion in cumulative increases in pay and
benefits over four years.
It underscores the bargaining power
pilots are enjoying as airlines rush to boost staff numbers ahead of
what is shaping up to be a busy summer travel season.
American, Delta, United Airlines and Southwest Airlines are estimated to hire about 8,000 pilots this year.
Analysts
at Jefferies estimate the United States is short about 10,000 pilots.
This supply-demand gap is projected to last until 2027.
(Rajesh Kumar Singh and Allison Lampert – Reuters)
