American Airlines CEO could raise pilot pay by up to $590,000 a year

American Airlines is willing to raise pilot salaries to match Delta’s, including 40% cumulative increases in a potential four-year deal, CEO Robert Isom said in a message to pilots.

Last week, Delta became the first of America’s largest airlines to sign a new contract with its 15,000 pilots. They ratified a four-year deal that grants them 34% cumulative raises and other quality of life improvements. The agreement sets the stage for other airlines and unions to reach agreements.

THE covid the travel crisis halted contract negotiations and the talks were charge when demand fell as pilots sought better pay and better schedules.

“Let’s be clear, American is prepared to match Delta’s pay rates and provide American pilots with the same profit-sharing formula as Delta pilots,” Isom said in the message to pilots, sent Tuesday and seen by CNBC. .

A deal could include 21% wage increases in the first year of the contract, Isom said. Factoring in higher 401(k) contributions by the end of a four-year contract, a captain flying narrow-body planes would earn $475,000 at the top of the scale, up $135,000 from compared to the current salary, while the most experienced captains of wide-body aircraft would bring in $590,000 a year, an increase of $170,000 from today.

Isom also promised better scheduling and “more certainty” about when pilots would fly. Industry pilots have complained about frequent schedule changes during the airlines’ difficult path to rebuild networks to meet high travel demand. Airmen were also in short supply.

The Allied Pilots Association, the union for American Airlines pilots, did not immediately comment on Isom’s statement.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top