United Airlines and the pilots’ union announced a contract agreement that will increase pilot compensation by up to 40% over a four-year period.
The agreement, which the Air Line Pilots Association (ALPA) announced on Saturday, is expected to be worth around $10 billion over the course of its four-year duration.
When signing the deal, pilots will earn salary increases ranging from 13.8% to 18.7%, for a total rise of little over 40%, according to Bloomberg.
The historic agreement will also include improved work-life balance, job security, workplace regulations, retirement, benefits, and more. 16,000 United pilots would be impacted by the changes, according to the union.
The airline’s pilots’ unity during the course of the four years of discussions, according to Garth Thompson of United’s ALPA section, was “instrumental in achieving this historic agreement.”
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Recruiting Thousands Due Pilot Shortages
According to the union, the agreement includes significant increases in pay, retirement benefits, and job security.aIn June, United announced that it would recruit more than 7,000 mechanics for aircraft to combat a hovering shortage in a “highly competitive job market,” as well as a 36-month apprenticeship program.
Last month, a storm created chaotic flight interruptions that trapped travelers at Newark airport, prompting United to come under fire.
Approximately 750 flights were canceled on the same day when CEO Scott Kirby traveled on a private aircraft from New Jersey.
The pilot shortage in the United States has been continuous since post-pandemic travel resumed. According to reports, the sector was short roughly 8,000 pilots as of September 2022, and that number might rise to 30,000 by 2025.
To keep more planes in the air, airlines have turned to hiring from abroad, increasing pilot compensation, and reexamining training criteria.
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Source: INSIDER, YAHOO NEWS