The Allied Pilots Association (APA) has provided further information regarding a proposed tentative agreement between American Airlines and its pilots. The agreement was approved by the APA board members, with 16 in favor and four against, leading to the board’s approval for union members to vote on the new labor contract. Voting for pilots who are part of APA will take place between July 24 and August 7, 2023.
The APA’s negotiating committee presented the proposed agreement to the union’s board of directors on June 25, 2023. The new contract, which would be valid for 48 months, aims to introduce scheduling and work rule changes. These changes focus on improving the overall quality of life, providing more pilot options, implementing principles of trip ownership, simplifying scheduling and work rules, and emphasizing company and pilot accountability, as well as operational integrity.
Compared to the current joint Collective Bargaining Agreement (CBA), the new agreement offers approximately $8.3 billion in added value over the 48-month period, including around $1 billion in one-time payments and ratification bonuses. This represents a 47% increase in comparison to the current CBA, with pay rates set to rise by a total of 21% until May 2027.
The new agreement introduces pay bands for different aircraft types, offering improved pay rates and flexibility. Pilots flying the Airbus A321neo, A321XLR, and Boeing 737 MAX-10 will receive higher pay rate overrides compared to those operating other aircraft types within the A320ceo/A320neo and 737 family.
The APA’s executive summary highlights that the agreement includes industry-leading compensation, benefits, and work-rule provisions, influenced by peer comparators’ agreements and ongoing industry bargaining developments. While not all of the board’s desired outcomes were achieved during negotiations, the summary emphasizes that the agreement has resulted in significant enhancements to the collective bargaining agreement, setting a new standard for the future.
The provided pay tables showcase the earnings for captains and first officers based on different aircraft types and years of experience. The highest earners are pilots of large wide-body aircraft, such as the Boeing 777-200ER, 777-300ER, 787-8, 787-9, and other similar models. Pay rates vary depending on the aircraft type and years of service.
For example, captains flying the Airbus A380 and Boeing 747 can earn $402.28 per block hour in their first year, increasing to $438.42 per block hour by year 12. First officers on the same aircraft would earn $108.34 per block hour initially, rising to $299.48 per block hour by year 12.
The new agreement offers improved pay rates and benefits for pilots across various aircraft types and years of service, providing a comprehensive package that aims to enhance the overall experience for American Airlines pilots.
Sources: AirGuide Business airguide.info, aa.com, APA
