American Airlines pilots are getting a pay bump. According to American Pilots Association, they negotiated a new contract with an immediate 21% pay increase. The four-year contract includes a 5% jump in 2024, 4% in 2025 and 2026, and a 3% raise by 2027. In total, pilots get a 46% raise during their four-year contract period.
American Airlines CEO Robert Isom said, “This agreement will help American immediately expand our pilot training capacity to support under-utilized aircraft and future flying and provide our pilots with more opportunities to progress in their careers.”
The new contract signed by American Airlines pilots is a marked improvement from the one rejected last November. In the proposed contract in November, they would’ve received a 19% increase over two years. Then after a series of negotiation and renegotiation, both the union and the management reached a tentative agreement in late July.
Pilots From Other Airlines Also Getting a Pay Raise
However, this trend isn’t just isolated with American Airlines. Now that airlines need pilots more than ever, United Airlines and Delta Air Lines are also improving pilot compensation.
In July, United Airlines pilots agreed to a pay bump of up to 40% over four years. On top of that, they can also expect an immediate increase in their salary by as much as 18.7%. Delta pilots, on the other hand, are having a 34% wage increase by 2026 after they signed a new contract in March.
Aside from pilot compensation, airlines also improved their scheduling and benefits including their retirement benefits, life insurance, long-term disability benefits, and more.
Booming International Travel
Now that people started traveling again, American Airlines made a profit of $1.3 billion in the second quarter of this year. However, this also meant that pilots needed to work harder with busier schedules as airlines expand their routes. Pilots have leveraged on this situation making it the perfect time to ask for a raise.
And it isn’t just the pilots. 26,000 American Airlines flight attendants are voting to decide whether or not they should strike. The vote is expected to continue through August 29. It was reported that they are asking for a 35% pay hike plus improved benefits.