Introduction

Pilots at American Airlines have approved a new labor deal, making it the second major U.S. airline to secure a contract with its highest-paid work group.

Improved Compensation

Under the four-year contract, the more than 15,000 pilots at American Airlines will receive immediate raises of 21%. Over the duration of the contract, their compensation will increase by more than 46%, including 401k contributions, according to their union’s announcement on Monday.

Previous Deal and Revised Offer

An earlier agreement between American Airlines and the pilots’ union fell through when United Airlines and its union reached a more lucrative preliminary deal. However, American Airlines increased its offer last month.

High Approval Rate

The new contract was approved by over 72% of American Airlines’ pilots, with a 95% turnout, as reported by the Allied Pilots Association.

Expansion and Career Growth Opportunities

American Airlines’ CEO, Robert Isom, stated that the approved agreement will allow the company to immediately expand pilot training capacity to support under-utilized aircraft and future flying. It will also provide more career progression opportunities for the pilots.

Delta Air Lines’ Agreement

Earlier this year, pilots at Delta Air Lines ratified a new agreement.