Pay Raises Take Off for American Airline Pilots Under New Contract

by M.C. Millman 

American Airlines pilots accepted a new contract yesterday that includes a pay hike of nearly 41% over the next four years.

73% of the 15,000 American Airline pilots voted for the four-year, $9.6 billion contract.

Union President of the Allied Pilots Association Ed Sicher claims pilots deserve this raise as it aligns with the "tremendous amount of responsibility" undertaken every flight.

Given the nationwide pilot shortage, pilot unions hold the upper hand in contract negotiations.

The new contract with American includes an immediate salary increase of 21%,  annual raises, $1.1 billion in one-time payments, ratification bonuses, more vacation benefits, more predictable schedules, and increased company contributions to retirement plans which raise the value of total compensation by 46% over four years. 

And in case that isn't enough on a contract that, according to federal law is not allowed to expire, the next round of contract negotiations for American pilots can begin as soon as November 2026.