American Airlines agreed to allot $4.2 billion worth in pay and benefits to its flight attendants after agreeing on a tentative deal.
The Association of Professional Flight Attendants (AFPA) said Friday (July 26) that the deal would include an immediate 18% pay increase and boarding pay. The union added that seasoned flight attendants who have been in the company for seven years could have their pay scale increased by 120% over the span of five years.
Some Details of American-AFPA Deal
Fortune reported that the deal would still have to be voted on by 28,000 of the carrier's flight attendants in order to be enacted. If the deal gets accepted, the 18% pay rise would take effect immediately and would gradually rise over the years.
Experienced flight attendants would also get retroactive pay of 3% to 20% of their wages from 2020 to 2024.
The contract additionally included boarding pay, which would be paid at half of a worker's hourly pay. American's flight attendants previously did not have such allowances prior to the new deal.
AFPA, American Pleased with Pay Rise Deal
It is understood that American entered into the deal in order to avoid a strike from the flight attendants union.
Inc reported that the airline reported that its second quarter net income had a 46% decrease, from $1.3 billion last year to $717 million this year.
American's spokesperson Timothy Wetzel said that the contract would provide an "immediate financial and quality-of-life improvements" for its flight attendants, and that they were "proud" of the deal.
On the other hand, AFPA said that it would continue to advocate for better working conditions for flight attendants across the industry.
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