For a very long time, American Airways administration and the union representing flight attendants had been in contentious negotiations over a brand new contract. In late July 2024, a tentative contract was reached, and over the previous a number of weeks, members have been voting on whether or not or to not approve the brand new contract.
There’s now an thrilling replace, as this contract has been ratified!
Particulars of the brand new contract for American flight attendants
The Affiliation of Skilled Flight Attendants (APFA) has in the present day revealed that members have ratified a brand new contract. 95% of flight attendants voted, and 87% of votes solid had been in favor of this new contract.
For American’s 28,000 flight attendants, this new contract is price round $4 billion in incremental worth over the earlier contract. It consists of hourly pay will increase, retroactive pay, boarding pay, and revenue sharing, amongst different issues. The union claims that these pay charges are higher than at Delta, which in any other case units the usual within the business (although I feel the maths on that may be a bit fuzzy).
With regards to pay will increase, flight attendants will get a right away 18-20.5% pay improve as of the date of signing, relying on their years of service. Then they get a 2.75% pay improve within the second 12 months, a 3% pay improve within the third 12 months, a 3% pay improve within the fourth 12 months, and a 3.5% pay improve within the fourth 12 months.
For instance, American’s most junior flight attendants will go from incomes $30.35 per hour, to incomes $35.82 per hour upon the date of signing, to incomes $40.42 per hour within the fourth 12 months. In the meantime American’s most senior flight attendants will go from incomes $68.25 per hour, to incomes $82.24 per hour upon the date of signing, to incomes $92.79 per hour within the fourth 12 months.
For these eager to do some very fundamental math, flight attendants usually work someplace round 1,000 hours per 12 months — some rather less, and a few a little bit extra.
On prime of that, American flight attendants will get important retroactive pay, as a share of their earnings in earlier years. They obtain 3% retroactive pay for 2020, 4% retroactive pay for 2021, 4% retroactive pay for 2022, 10.8% retroactive pay for 2023, and 20% retroactive pay for 2024 (by August 31, 2024).
American flight attendants may also lastly get boarding pay, calculated at 50% of the speed of normal hourly pay, and adjusted for a way lengthy the boarding course of is. Since boarding is 30 to 50 minutes, this can vary from $8.96 to $34.27, relying on seniority and boarding size.
Flight attendants are additionally getting an official new revenue sharing profit (although one wonders if there will likely be any earnings to share, given American’s efficiency). Revenue sharing is the same as 10% of pre-tax earnings as much as $2.5 billion, and an quantity equal to twenty% of pre-tax earnings above $2.5 billion. This is identical system that different work teams at American obtain, together with pilots.
I’m thrilled to see a brand new contract ratified!
As a frequent American passenger, I’m delighted to see flight attendants ratify a brand new contract. For one, they deserved extra pay, as a result of the earlier pay charges simply weren’t sufficient for a lot of workers to reside on.
I do know this can do lots to assist the lives of flight attendants, each when it comes to retroactive pay, in addition to increased ongoing pay, each whereas inflight, and through boarding. Flight attendants didn’t get all the pieces they needed, however this looks as if a good compromise.
For us passengers, it ought to hopefully additionally result in higher morale, and people purple “WAR” lanyards and pins will now go into retirement. 😉
Now, it’s going to be attention-grabbing to see how this contract impacts American’s long run financials. American has by far the weakest monetary efficiency of any of the “huge three” US carriers, so really paying for these wage will increase may very well be a problem. Then once more, frontline workers shouldn’t be on the hook for the mismanagement by American’s executives.
Backside line
American flight attendants have lastly ratified a brand new contract. This can be a wealthy contract providing $4 billion in incremental worth over the lifetime of the contract. This consists of important hourly pay will increase, boarding pay, retroactive pay, and extra.
What do you make of American flight attendants getting a brand new contract?
