HA - Hawaiian Airlines signs tentative labor deal with pilots

Hawaiian Holdings ( NASDAQ: HA ) struck a tentative labor agreement on Friday with its pilots represented by the Air Line Pilots Association, International. The deal came after two years of talks between the company and the union.

The new four-year contract includes substantial pay increases, including what is described as industry-leading rates for the carrier’s new cargo operation. The agreement includes an average 32.9% pay increase over the duration of the deal for HAL’s five aircraft types, including an average 16.6% increase on date of signing. The tentative agreement is also said to add a signing bonus, raises company retirement contributions, creates a new health reimbursement account, increases schedule flexibility, and improves pilot quality of life.

"We believe this industry-standard agreement represents a monumental step forward in terms of overall compensation and quality of life gains,” said Hawaiian Airlines ALPA Master Executive Council chair Captain Larry Payne.

"One of the highlights of the proposed agreement is the pay rate for Hawaiian’s future fleet of Airbus A330F freighters, which it will begin flying for Amazon in 2024. The A330F rates will be the highest in the industry, surpassing existing rates at cargo giants UPS and FedEx Express," he added.

Shares of Hawaiian Holdings ( HA ) rose 0.58% in premarket trading.

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