2023-07-15 22:18:39 ET
United Airlines ( NASDAQ: UAL ) and its pilots have come to terms on a new four-year labor deal after four years of tough bargaining.
The Air Line Pilots Association will need to ratify the deal, but the union valued it around $10B , and it includes raises for pilots by up to 40% over the four-year span, as well as job security assurances and retirement benefits -- underscoring some labor strength at airlines, amid rapidly rebounding revenues.
And the union said it would put United's pilots on par with those at Delta Air Lines ( DAL ), whose pilots are also represented by ALPA.
It's a "historic agreement," union chair Garth Thompson said, and United CEO Scott Kirby said “We promised our world-class pilots the industry-leading contract they deserve, and we’re pleased to have reached an agreement with ALPA on it.”
The pilots are set to begin voting on the contract July 24.
United Airlines ( UAL ) is set to report earnings on Wednesday, with Wall Street estimating the airline will post earnings per share of $4.05 on revenues of $13.93B (a 15% year-over-year increase).
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United Airlines, pilots agree on four-year deal with solid pay raises