American Airways just lately provided to hike flight attendants’ pay 17%—however the employees say that received’t be sufficient to cease the primary airline strike in 15 years.
Because the airline and its attendants negotiate, American CEO Robert Isom this week despatched a video message providing a 17% wage enhance, simply sufficient to push new Boston and Miami flight attendants above meals stamp eligibility.
The airline stated the pay enhance would take impact instantly and claimed it isn’t “asking something from the union in return,” an uncommon transfer, Isom stated within the video message, which was confirmed by an American Airways spokesperson. “However these are uncommon occasions.”
Nonetheless, the Affiliation of Skilled Flight Attendants (APFA) rejected the provide, calling it a “PR transfer” forward of strike negotiations that can happen between American Airways and the union subsequent week.
Inflation surges, pay stays flat
APFA and American Airways have been in negotiations over a brand new contract on and off because the earlier one expired in 2019, APFA President Julie Hedrick instructed Fortune.
“We’re behind on every thing,” Hedrick stated. She cited low wages and low pay for meals bills on journeys as probably the most urgent points. When flight attendants go on home journeys, they obtain a further $2.20 an hour for meals bills; for worldwide flights, they obtain $2.50. These numbers are “very behind” what meals truly prices as we speak, Hendrick stated.
Since 2014, when the earlier contract was negotiated, flight attendants have been left with measly beginning salaries whilst inflation has shot up 33%, Hedrick stated In accordance with an employment verification letter from American, which circulated on Reddit a number of weeks in the past, an entry-level flight attendant can anticipate to make $27,315 a yr, earlier than taxes. (Like many airways, American pays its attendants just for the time the airplane is within the air.Boarding passengers, ready between flights, and touring to and from the airport all imply flight attendants usually work about two hours for every “flight hour” they’re paid.)
With American’s proposed 17% enhance, the beginning wage jumps to $31,959 per yr, or $35.5 per flight hour. That price pushes junior flight attendants who reside alone above the extent for qualifying for meals stamps in states like Massachusetts or Florida.
Most new flight attendant hires are required to reside in cities like Dallas, Miami, and New York, which have excessive prices of dwelling that they can’t afford, Hedrick famous.
American flight attendants are sleeping of their automobiles, she stated. A few of them battle for journeys only for the possibility to eat the airplane meals, if the pilots don’t take their meals first.
“Our new rent flight attendants are struggling,” Hendrick stated, including that new hires most strongly rejected the 17% hike.
For these attendants, lagging pay provides insult to harm when seen in opposition to the backdrop of the post-pandemic years, which exacerbated longstanding points within the {industry} together with staffing scarcity, lengthy hours, and unruly passengers, a few of whom assault airline employees.
That’s resulting in document burnout amongst attendants.
18 months of pickets
“We’ve picketed for a yr and a half, and we’ve executed not less than 11 pickets,” Hedrick stated. “Our flight attendants have demonstrated our resolve and our solidarity to get a contract, an {industry} meeting-contract that we deserve and we’ll take nothing much less.”
APFA is proposing a elevate of 33% — in keeping with the rise in inflation since 2014—with a cap at $91 per hour in the course of the first yr of a brand new contract, with pay raises for annually after.
An American Airways spokesperson instructed Fortune that the video message “represents the newest from American.” They didn’t reply questions concerning the proposal or the upcoming negotiations.
Of the 39 separate points on the desk – similar to sick go away or crew relaxation, APFA and American have reached a “tentative settlement” on 25. The opposite 14 are related to compensation, bills, holidays, and different phrases of settlement.
100-year legislation may snarl strike
Union leaders face an uphill battle as they head to Washington subsequent week to barter. Airline strikes are exceedingly uncommon—the final one occurred in 2010, when Spirit Airways pilots went on strike for 5 days.
That’s as a result of railway and airline employees will not be allowed to strike except given the inexperienced mild by federal mediator teams, by way of the 1926 Railway Labor Act. One such group, the Nationwide Mediation Board, will oversee the American Airways negotiations, and might permit a strike to happen if it finds that the teams are at an deadlock. Nonetheless, the federal authorities can even block a strike—as occurred in December 2022, when President Joe Biden signed a measure handed by Congress to impose a contract between rail firms and employees that many employees had rejected.
Biden, who has referred to as himself “probably the most pro-union president” in historical past, enforced the settlement to keep away from an “financial disaster” in the course of the holidays, he stated on the time. With a number of main railroad firms at menace of a industry-wide strike, the stakes for an settlement had been extraordinarily excessive; $2 billion may’ve been misplaced every single day of a strike.
The stakes for a potential strike at American are much less dire, since different main carriers wouldn’t be affected.
However American attendants aren’t the one one calling for wage hikes. United Airways remains to be negotiating a brand new contract with their flight attendants. Southwest Airways, in April, authorised a contract that features pay raises totaling greater than 33% over 4 years. The union representing Southwest flight attendants, the Transport Staff Union, stated that it supplied document positive factors for flight attendants and units an {industry} customary.
APFA, likewise, is asking for a 33% hike, with raises of 5%, 4%, and 4% for the remaining years of a four-year settlement.
The union has additionally said that they won’t settle for any deal with out retroactive pay. Final yr, American Airways awarded pilots $230 million in retroactive pay after negotiations with its pilots’ union.
Hendrick’s message concerning the 17% hike appears to be: We would like the entire bundle, not piecemeal raises.
“Our flight attendants need nothing to do with it,” she stated. “They, overwhelmingly, yesterday stated, ‘No, we would like a contract. We’ve been in negotiations lengthy sufficient, and it’s time to get this deal executed.’”
