American Airlines chief executive Doug Parker announced Tuesday that almost all workers at the Fort Worth-based carrier will receive 4 percent raises in 2015.
The carrier, which has been criticized by its unions for not offering profit-sharing plans during contract negotiations, said the merger of American and US Airways has performed better than expected.
“There are many ways to share success, but when it comes to compensation, we believe it is best to reward the 100,000 hard-working team members of American with industry leading wage rates - not lower wages supplemented by compensation that varies with airline profitability,” Parker said in a letter sent to employees. “The increases announced today are permanent and certain. They are not dependent on fuel prices remaining low, the global economy remaining strong or pandemics staying out of the news. You have earned these increases, and you deserve to have them in every paycheck.”
The raises will be given to all employees that are below director level. Unionized workers will receive the pay increases when their unions agree to joint contract bargaining agreements.
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So far, only the flight attendants have a new joint contract and their hourly wage rates will be 7 percent higher than flight attendants at competitors, Delta Air Lines and United Airlines.
The pilots are currently in talks with the carrier as are all other union groups such as mechanics, ground workers and customer service representatives.