• United Airlines' pilot union approved a tentative agreement that would increase pilot pay, among other benefits.
  • The deal also includes a new paid maternity leave policy and improved scheduling procedures.
  • The move comes as the industry struggles to hire and retain pilots.

Pilots at United Airlines are set to get a massive pay raise. 

On Friday, the Air Line Pilots Association (ALPA), a union that represents more than 14,000 United pilots, voted to approve a "tentative agreement" that would increase crew member salary, among other benefits.

After getting union approval, the deal was sent to members for a vote, which closes on July 15. If a majority of members vote in favor of the contract, then the deal "will generate an additional $1.3 billion of value for United pilots over the course of the two-year agreement," ALPA said in a press release.

"This agreement raises the bar for all airline pilots and leads the industry forward," chairman of ALPA's United pilot group Captain Michael Hamilton said. "Our ability to reach this agreement, and the current success of United Airlines, is driven by front-line United pilots who stayed unified and focused throughout negotiations despite the incredible challenges we faced during the largest disruption in the history of aviation."

If ratified, the deal will provide a number of benefits to pilots, including a 14.5% pay raise over 18 months, a new eight-week paid maternity leave policy, and new schedule procedures to reduce pilot fatigue and improve flexibility.

The agreement also increases pay for instructors, evaluators, and line check airmen. ALPA said the higher compensation is to "increase training capacity to meet United's unprecedented hiring and growth plans." 

This is in line with American Airlines' increase pay for line check airmen at its wholly-owned carriers Envoy Air and Piedmont Airlines, who will be paid $427.40 per hour under a new contract. Regular pilots also will see their salaries nearly doubled.

For months, airlines have been struggling to hire, train, and retain pilots, with carriers like Alaska Airlines, American Airlines, and Mesa Airlines admitting to having a shortage.

Mesa CEO Jonathan Ornstein told CNBC in May that the company could 'use about 200 pilots," while Alaska CEO Ben Minicucci said in a YouTube video that the carrier was about 63 pilots short last month.

Meanwhile, American grounded 100 regional jets in early June because it doesn't have enough pilots to fly them. United made a similar move in December.

The shortages, compounded with weather and air traffic control (ATC) issues, have led to significant flight delays and cancellations, especially over key weekends. The Juneteenth holiday saw over 35,000 flights disrupted from Thursday to Monday.

In an interview with Bloomberg on Monday, Kirby blamed ATC staffing for the disruptions over recent weekends, particularly at Newark. In an effort to improve on-time performance at its hub airport, United is reducing domestic departures by 12%, which the airline says will make travel easier for all people flying through Newark.

Read the original article on Business Insider