Pilots at United Turn Down Tentative Agreement

United Airlines Logo.03-3

This week in PlaneBusiness Banter I discussed the issue of pilot shortages, and how both regional and major airlines are feeling the pinch.

Because the outcome of the vote on a tentative agreement between the pilots and United was not known last night, I didn’t throw this part of the puzzle into the mix.

However, today, ALPA announced that the proposal had gone down to defeat. Handily. The vote against the proposed agreement was by a margin of more than 2-1.

The significance of this deal? First and foremost, It was supposed to help the airline with potential pilot shortages this summer.

According to Paul Merrion at Crains Chicago Business, the agreement would have given United more scheduling flexibility and allowed senior pilots to fly more hours per month. In exchange, pilots would have won a higher minimum number of guaranteed hours of flying time each month and elimination of a lower pay structure and other cost-saving provisions for junior pilots who fly for United’s low-fare Ted subsidiary.

It’s going to be an interesting summer.

Ticker: (Nasdaq:UAUA)