Another union update:
1 January 2020
In 2019 ExpressJet pilots experienced continued shrinkage of our company, a reduction in quality of life on the line and management's reluctance to make good on Letter 2 promises. This, however, was not an industry-wide trend. Quite the opposite, many other fee-for-departure (FFD) carriers saw significant contractual improvements, some outside of Section 6 negotiations.
American's wholly-owned airlines (PSA, Piedmont and Envoy) and United Express carriers Air Wisconsin and Mesa all ratified agreements in 2019 that made their properties more attractive to prospective pilots. ExpressJet management demonstrated their short-sighted unwillingness to address ExpressJet's lack of competitive advantage in the FFD industry by suggesting significant concessions would be required for negotiations to progress. While other carriers continue to raise the bar in terms of compensation and quality of life, ExpressJet spent the year sliding further toward the bottom of the industry, a ranking with which we are quite familiar, propelling our operation further from success.
Many FFD carriers saw improvements in 2019, proving there is room for positive growth in the industry:
PSA – American Eagle
In April, PSA pilots ratified an agreement that provided an average 24.6% pay rate increases with 1% annual increases. In addition, the agreement provides for 125% pay for all credit above 75 hours, 150% pay for all credit above 85 hours, 175% junior manning pay and 125% pay for early report and extensions.
Piedmont – American Eagle
In June, Piedmont pilots ratified an agreement that provided an average 20.2% pay rate increases with 1% annual increases. The agreement also provided new hire sign-on bonuses of $18,000 and included retroactive pay for captains and first officers.
Envoy – American Eagle
In July, Envoy pilots ratified an agreement that provided pay rate increases of 19% for small regional jets and 25% for large regional jets, plus 1% annual increases. In addition, the agreement increased the flowthrough to American from 15 pilots/month to 20 pilots/month and increased the monthly guarantee for line check pilots.
Air Wisconsin – United Express
In November, Air Wisconsin pilots ratified an agreement that converted one-time bonus payments into permanent pay rate increases and preserved their 1.5% annual pay rate increases with no expiration date. In addition, the agreement preserved their industry-leading healthcare premiums and protected hours of service duty limits.
Mesa – United Express
In May, Mesa pilots ratified an agreement that extended interim first officer pay rates and allowed for captain pay to commence on the first day of upgrade training.
As we look forward into 2020, we anticipate our competitive position in the industry to further decline absent any progress with Letter 2 negotiations. While your XJT MEC will continue to tirelessly strive for the contractual improvements management promised and you deserve, the Company's current operating philosophy will likely only continue to diminish our position and reputation in the industry as it did in 2019.
The Deal is Still Not Done!
Data compiled by the ALPA Economic & Financial Analysis department