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Delta Pilots Reach Agreement on New Contract, Maintain Pilot Profit-Sharing

whatif2Friday afternoon, unionized Delta Pilots reached agreement on a new industry-best contract. In a statement, Delta management said the tentative deal is an "industry-leading package of pay, benefits and work rules." The union's Chairman said the agreement "achieves the goal of advancing the profession... (and) recognizes and rewards the Delta Pilot group for the daily contributions we make to Delta’s financial success."

The accord highlights the benefits of collective bargaining and having the legal right to vote on one’s terms of employment. Specifically, the tentative agreement maintains the pilots’ profit sharing plan after they rejected Delta management’s proposal to cut the group’s profit sharing formula over a year ago.

As you know, we do not have the right to collective bargaining and the consequent right to reject terms of employment that we deem unacceptable, all because we have yet to form a union of Delta Flight Attendants. It could not be any clearer that the time is NOW for us to unionize and attain the industry-best contract we deserve.

Below are highlights of the Delta Pilots tentative agreement:

Total economic improvement

• Over $3.8 billion added to the pilot contract over the term of the agreement. (Contract amendable on Dec. 31, 2019).
[Flight Attendant costs drastically reduced with change to our profit sharing formula, international staffing cuts, projected increased health insurance costs and productivity measures.]

Base rate increases

• Pilots to receive over 30 percent in cumulative base rate pay increase over the term of the agreement.
[No scheduled pay rate increases for Flight Attendants.]

Retroactive pay

• Full retro pay from January 1, 2016.
[Flight Attendants receive no retroactive pay because we do not have a contract with guaranteed base wage rates.]

Profit sharing

• No change to the current profit sharing program, which will remain 10 percent of profits up to $2.5 billion and 20 percent above $2.5 billion.
[The Flight Attendant profit sharing pool calculation was slashed from what the Pilots currently have to 10 percent of profits up to $6.5 billion and 20 percent of the difference between year over year profit if over $6.5 billion, a potential loss of over $400 million in 2017.]

Vacation, training pay and sick leave improvements

• 270:00 annual Sick Leave accrual for pilots.
[56:00 annual PPT for Flight Attendants.]
• Pilot Medical Note Required only after using >100:00/12-mo; reimbursed for medical expenses if medical note required.
[Flight Attendants are randomly med note required after 1, 2, or 3 sick occurrences and have even been "counseled" in mandatory meetings for using FMLA]

Scope protection improvement

• Flight Attendant mainline flying is NOT protected, and is outsourced to partner and commuter airlines; Pilots received Scope grievance settlement award of several thousand dollars per union member when the percentage of known flying by joint venture partners exceeded contractual allowances.

Retirement Improvements

• Pilots TA: 16% company provided contribution to retirement saving program. (No match required).
[Flight Attendant current terms: 2% defined contribution; up to 7% match; these numbers may be changed by Delta management at any time.]

3 Responses to "Delta Pilots Reach Agreement on New Contract, Maintain Pilot Profit-Sharing"

  • Lisa Gilbertson
    October 6, 2016 - 6:21 am Reply

    WOW! And United FA’s got a fantastic contract as well! The quarterly overtime, additional vacation, separate PPT and Sick time pay, not to mention retiree health insurance, a signing bonus, and extra pay for qualified trips (like our pilot green slips) to boot. For some reason the junior people feel that the A-day program would be cancelled with a contract. “NO WAY” that will happen because the company saves to much money by not paying a reserve guarantee of 80 hours a month. Our company says: “we are a family.” In my family, no one would ever hold me back from seeking my potential with respect to financially taking care of my family. Corporate greed and brain washing is a fact of life with our company.

    • Mary Mallon-Chavez
      February 13, 2017 - 7:32 pm Reply

      Well said, Lisa Gilbertson.

  • Frank
    January 15, 2017 - 9:42 pm Reply

    Ya next time a pilot stalls to “time out”…remind the other thousands of employees that’s where 45% of your profit sharing money went

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