COMP NEWS – Southwest Airlines has reached a tentative agreement with union workers who haven’t had a pay increase in almost three years.
Southwest Airlines has reached a contract with its ramp, operations, provisioning and freight agents that’ll give workers an average pay increase of over 18%.
The nearly 18,000 workers represented by Transport Workers Union Local 555 haven’t received a pay increase in almost three years, according to the union. The contract also sets a wage rate of $38 an hour for top-of-scale employees, which is 6.6% above United Airlines’ wage rate for these workers at $35.65.
Members will have to vote to ratify the new deal and the union will notify employees of a voting timeline.
“This tentative agreement provides much-needed raises and quality-of-life benefits for our hardworking members at airports across the country,” Alex Garcia, TWU International executive vice president, said in a release.
The agreement will give workers higher pay bumps year after year, along with increasing lump-sum bonuses.
The agreement also allows workers to reach the top of the pay scale faster, after 10 years of service, down from the current 11 years. It also including a 401k match of 10%, alongside a $140 million lump-sum bonus for workers, more than double what was previously offered.
Since October 2022, Southwest work groups have ratified new agreements. In January, the airline’s pilots approved a new five-year contract worth $12 billion and boosting pay 50% over the life of the deal. Meanwhile, the Dallas-based air carrier’s flight attendants voted to authorize a strike that same month.
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