FORT WORTH, Texas — American Airlines and the union representing its flight attendants said Friday they have reached an agreement on a new contract that includes wage increases. President Joe Biden said the deal prevents a strike that would have been damaging to the U.S. economy and consumers.
Terms of the proposal were not disclosed. The agreement, which covers 28,000 workers, is subject to union approval.
The Association of Professional Flight Attendants previously rejected a U.S. offer that would have increased pay by 18% immediately, followed by annual increases of 2%. The union had demanded 33% up front, followed by four annual increases of 6% each. Flight attendants have not received a raise since 2019.
Union president Julie Hedrick said the deal “will provide billions of additional dollars in compensation and labor standards for our flight attendant workforce.”
American, based in Fort Worth, Texas, said the deal “will provide immediate financial and quality of life improvements for American’s flight attendants. It’s a contract we’re proud of and one our flight attendants have earned.”
Flight attendants voted last year for authorize a strikeand the union leadership threatened a strike this fall.
However, federal law governing the airline industry makes a strike nearly impossible unless federal mediators determine that further negotiations are futile. The union asked the National Mediation Board for permission to begin a 30-day countdown to a strike, but the panel denied the request, ruling that the two sides could still reach an agreement.
Biden said officials in his administration, including Transportation Secretary Pete Buttigieg and acting Labor Secretary Julie Su, had worked “to help both sides secure this agreement, averting a strike that would have been devastating to the industry and consumers.”
Biden became the first president to join a union picket line during his tenure during last year’s United Auto Workers strike, and called for support for unions ahead of the November elections.
“I am proud of the record wages and record contracts that workers have secured during my administration,” he said in the White House statement. “When unions are strong, our nation is strong.”