financetom
Economy
financetom
/
Economy
/
Southwest Airlines reaches tentative agreement with flight attendants' union
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Southwest Airlines reaches tentative agreement with flight attendants' union
Mar 20, 2024 7:09 AM

(Reuters) - Southwest Airlines ( LUV ) said on Wednesday it has reached a tentative agreement, including for better wages, with its flight attendants' union in a new contract covering nearly 20,000 cabin crew members.

The airline's flight attendants had been demanding higher pay and better work rules. The previous contract came up for renewal in 2018.

In the past two years, unions across the aerospace, construction, airline and rail industries have demanded higher wages and more benefits in a tight labor market.

The tentative agreement, which will need to be ratified by workers, marks a third attempt by the largest U.S. domestic carrier to get into a deal with its flight attendants.

Cabin crew members had approved a strike mandate in January after rejecting a second tentative contract, which proposed a 20% pay raise for 2024 and a 3% annual raise in 2025, 2026, 2027 and 2028.

The details of the latest agreement were not disclosed. The Transport Workers Union's local chapter, representing the flight attendants, will present details of the deal - for which the voting will begin in a few weeks - directly to the cabin crew members.

"Our membership is the ultimate authority (on the agreement)," TWU Local 556 President Lyn Montgomery said.

Cabin crews at carriers in Canada and the United States have been demanding to be paid for more of their hours at work - a fundamental change from how the industry currently compensates them by paying largely only when the aircraft is in motion.

Bumper pilot contracts have driven up operating costs across major airlines and have also encouraged other groups to demand similar gains.

Southwest's ( LUV ) rivals American Airlines and United Airlines are also in negotiations with their flight attendants.

Southwest ( LUV ) has ratified contracts with nine worker groups since October 2022. Earlier this year, it reached a new deal with its pilots, which will offer about a 50% pay raise over a five-year period.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
New York Fed paper challenges notion of discount window stigma
New York Fed paper challenges notion of discount window stigma
Nov 22, 2024
NEW YORK (Reuters) - The banks most reluctant to tap the U.S. central bank's discount window to shore up their capital are in fact those who face the highest failure risk, according to new research from the New York Federal Reserve that turns the notion of bank emergency borrowing stigma on its head. The stigma in question is the long-running...
November Michigan Consumer Sentiment Revised Lower from Preliminary Print, Still Above October Reading
November Michigan Consumer Sentiment Revised Lower from Preliminary Print, Still Above October Reading
Nov 22, 2024
10:12 AM EST, 11/22/2024 (MT Newswires) -- The University of Michigan consumer sentiment index was revised downwards Friday to a reading of 71.8 for November from 73.0 in the preliminary estimate, compared with expectations for an upward revision to 73.9 in a survey compiled by Bloomberg as of 7:30 am ET. The index was still above the final reading of...
US business activity gauge rises to 31-month high in November
US business activity gauge rises to 31-month high in November
Nov 22, 2024
WASHINGTON (Reuters) - A measure of U.S. business activity raced to a 31-month high in November, boosted by hopes for lower interest rates and more business-friendly policies from President-elect Donald Trump's administration next year. S&P Global said on Friday that its flash U.S. Composite PMI Output Index, which tracks the manufacturing and services sectors, increased to 55.3 this month. That...
November S&P Global US Flash Manufacturing, Services Measures Both Increase
November S&P Global US Flash Manufacturing, Services Measures Both Increase
Nov 22, 2024
09:57 AM EST, 11/22/2024 (MT Newswires) -- The November flash reading of manufacturing conditions from S&P Global rose to a four-month high 48.8 from 48.5 in October, slightly below an expected reading of 48.9 in a survey compiled by Bloomberg as of 7:30 am ET. The index still suggests contraction in the sector, which is in line with the Philadelphia...
Copyright 2023-2025 - www.financetom.com All Rights Reserved