American Airlines reaches contract with mechanics and ground workers

DALLAS – The Dallas Morning News reports ground mechanics and similar maintenance technicians at American Airlines have reached a two-year tentative agreement to extend their current contract with new raises and other perks. The agreement, which still must be ratified by over 34,000 members of the Transport Workers Union-International Association of Machinists and Aerospace Workers, is a two-year extension that goes into effect Jan. 1 and ends in 2027. A deal was reached after a month of negotiations with the Fort Worth-based carrier. IAM Districts 141 and 142 represent mechanics, fleet service and other related workers at American. Average wage increases for members in January will range from 10.8% to 16.7% and 18% to 26% over the life of the extension. The contract also includes increases in license pay, skill pay and crew chief pay.

“The IAM continues to negotiate agreements that are fundamentally changing the landscape of the entire airline industry,” said Richie Johnsen, general vice president of IAM air transport territory in a release. “By continuing to win contracts that push wages and retirement security to new heights, we are lifting every worker and community that makes the world move.” The previous contract, valued at $4.2 billion, was reached in 2020 after the sides took nearly five years to reach a deal. It was one of the most contentious labor battles in the history of the airline. In 2019, American went to court with the union, accusing leaders of telling their members to slow down work and turn down overtime to increase pressure on American as the parties negotiated a new combined contract after four years of talks. The judge ultimately ruled in favor of American and issued a permanent injunction against workers to give stricter oversight over employees until a deal was made. “We are pleased to have reached a tentative agreement on a contract extension with the TWU-IAM Association,” an American Airlines spokesperson said. “With ratification, this agreement would bring significant increases in pay rates and premiums for our technical operations, fleet service, cargo and central load planning team members — further bolstering our commitment to ensuring our team is paid well and competitively.”