Air Line Pilots Association union leaders and American Eagle management reached an agreement in principle last month that would guarantee the 60 Embraer E175s ordered by American Airlines go to the wholly owned regional carrier. In return, Eagle pilots would have to forego any pay raises until 2018 and accept increases to their contribution to their health insurance premiums starting next year. The pilots would, however, gain greater access to mainline jobs through a new “flow through” agreement that lifts the current limit on hiring of Eagle pilots at American to no more than 30 per month. The new 10-year contract would also ensure that 90 airplanes on which American holds options would go to Eagle in the event the mainline chooses to exercise them.
“For our pilots specifically, this agreement dramatically improves their ability to further their careers at American Airlines by enhancing the company’s industry-leading Eagle-to-mainline flow-through rights for current and new-hire Eagle pilots,” said American Eagle CEO Pedro Fabregas in a letter to employees. “The time it takes for many of our pilots to qualify and be given priority over external candidates for pilot positions at American with this enhanced flow-through will be nearly cut in half, allowing our current pilots to advance quickly at both Eagle and American. It will also help us attract the best new talent because we will be able to offer a clear career path to a mainline carrier and a positive career expectation no other regional carrier can currently offer.”
