Envoy Air (MQ, Dallas/Fort Worth) has reached a tentative agreement with its pilots union, represented by the Air Line Pilots Association (ALPA), concerning the operations of larger E175 aircraft.
Under the terms of the 10-year agreement, still subject to pilots' ratification, parent American Airlines (AA, Dallas/Fort Worth) will place 40 EMB-175s with the carrier beginning in the fourth quarter of 2015 with provision for an additional 90 of the type should American Airlines choose to exercise its options with Embraer (EMB, São José dos Campos Professor Urbano Ernesto Stumpf).
In return, pay scales for pilots are to be frozen until 2018 with 1% annual pay increases beginning thereafter. Upon signing of the contract, captains will receive a USD12,500 bonus and first officers USD7,500. The pilots’ profit-sharing plan will also be eliminated in the new agreement.
"If ratified, this Tentative Agreement will form the foundation for a bright future for our company. It will be especially promising for our pilots, providing them new, large and modern aircraft to fly and a faster path to a career at American Airlines," CEO Pedro Fabregas said.
The agreement is similar to one rejected by the pilots in March. The rejection has lead to American significantly downgrading Envoy's operations while placing new Embraer jets with other partners affiliated to American Airlines Group.
