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Southwest Airlines' new mechanics contract gives immediate 20 percent pay hike

By Bloomberg, via Dallas News

Mar 18, 2019

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Southwest Airlines Co. and the union for its mechanics reached an agreement in principle for a new contract Saturday, amid an exchange of lawsuits and more than six years after beginning negotiations.

The proposed five-year accord would give mechanics $160 million in retroactive pay, an immediate 20 percent raise effective April 1, and 3 percent annual increases each August, according to a joint statement from the Aircraft Mechanics Fraternal Association and Southwest.

The terms are an improvement from a proposal union members rejected in September, but since increased in part because of the added time they had worked without a new contract.

Southwest secured work rule changes that will allow the low-cost carrier to become more efficient. The two sides must put the agreement into contract language before it is sent to members for a vote.

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