The shipping giant FedEx and the union representing over 5,000 of its aviators announced Wednesday they have struck a preliminary contract agreement following nearly three years of bargaining sessions.
Negotiations between FedEx executives and the Air Line Pilots Association (ALPA) have been ongoing since May 2021.
The proposed contract would boost pilots’ hourly compensation by approximately 40% by 2026, with additional yearly raises of 3% scheduled from 2028 through 2030, according to union officials.
Senior pilots serving as captains would receive retroactive compensation up to $150,000 for wages lost during the extended negotiation period, while first officers would collect up to $102,500 in back pay.
“The tentative agreement will next be presented to the FedEx Master Executive Council for their review,” union representatives stated, noting the agreement emerged from discussions facilitated by the National Mediation Board.
The Memphis-based shipping company, which maintains the globe’s largest cargo aviation fleet with 390 freight aircraft and 313 turboprop planes, has verified the preliminary contract with its aviators’ union.
Last year, company pilots voted down a previous proposed agreement that included a 30% salary boost and enhanced retirement benefits, with younger aviators expressing concerns about job outsourcing practices.
