Southwest Airlines and Pilots’ Union Near Agreement on New Contract

After a prolonged three-year negotiation period, Southwest Airlines and its pilots’ union are on the cusp of a breakthrough. On Tuesday, a preliminary consensus was reached on a new contract, marking significant progress in the strained relationship between the parties.

“We are finally at a place where we think the value of our pilots and their productivity is being realized. Our pilots and Southwest Airlines customers deserve security and confidence in our future, and we believe that this contract achieves that.”

Casey Murray, Southwest Airlines Pilots Association President, via Business Insider

While union leaders have acknowledged a principle agreement with Southwest, the decision for an official tentative agreement hinges on a review by the union’s 25-member board. Set to take place on Wednesday, this evaluation will pave the path for nearly 11,000 union members to cast their vote on the prospective deal.

A representative from the Southwest Airlines Pilots Association (SWAPA) disclosed to CNN that the contract carries a hefty price tag of $12 billion. Although further specifics of the agreement remain undisclosed, this financial figure was initially reported by Reuters.

Southwest Airlines demonstrated its satisfaction with the evolving situation. Chris Perry, a Southwest Airlines spokesperson, expressed the airline’s positive sentiment, highlighting the agreement in principle as a crucial step forward in this drawn-out process.

This agreement surfaced just days after the U.S. Department of Transportation’s announcement of a significant $140 million fine on Southwest. The penalty was the result of a 10-day holiday disruption last year, which left over 2 million travelers stranded and has been labeled as the largest civil penalty ever.

This prospective agreement, if ratified by Southwest’s pilots, will join the ranks of other significant pilot contract agreements within the past 12 months. The likes of Delta Air Lines, United Airlines, and American Airlines have all successfully negotiated deals with their respective pilots’ unions, paving the way for a new era of labor relations in the aviation industry.