- Regional carriers operated by American Airlines Group Inc AAL intend to increase pilot compensation by 50% through the end of August 2024, the latest hint that airlines are willing to pay up in the hopes of ending a pilot shortage that has left some travelers with fewer flight options, reported CNBC.
- This will pressure other airlines, as the raise makes the regional airlines pilots the highest paid in the country.
- Related: United States Faces Severe Pilot Shortage, Searches For Solution: CNBC
- The temporary increments, including separate, permanent pay increases, will boost hourly wages for Piedmont Airlines' first officers in their first year of flying to $90 an hour, up from $51 an hour, according to the company.
- First-year captains will be paid $146 per hour, up from $78. The airline's CEO stated that the temporary price hikes could be extended if necessary.
- "Attrition of the regional pilots, particularly the captains, has really spiked to the point where we're not able to put our fleet in the air," Piedmont CEO Eric Morgan told CNBC.
- Price Action: AAL shares are trading lower by 10.40% at $13.17 on the last check Monday.
- Photo via Wikimedia Commons
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.
All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.
Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.
Rate collection and criteria: Click here for more information on rate collection and criteria.