I wish you all a Happy Holiday! As the end of 2023 approaches, I want to thank each of you for your engagement this year. Your solidarity resulted in an industry-leading contract that set the bar for our profession. $7.2 billion of added value to our contract does not happen due to management benevolence. The unity of over 16,000 Delta pilots moved the needle, especially in those final weeks following our strike vote. United followed our lead, with the Delta pilots receiving an additional 2% increase in pay rates thanks to our negotiated “me too” clause. On January 1, you will receive a 5% increase in pay rates per our new PWA, in addition to our DC increasing to 17%
As we begin to prepare for the upcoming year, I’d like to briefly recap our collective accomplishments during the last 12 months.
Implementation
To date, we have implemented approximately 130 contractual provisions, the majority of which improve the scheduling-related sections of our PWA. Global Scope is now part of our PWA and provides Delta pilots with industry-leading job protections. The Company is in compliance with the new language, and we continue to track this data.
MBCBP and GVUL
ALPA has worked closely with the Company and third-party administrators to implement our new retirement and insurance products. The Market Based Cash Balance Plan (MBCBP) is a first for airline pilots. For those who chose to participate in the plan, you now have a tax-deferred investment option for 401(k) spillover cash. United followed suit in its negotiations and established a similar plan.
The Group Variable Universal Life (GVUL) begins on Jan. 1, 2024. This optional life insurance plan includes a tax deferred investment feature. Pilots can build cash value by contributing to the investment feature. Earnings on your investments grow tax deferred and participants can access cash when needed. And next year, we expect to complete work on offering a Non-Qualified Deferred Compensation (NQDC) Plan as yet another retirement plan available to interested pilots.
Contract Enforcement
There have been bumps in the road during contract implementation. However, ALPA continues to fight for every provision we negotiated, filing grievances when needed. Often, the fastest and most efficient way to resolve issues is through direct engagement with management. To that end, your MEC officers, as well as committees, meet weekly, if not daily, with management to resolve disputes.
Collaboration
I’m pleased to report that committees, such as the RCC, now have a seat at the table with their Company counterparts to input monthly pilot rotation requests. These inputs are based off RPS data in an effort to improve pilot quality of life. Additionally, our Fatigue Risk Management Team (FRMT) has been able to leverage new PWA language to proactively interact with the Company during the rotation construction process and provide input prior to bid package publication. These are significant steps in the right direction. Involving ALPA in the process early on will result in better trips, less fatigue and improved quality of life – and a more efficient operation for Delta.
Pilot Pay
Understanding your paycheck has been a long-standing issue for Delta pilots. Improvements to our PWA, like reroute pay, have highlighted how antiquated our pay system is. I have brought this egregious issue to the highest levels of Delta management and received commitments that resources are finally being dedicated to fix the problem. You have recently seen Flight Ops SVP Ryan Gumm take personal accountability for pay transparency. This acknowledgment of pilot concerns is positive, but we must see results. The bottom line is that pilot pay must be transparent, timely and correct. Ensuring that management can deliver on its promises is a priority as we head into the new year.
Strength in Numbers
On the national front, ALPA is now 77,000 pilots strong. Air Canada’s 4,800 pilots voted overwhelmingly to merge with ALPA in May. Additionally, through good stewardship of dues dollars, the Delta MEC was able to issue the largest dues refund in our history this year.
I wish each of you a happy and safe holiday season. Thank you for unity, solidarity and continued engagement.
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