American Airlines, one of the world’s largest airlines, has announced plans to pay its pilots up to $590,000 per year.
The move comes as the airline industry looks to attract and retain experienced pilots in the face of a growing pilot shortage.
The new pay scale, which was approved by the Allied Pilots Association, the union representing American Airlines pilots, includes significant pay increases for captains and first officers. Captains will see their maximum pay increase from $258,100 to $300,000 per year, while first officers will see their maximum pay increase from $156,900 to $230,000 per year.
The pay increases will be phased in over the next three years, with the first increases set to take effect on April 1, 2023. The move is expected to benefit American Airlines’ more than 15,000 pilots and make the airline more competitive in recruiting new pilots.
The pilot shortage has become a major concern for the airline industry in recent years.