American Airlines is reportedly preparing to offer its pilots similar benefits recently announced by rival Delta Air Lines.
On Tuesday, Reuters reported that American Airlines CEO Robert Isom told pilots that matching Delta's new offerings will result in a contract worth more than $7 billion for them through increased pay rates and profit sharing.
Isom told the outlet the new deal would be a "game changer" for pilots flying for American.
To match Delta's deal, which went into effect last Thursday, Isom said American pilots would receive an average pay increase of 21% in the first year of the contract – total pay increases in the fourth year would be 40%.
Last Wednesday, Delta's 15,000 pilots approved of an agreement that would result in a 34% increase in pay raises over four years, ultimately costing the company around $7 billion.
The Atlanta-based carrier also offered a lump-sum one-time payment, reduced health insurance premiums and improvements in holiday pay, vacation, company contributions to 401 (k) and work rules.
Last Wednesday, Delta's 15,000 pilots approved of an agreement that would result in a 34% increase in pay raises over four years, ultimately costing the company around $7 billion.
The Atlanta-based carrier also offered a lump-sum one-time payment, reduced health insurance premiums and improvements in holiday pay, vacation, company contributions to 401 (k) and work rules.
This article originally appeared on Fox Business