Delta Tentative Agreement: What You Need to Know

Delta Air Lines has been in negotiations with the International Association of Machinists and Aerospace Workers (IAM) for a new labor agreement. After months of talks, the airline and the union finally reached a tentative agreement in late June.

The proposed contract covers around 13,000 employees, including mechanics, technicians, and other ground workers. The agreement would last for four years and includes various improvements to wages, benefits, and work rules.

Here are some of the key details of the Delta tentative agreement:

Wages: The agreement would provide significant wage increases for IAM-represented employees. The pay increase would be retroactive to January 1, 2021, and would range from 4.5% to 18.5% over the life of the contract. The exact percentage increase would depend on the employee’s job classification and years of service.

Benefits: The agreement would also improve employee benefits, including health care, retirement, and short-term disability. The airline would increase its contribution to employee health care premiums and provide a new defined contribution retirement plan. Additionally, the agreement would create a new short-term disability plan that would provide income replacement for up to 26 weeks.

Job security: Delta and IAM also agreed to language intended to protect employees’ jobs. The airline committed to not outsourcing work covered by the agreement, with some limited exceptions. The agreement would also increase job security for employees in the event of a merger or acquisition.

Work rules: The tentative agreement includes several changes to work rules, such as allowing employees to use vacation days to bid on overtime and allowing for a shorter probationary period for new hires. The agreement would also make improvements to paid time off, including increasing the number of paid holidays.

The tentative agreement must still be ratified by a majority of IAM members. If approved, the new contract would take effect on July 1, 2021, and run through June 30, 2025. IAM has said it will hold a vote on the agreement in the coming weeks.

Delta CEO Ed Bastian praised the tentative agreement in a statement, saying it would “reward our people for their hard work, keep Delta competitive, and position us for long-term success.”

Overall, the Delta tentative agreement represents a significant improvement for IAM-represented employees. The proposed contract includes wage increases, better benefits, and stronger job security provisions. If ratified, it would be a positive development for both workers and the airline.