United Airlines 2024 Industry Reset Model Update

The United Airlines Teamsters National Negotiating Committee is working hard to reach a tentative agreement for a strong new contract for the membership.

Because our reset calculation shows us to be above our competitors by a substantial enough margin, wages for United Airlines technicians will not increase as part of the 2024 Industry Reset Model.

This model was created to ensure the value of the United technicians agreement is at least 102 percent of the average pay and benefits received by technicians at American Airlines and Delta Airlines. The 2024 Reset Model showed that United technician pay and benefits are above the threshold needed to trigger an adjustment to our wage scales.

The Reset Model considers five factors to assess the total value of the United technicians agreement. This value is then compared to the average value of the same five factors for technicians at American and Delta.

The five elements are:

1. Pay – Technicians all-in wage rate (scale rates, A&P Licenses Premium, Line Premium and Longevity Premium) and VEBA

2. Paid Time Off – vacation, sick, and holidays

3. Benefits – employer’s medical cost share and retirement contribution

4. Profit Sharing – applies the profit-sharing percentage to annual United Airlines pre-tax profits

5. Scope – the ratio of Technicians heads per mainline aircraft

Since the December 2022 reset, rates for top-of-scale technicians have increased by 18.0 percent at United, 8.4 percent at Delta, and 3.6 percent at American. Together, the average wage increase for American and Delta technicians is 6.0 percent since the reset was calculated in 2022.

The value of our contract is also higher due to United technicians paying lower medical premiums, earning more paid vacation time, and receiving more holidays and sick leave than the average of American and Delta technicians. It should be noted that the wage rates recently won by American Airlines technicians do not take effect until January 1, 2025, and are not allowed, per the CBA, to be used in the current Reset Model.

Additionally, the Reset Model analysis is run every 12 months after the United contract amendable date (12/05/24) to ensure that United technicians remain above the average of American and Delta during the bargaining period. This is a unique contract provision, not often seen in our industry, that provides the opportunity for wage increases during the negotiation process. With this unique contract provision, United technicians ensure that their total compensation remain at least 102 percent the average of American and Delta throughout the negotiation process

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United Airlines Bargaining Update SPECIAL ANNOUNCEMENT

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United Airlines Bargaining Update 12/4/24