American Airlines pilots’ union rejects pay hike proposal

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The Allied Pilots Association (APA) has been pushing for higher wages and improved schedules among other things, at a time when the air travel industry is facing a staff shortage, impacting the company’s ability to meet robust air travel demand.

The APA in a tweet on Wednesday said the proposed agreement received 15 votes, with just five in its favour.

The company last month offered a 19% pay increase to its pilots over two years in a new contract, after proposing in June to hike the base pay by about 17% through 2024.

American Airlines shares were down 1.6% in afternoon trade.