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Why Investors Shouldn't Be Alarmed by the American Airlines Pilot Raises

2015-02-08 16:33:04| Airlines - Topix.net

There is a tendency among many investors to fear wage increases as negatives to the bottom line, and the recent contract approved at American Airlines Group ( While the wage increase percentage being reported looks high, it's necessary to dig deeper to understand what it really means for the airline. A big raise... or is it? The recently approved contract by American Airlines Group's pilots contains something many of us would like to see at our own jobs: a 23% raise followed by 3% raises each year afterward.

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