National Mediation Board Says Parties Met 2X in April, But Nothing’s Inked Yet

FedEx pilots added the fourth annual notch in their prison wall carving this week, marking 4 years of negotiations since they opened things up in 2021.

FedEx pilots have been flying using the last Collective Bargaining Agreement from November of 2015, soldiering on as they try to reach an agreement with the company. It’s a tough spot to be in, considering the fact they missed the bonanza of contracts the industry underwent since 2021. Delta pilots got a cool 18% that ramps up to a 34% or so cumulative pay bump in March 2023; United Pilots got a cool 40% in September. Southwest didn’t lag too far behind, starting off 2024 with a contract for an immediate 20% bump that grows to 29% over a 5-year period. FedEx pilots say they’ve been working with their ALPA reps with the FedEx Master Executive Council, aiming for a Tentative Agreement “by the end of May 2022.” There was an initial agreement in May 2023, “but the agreement was ultimately rejected in July 2023 by the pilot group, which, in an overwhelming voter turnout, cited concerns with scope provisions, economic shortfalls, and quality of life concessions.”

“The case has been under federal mediation since October 2022,” the ALPA says. “Since then, FedEx has implemented a financially engineered corporate transformation under a cost-savings discipline termed “DRIVE” and a “One FedEx” business strategy that aims to merge air and ground network operations. The Corporation has since closed a pilot base in Europe and outsourced all mainline 757 trunk aircraft European air operations to foreign carriers. The pilot group is disappointed at FedEx’s failure to address its plans during initial bargaining efforts, and it expects to change pace with a contract that reflects a collaborative future and growth in international market share.”

 A recent statement by FedEx MEC chair Jose Nieves calls on management to “reassess the impact of recent optimization decisions and collaborate with us on a way ahead—a future that balances safety, productivity, and quality of life in a challenging operating environment.”

According to the National Mediation Board, both parties met twice in April and have additional dates planned for mediated negotiations. But past that? Everything still lopes along.

FMI: www.alpa.org