- Piedmont and Envoy pilots will receive 50% pay increases through August 2024. | Executives have stated that pilot turnover is widespread at airlines and has stifled growth.
- Smaller carriers serve as a breeding ground for pilots who frequently pass through to larger carriers.
Two American Airlines-owned regional carriers will increase pilot compensation by 50% through the end of August 2024, the latest indication that airlines are willing to pay up in the hopes of ending a pilot shortage that has left some travelers with fewer flight options.
The raises would make regional airline pilots the highest paid in the country, putting pressure on other carriers to follow suit.
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The interim boosts, which include separate, permanent pay increases, will bring hourly wages for Piedmont Airlines first officers in their first year of flying to $90 an hour, up from $51 an hour, the firm said. First-year captains will be paid $146 per hour, up from $78. Piedmont’s CEO warned Monday that the interim hikes might be extended if necessary.
Since last year, as travel demand began to recover from Covid epidemic lows, airlines have been on pilot recruiting binges. However, a persistent pilot shortage continues to stymie growth at a time of high demand, pushing airlines to park planes that service smaller towns. Part of the problem is that airlines pushed pilots to retire early after demand plummeted in 2020, leaving them with too few when traffic resumed. American Airlines
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This has increased competition for pilots.
“Attrition of the regional pilots, particularly the captains, has really spiked to the point where we’re not able to put our fleet in the air,” Piedmont CEO Eric Morgan.
