Latest news today February 9, 2017 on Hawaiian Airlines and whether or not the company’s pilots are heading towards a work stoppage.
Today’s News from Hawaiian Airlines
A strike has almost definitely been averted and a deal should soon be consummated. The parties are finalizing terms of the proposal and then a vote will happen. Pilot’s are set to receive up to 40% more – depending on aircraft and seniority. That means that their most seasoned A330 captains’ pay will rise from about $223K to $313K. It will be retroactive to 2015, resulting in an additional cost to Hawaiian of about $40M.
“It definitely will be a significant gain year over year for the pilots.” — Hoon Lee, ALPA. Interestingly, union leaders voted 3 to 1 to accept the deal, with Lee voting against it because he didn’t feel it represented adequate value.
Beat of Hawaii indicated in January the a deal was likely at hand.
News at that time from executives at Hawaiian Airlines revealed a lot about what to expect in the pilots’ union negotiations:
Hawaiian Airlines booked a $20 million expense in the last quarter specifically related to the ongoing pilot labor contract negotiations. While the company did not portray that charge as an indication that a settlement is near, it is our sense that in fact that is the most clear indication to date that a settlement is approaching. Obviously the company and the union would not comment further so as not to prejudice the negotiations.
Is a strike imminent? Definitely not. We are continuing to apprise you of this latest development. At Beat of Hawaii are more convinced than ever there will ultimately be no strike. We are continuing to make reservations and fly on Hawaiian Airlines ourselves.
Should you purchase travel insurance? While not needed anymore to cover a strike, you can and should at least consider buying travel insurance to cover all of your non-refundable travel expenses.
Whether to buy trip insurance is a completely personal decision. We’re choosing to do so more frequently now than in the past for multiple reasons. Recently for example, we risked missing a flight and a cruise when the possibility of a hurricane threatened service interruptions. Trip insurance would have added peace of mind and in the end cost less than the airline change fees and other expenses we subsequently incurred.
Note: Beat of Hawaii will continue to update this page as changes warrant.