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Delta offers pilots hefty pay raises as unions flex bargaining power

Delta has offered a 34% cumulative pay increase to its pilots over three years in a new contract, demonstrating the bargaining power aviators are enjoying in a short-staffed industry with booming travel demand. If the deal is approved by Delta pilots, it is widely expected to act as a benchmark for contract negotiations at rivals United Airlines and American Airlines. Delta pilots will get a raise of at least 18% raise on the date the contract is signed, another 5% after one year, 4% after two years and 4% after three years, according to a draft contract seen by Reuters. They will also get a one-time payment equivalent to a cumulative 22% of their earnings between 2020 and 2022 after the deal is ratified. The Atlanta-based carrier's pilots have been working without a new contract for nearly three years after their old contract became amendable in December 2019, fueling frustration. They voted overwhelmingly in October to authorize a strike if negotiators could not reach an agreement on the new contract. The hefty pay raises are expected to further worsen cost pressures for carriers just as concerns over a US recession spark worries about consumer spending. Although ticket sales remain strong, investors fear travel demand could slip, making it harder for a debt-laden industry to repair its balance sheet. They fear carriers might be forced to borrow even more money to fund operations.<br/>

ITA Airways launches bus code-share

ITA Airways has launched cooperation with Itabus, a privately-owned bus company, to operate bus services from two Italian cities to Rome Fiumicino under the carrier's AZ flight code. Itabus will run 2x daily between Fiumicino and each of Pescara and Perugia. Connections launched on December 1, 2022, and are scheduled to fit the airline's Rome connecting banks. Pescara, a city located on the Adriatic coast, is currently served by ITA Airways up to 2x daily, albeit exclusively from Milan Linate. The airport also sees scheduled flights operated by Ryanair and Wizz Air. In turn, Perugia, the regional capital of Umbria, is not served by the flag carrier. Scheduled flights out of the city are operated by Ryanair, Wizz Air, AlbaStar, and Albawings. Neither of the cities has direct air connections to Rome at this point, the ch-aviation schedules module shows. Other airlines operating aircraft/bus intermodal services include Lufthansa (services from Frankfurt Int'l to Strasbourg and from Munich to Nuremberg and Kempten) and American Airlines (services from Philadelphia Int'l to Atlantic City and Allentown).<br/>