Pilots at rivals call Delta's pay offer a new 'benchmark'

Delta's offer to give pilots a 34% cumulative pay increase in a new four-year contract has boosted hopes of similar raises at rivals United Airlines, American Airlines. While Delta's offer still requires the approval of union leaders and then a ratification by its pilots, aviators at United and American told Reuters the Atlanta-based carrier has "raised the bar" with a "very strong" proposal. "This is going to be the benchmark," an American pilot said. Delta's offer also includes a lump-sum one-time payment, reduced health insurance premiums, and improvements in holiday pay, vacation, company contributions to 401(k) and work rules. Its union estimates the proposed deal represents more than $7.2b of cumulative value increases over the next four years. Both American and United have promised an "industry-leading" contract to their pilots. As a result, any proposal seen as inferior to Delta's will likely have no takers. "United leadership has said that they want to see what the market is," a pilot at the Chicago-based carrier said. "If this contract gets accepted and ratified by the Delta membership, then that'll be the new market." The Allied Pilots Association, which represents American Airlines pilots, sent a message to its members on Saturday calling Delta's proposed deal "a significant event" and said it would "stimulate other ongoing labor negotiations".<br/>