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  Alaska Airlines

  IATA/ICAO Code:

  AS/ASA

  Airline Type:

  Full Service Carrier

  Hub(s):

  Anchorage International Airport, Los Angeles International Airport, Portland International Airport, San Francisco International Airport, Seattle-Tacoma International Airport

  Year Founded:

  1932

  Alliance:

  oneworld

  CEO:

  Ben Minicucci

  Country:

  United States

  Region:

  North America

In a happy turn of events, Alaska Airlines and the International Association of Machinists negotiated a two-year agreement including raises for 5,300 gate agents, stores personnel and office staff, as well as for ramp workers who load cargo. Amazingly, according to the Seattle Times, the deal only took a week of negotiations.

A meaningful investment

According to Alaska's Jenny Wetzel, VP of labor relations.

"Over the last year, the Company needed to make numerous hire-in exceptions as the wage scale initially negotiated back in 2019 was no longer appropriate. Together we engaged in solutions that improve our employees’ quality of life and are good for Alaska’s long-term success. We are all very proud of this new agreement."

The Seattle Times also interviewed Richard Johnsen, the International Association of Machinists (IAM) General Vice President responsible for airline workers, who said wages would start at over $18 an hour, and the salary scale will top out at $34 per hour. Johnsen was happy about a week's negotiations that, if ratified, will conclude with, “The highest-paid employees in all of those classifications for the entire airline industry.”

Johnsen also said,

IAM members have built Alaska Airlines into a perennial top-performing airline, and now, they have an industry-leading contract to vote on that rewards their dedication, skill, and sacrifice.

According to the airline, the main benefits now up for ratification are:

• Raise base wage rates for all classifications to between 8.9% and 17.4% on Aug. 10, 2022.
• Further raise all base wages rates for all classifications by 2.5% on Aug. 10, 2023
• Base wage rate will also increase a minimum of 2.5% on Aug. 10, 2024 and Aug. 10 2025, subject to an industry review.
• In 2024 and 2025, the agreement calls for an industry review, which will give employees a minimum 2.5% base wage rate or the percentage required to match the top of the scale as the No. 4 airline, whichever is greater.

Meanwhile, Delta is giving only a 4% pay hike

It's worth noting that according to CNBC, Alaska Airlines' biggest competitor also using Seattle-Tacoma International Airport as a hub - Delta Air Lines - is only giving out a 4% pay increase to all employees. The airline is currently attempting to stall efforts to unionize its flight attendants based out of DeltaAFA.org. Delta is dealing with an insufficient workforce to meet travel demand.

Alaska Airlines' recent award credited to frontline workers

According to Air Transport World Editor-in-Chief Karen Walker, Alaska Airlines received the Airline of the Year recognition because,

"The Alaska Airlines Team is always at the top of its game with friendly customer service and a true dedication to its colleagues, community, and the planet. To have stayed on top and continued to invest in its future through such challenging times shows the remarkable strength and adaptability of Alaska Airlines, and we sincerely congratulate them."

In a June 14, interview with Walker, Alaska Airlines' CEO Ben Minicucci said about receiving the Air Transport World Airline of the Year award:

"When I look at Alaska over the last two decades, and I look at everything we've tried to build, it's, it's just been that journey of balancing all the needs of people that depend on us. So it's balancing the needs of our employees who are just, you know, just they deserve all the credit for this award, everything that they've done, and they work for embodying the values of this company. ... It's that they're the ones who really brought this award home."

One of the things that CEO Minicucci wants as a hallmark of his tenure is not just customer service but also caring about employees. For instance, shortly after the Alaska Airlines pilots union had their informational picketing, CEO Minicucci was on the phone with the pilots union's president with, in the words of the union president, "A strong desire to get negotiations on track, and to focus forward and to be able to get a deal done."

Do you think Alaska Airlines is doing well by her employees or can do better? Please let us know in the comments.

Sources: Aviation Week, CNBC, Seattle Times,