EAGAN, Minn., Oct. 14 (UPI) -- Pilots at Minnesota-based Northwest Airlines have reached a tentative two-year concessions deal that would cut wages and benefits by $265 million a year.
Northwest has lost $2 billion since early 2001 and has the second-highest pilot labor costs in commercial aviation after Delta Air Lines. Details of the proposal were not released but the tentative pact was expected to cut pilot's wages and benefits by $265 million, the Minneapolis Star Tribune said.
Management and salaried employees would give up $35 million in annual wages and concessions under the agreement.
The Air Line Pilots Association offered to cut labor costs by $200 a year in April, but struggling Northwest said it needed larger concessions as part of a plan to cut annual labor costs by $950 million.
The executive committee of the pilots' union will vote by Sunday whether to send the pact to membership for a ratification vote.
