Pilots end strike at World Airways
World Airways said it reached an agreement with union leaders on a new three-year contract for its pilots, ending a week-long strike that began after more than two years of negotiations and federal mediation had reached an impasse.
Pilots will resume work immediately after the International Brotherhood of Teamsters reached an agreement with World over the weekend. The contract must still be ratified by the company’s 430 pilots.
World is contacting customers such as EVA Airways, Air Canada, Sonair Services Aero and UPS Supply Chain Solutions to resume operations, but the U.S. military is not one of them because pilots were bound to continue providing service under its contract with the Defense Department. The military is World’s largest customer. The Atlanta-based carrier was able to protect some customers by subcontracting service with other carriers.
The labor dispute revolved around wage increases, job security, insurance and retirement benefits.
A week ago World said the pilots rejected a contract that gave the pilots the option of a 10 percent signing bonus, pay increase of 3 percent in the first year and 4 percent the following two years or a 7 percent signing bonus and a 5 percent pay increase in the first year followed by two 3 percent annual increases.
The contract also committed World to add Boeing 747s to its fleet of 17 widebody aircraft, additional training pay and other benefits.