Allegiant Flight Attendants Approve New Five-year Labor Contract

(RTTNews) - Allegiant Travel Co. (ALGT) and the Transport Workers Union of America, AFL-CIO Local 577, representing Allegiant's flight attendants, ratified a new five-year agreement with immediate wage increases ranging from 20 percent to 41.2 percent, the company said in a statement on Tuesday.

The tentative agreement was ratified by Allegiant flight attendants with an 89 percent approval vote and 97 percent of members voting. The TWU Local 577 represents more than 1,700 Allegiant flight attendants.

Flight attendants received an average pay increase of 25 percent upon the contract's ratification. Flight attendants at the top of the wage scale receive a 41.2 percent wage increase.

In addition to pay raises, the new contract provides several quality of life improvements for TWU 577 members. One major improvement is the greater "duty rig," which will increase the amount of time flight attendants are paid for being on duty. The new contract also contains an improved 401k match, a cap on healthcare cost share increases, and other insurance improvements.

In addition to the average 25 percent wage increase upon ratification, all flight attendants will receive an hourly pay increase of 3 percent each year, for a combined 41 percent average wage increase over the life of the contract.

In addition to wage increases, the Local 577 members will receive a combined $10 million lump sum bonus. Flight attendants will receive a minimum $1,500?lump sum bonus or a bonus of about $1,013 per year of service, whichever is greater.