© Reuters. FILE PHOTO: A Federal Express cargo plane approaches to land in San Diego, California August 24, 2020. REUTERS/Mike Blake/File Photo
By Lisa Baertlein
LOS ANGELES (Reuters) – The union representing more than 6,000 pilots at FedEx (NYSE:) said on Thursday it plans to resume contract negotiations with new leadership next week.
The Senior Executive Council of FedEx, the governing body of the delivery company’s unit within the Air Line Pilots Association (ALPA), announced Monday that it had elected Billy Wilson as its new president after union members rejected a tentative contract with the company in July.
The National Mediation Council confirmed its offer to convene an initial bargaining session between ALPA and FedEx management in Memphis on November 6-7, the union told Reuters in an email.
FedEx did not immediately respond to a request for comment.
The tentative FedEx agreement rejected by the pilots included a 30% pay increase over four and a half years and a 30% increase in their previous pensions, according to ALPA.
Wilson called for pay on par with pilots at other airlines, where professional pilots got significant raises, reflecting their bargaining power at a time of staffing shortages.
American Airlines (NASDAQ:) pilots, represented by the Allied Pilots Association (APA), ratified an agreement in August that increases their pay by more than 46% over the four-year term of their contract.
Meanwhile, rival FedEx Plain package Service (NYSE:) is offering early retirement to pilots amid falling demand for the industry’s fastest air delivery services.