(Bloomberg) -- Alaska Air Group Inc. flight attendants rejected a labor agreement that would have increased pay an average 32% over its three-year term and shorten the time needed for crew members to reach the top wage scale.
The contract was rejected by 68% of those who voted, the Association of Professional Flight Attendants-CWA said in a statement Wednesday.
“We will fight to address membership concerns as expeditiously as possible,” the union said.
The union will now survey members to determine why the contract was rejected, draft new proposals and seek further negotiating dates with the National Mediation Board, which was overseeing the talks, according to its statement.
The vote contrasts with a string of new contracts across the US airline industry over the past year that provide record compensation. The higher pay has added to cost pressures facing airlines also contending with delays in new aircraft deliveries, inflation and parts shortages. Labor and fuel are the largest expenses for carriers.
Southwest Airlines Co. flight attendants approved a $6.3 billion contract in April and American Airlines Group Inc. workers are voting now on a new agreement. Talks are continuing at United Airlines Holdings Inc.
Federal antitrust regulators face an Aug. 16 deadline to decide whether to sue to block Alaska’s pending $1.9 billion acquisition of Hawaiian Holdings Inc. or allow it to go forward. The carriers announced the agreement in December.
Alaska’s shares were unchanged after the close of normal trading Wednesday.
(Corrects time reference in seventh paragraph.)
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