Amazon Air Earn Less Than Their Colleagues At UPS And FedEx

The pilots World Health Organization deliver your Amazon Prime packages area unit paid significantly but their peers at different air-cargo carriers.

Business business executive interviewed thirteen current and former pilots World Health Organization have worked for third-party airfreight corporations that fly Amazon Air-branded planes. The pilots worked for subsidiaries of transportation Services cluster (ATSG) and Atlas Air Worldwide Holdings. All area unit primarily based within the USA and fly each domestically and internationally.

These airline corporations give Amazon with leasing, staffing, maintenance, and insurance. The pilot teams World Health Organization work with Amazon area unit ABX Air, transportation International (ATI), and Atlas Air. ABX and ATI area unit in hand by ATSG, and Atlas Air Worldwide Holdings owns Atlas Air.

These pilots area unit all unionized. ABX and Atlas pilots area unit in Teamsters native Union 1224, whereas ATI pilots area unit in Air Line Pilots Association International (ALPA).

Read more: associate Amazon Air plane crashed in February, killing all three folks on board. Weeks earlier, many pilots same they thought associate accident was inevitable.

Amazon failed to reply to recurrent requests for comment from Business business executive.

In a statement concerning different problems at ATSG, a representative told Business business executive concerning pay and union negotiations, “Contract negotiations still be conducted underneath the auspices of the National Mediation Board, and that we anticipate to their satisfactory conclusion.”

Bill Flynn, Atlas Air Worldwide chief operating officer, told Business business executive in an exceedingly statement 5 days when this story was published:

Any alleged delay in going to successive pilot contract has been an on the spot results of the union’s refusal to stick to its written agreement commitments, which offer for associate orderly and timely resolution of unresolved written agreement problems. Had union leadership followed the CBA, the pilots would have had a brand new contract by currently.

Even a first captain at FedEx earns over a captain World Health Organization flies for Amazon Air and has been with the corporate for many years, Boeing 767 captains with the utmost years of company tenure at ATSG associated Atlas earn up to $246 an hour, in line with their labor contracts and knowledge announce on the salary-report web site Airline Pilot Central.

But serving as a captain on a similar plane with the utmost years of company tenure is way additional remunerative at different product airlines.

Pilots with the utmost years of expertise earn $313 associate hour at FedEx and $309 at UPS. (Maximum expertise at UPS and FedEx is fifteen years, whereas it’s capped at twelve years at Atlas, ABX, and ATI.)

Even smaller product airlines, like Kalitta Air, pay higher than ATSG and Atlas. Kalitta 767 captains earn $273 associate hour. No different airlines flying 767s had remuneration data in public on the market.

Read more: Amazon took over the $176 billion marketplace for cloud computing. currently it’s exploitation a similar playbook in supply best amazon seller tools.

So the average Amazon Air captain makes concerning thirty third but FedEx and UPS captains on the average for flying a similar plane once reaching the utmost years of expertise.

The split in pay is thus exceptional that even a first captain at FedEx earns over a captain at Amazon Air World Health Organization has been with the corporate for many years ($258 associate hour at FedEx).

Airplane Pilot Central; Andy Kiersz/Business business executive

For people who area unit beginning as initial officers or copilots, there is a similar discrepancy in pay.

The average initial officer with most years of expertise at associate Amazon Air contractor earns $148 associate hour — nearly $100 but their peers at FedEx and UPS.

Airplane Pilot Central; Andy Kiersz/Business business executive

ABX and Atlas pilots haven’t received raises in an exceedingly decade, Pilots area unit nearly universally unionized. Even pilots at FedEx, whose working class isn’t fully unionized, area unit in an exceedingly union. Meanwhile, associate current pilot shortage has forced airlines across the spectrum to lift wages.

“In the last 2 to a few years, we have seen extremely important remuneration will increase,” Bob drinking glass, the chief operating officer of Alerion Aviation, antecedently told Business business executive. “People area unit desirous to keep their airplanes staffed.”

But ABX Air and Atlas Air pilots haven’t received raises in nearly a decade.

The union contracts at ABX and Atlas are amenable since 2015, that means they’re still in impact however on the market to be negotiated. Negotiations, that area unit reaching their fifth year, are difficult, in line with every pilot Business business executive spoke with. Pilot union negotiations area unit usually long — FedEx’s most up-to-date pilot labor negotiations lasted 2 years, whereas UPS’s went on for three 1/2 years.

However, the ABX and Atlas contracts currently in situ were negotiated throughout the money crisis, and pilots same the contract was “concessionary” in many ways. They allowed their pensions and aid matches to freeze, gave up vacation days, and took pay cuts. Pilots same that was to save lots of the airlines, that were troubled financially. Atlas Air had declared bankruptcy many years before.

ATI pilots, World Health Organization additionally fly for Amazon Air, won a brand new collective agreement in 2018. The new union contract had average wage will increase of {41st|forty initial} to fifty one for captains and forty fifth to fifty fifth for first officers. Still, pilot pay is below different product airlines — ATI captains with decades of company expertise earn twenty seventh but captains with a similar expertise flying a similar jet at FedEx.

To keep Amazon as a client, the pressure is high on Atlas and ATSG to stay labor prices negligible. (Amazon recently hit the headlines for ditching another third-party supply company.)

“Amazon is doing everything attainable to stay their shipping expense low as a result of it’s flight,” brandy Wulfraat, the president and founding father of supply-chain practice MWPVL International, told Business business executive.

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