JetBlue Airways Offers Early Retirement Packages to Pilots
JetBlue Airways is offering early retirement packages to some of its pilots, according to a letter from the Air Line Pilots Association (ALPA) sent to its members on Friday. The carrier is attempting to reduce costs and increase revenue through various initiatives, including the introduction of new first-class seats. The move comes as the company deals with the Pratt & Whitney engine recall, which has grounded some of its airplanes.
The voluntary separation bids are open until February 7, and pilots will be eligible to participate if they are 59 years old on or before March 31. Under the agreement, pilots will receive pay in the amount of 55 hours of their hourly rate, whichever is less, to their mandatory retirement day or 18 months from the separation agreement.
As an example, an Airbus A320 captain with 12 years of experience and turning 65 in December 2027 would receive $416,293.02, while an Embraer E190 captain with eight years of experience and turning 65 at the end of the year would get $160,858.91.
JetBlue reported quarterly results on Tuesday but did not immediately comment on the story. The company is set to report its next set of quarterly results on Tuesday.