Update from Payroll Committee

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Fellow Pilots,

Following ratification of our new Collective Bargaining Agreement, the Executive Board and Payroll Committee have been working with the company to ensure the agreement’s new compensation provisions are implemented accurately and on schedule.

We want to provide several important updates regarding Parental Leave, July retroactive pay, August contractual changes, profit-sharing, the new crew pay system, and retention bonus calculations.

Parental Leave: The Union is aware that some pilots have had requests under the new parental leave provision denied since the CBA was ratified. Your Executive Board has been working with the Company to resolve this issue and is currently finalizing the administrative process. We will provide an update to the membership once the process is complete.

July Retroactive Pay and Overages

Retroactive pay for July guarantees will be paid August 15.

For example, a 12th-year Captain with a non-prorated 70-PCH July line holder guarantee will receive:

70 PCH × ($320 − $232) = $6,160 in retroactive guarantee pay.

All July overages—including VFN, ABG, and per diem—will also be paid August 15 using the newly applicable rates.

Pilots should remember that several provisions of the new CBA did not become effective until August 1 and therefore do not apply to July flying. These include:

  • The 5-PCH minimum per Flight Duty Period under Section 3.D.5
  • 100% deadhead pay • ABG for qualifying rental-car surface deadheads exceeding one hour
  • 200% Junior Assignment pay

Additionally, pursuant to the Contract Implementation LOA, all PREM from July has been converted to ABG because every pay step increased by more than 30%.

Your July Tableau report should now accurately reflect your overages.

August Pay Provisions

Several contractual improvements became effective August 1, including:

  • The 5-PCH minimum lookback under Section 3.D.5
  • 100% deadhead pay
  • ABG for qualifying rental-car deadheads exceeding one hour
  • 200% Junior Assignment pay
  • Applicable VFN and overtime premiums
  • An additional hour of Early Report pay when a reserve pilot reports early at the company’s request following a reserve call

Because July overages must first be processed, Crew Pay is not yet able to accurately display all of these provisions in CPI/Tableau.

The company has stated that the necessary system changes will be completed in time for August overages to be paid correctly on September 15. The company currently expects the updates to become visible in Tableau by September 1 and anticipates issuing additional information by that date.

The Union Payroll Committee will have volunteers available following the update to assist pilots in reviewing their pay and identifying potential discrepancies.

We have also emphasized to the company that these changes must be visible with sufficient time for pilots to review their records before the applicable JIRA filing deadline.

For now, pilots may hold off on filing JIRAs solely because items such as the 5-PCH minimum or increased deadhead credit are not yet appearing.

Questions regarding pay implementation may be directed to payroll@apa2118.org.

Profit Sharing and Union Dues

Following the Local’s exit from trusteeship, the Executive Board reviewed our bylaws and determined that union dues should not be deducted from company profit-sharing payments.

The Board has now received confirmation of that interpretation from Fred Zuckerman, General Secretary-Treasurer of the International Brotherhood of Teamsters.

Beginning with the profit-sharing payment expected August 19, union dues will not be deducted from company profit-sharing payments.

The company has confirmed that UKG has been updated accordingly.

New Crew Pay System

The company has partnered with AI Crew Solutions (AICS) to develop a new crew pay system.

Although the system remains under development and must be updated to incorporate the provisions of our newly ratified CBA, the company has provided the Union Payroll Committee with access so we can begin evaluating the system before implementation.

Among the anticipated improvements are:

  • Live reconciliation of items currently processed manually after the end of the month, including ADD days, leaves of absence, and certain DTG adjustments
  • Scheduling-system updates twice per hour rather than once per day • Improved tracking and visibility of pay protection
  • A built-in method for reporting pay discrepancies directly to Crew Pay
  • Read-only Union administrative access, including complete pay history, to better assist pilots with contract education and pay-related representation

Early Union access is important. It allows us to understand how the new system will administer our contract, identify issues before implementation, and ensure pilots have meaningful representation when questions or disputes arise.

In conclusion, the Payroll Committee appreciates the company’s recent efforts toward greater transparency and collaboration surrounding the new payroll system. We remain focused on ensuring these improvements translate into a more accurate, transparent, and reliable payroll process for our pilots.

Retention Bonus Calculations

Finally, the Union continues to review the company’s methodology for calculating individual retention bonus payments.

Under the agreement, within 30 days following July 31, the company will provide each pilot with their final retention bonus calculation.

The Union has raised several concerns regarding the methodology used to calculate amounts previously communicated by the company. Discussions remain ongoing, and we are working to resolve those concerns before final calculations are issued.

Once a pilot receives their final calculation, they will have 30 days to formally protest the amount with the company.

The Union will provide additional guidance regarding the protest process once that period begins.

Do not assume that a previously communicated retention bonus estimate is necessarily your final contractual amount. Pilots should carefully review the final calculation when it is issued, and the Union will provide assistance as necessary.

The implementation of a new agreement involving this many compensation changes is a significant undertaking. The Payroll Committee will continue working directly with Crew Pay to ensure the provisions pilots ratified are implemented accurately, transparently, and within the timelines required by the agreement.

Fraternally,

APA Teamsters Local 2118