Delta Air Lines reaches preliminary deal with pilot union to avoid furloughs

Late on Thursday, Delta Air Lines Inc said, it has reached a preliminary cost-cutting deal with the union that represents its pilots with the deal aiming to prevent furloughs until January 1, 2022.

Delta MEC, a unit of the Air Line Pilots Association said, the agreement, which incidentally still needs approval from Delta’s nearly 13,000 pilots, will see monthly minimum guaranteed hours by 5%.

The development comes in the wake of a tentative agreement reached by Delta in September wherein it had agreed to reduce the number of furloughs by 220, bringing the new total number of job reductions to 1,721.

The global airline industry has been ravaged by the coronavrus-induced COVID-19 pandemic which emerged from Wuhan China. To contain the spread of the deadly diseases, which has so far killed hundred thousands people globally, governments across the globe have imposed travel restrictions and city-wide lockdowns. The airline industry is focusing on slashing costs as a means to mitigate burning cash, boost liquidity and restore customer confidence.

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