Allegiant Air pilots have recently approved a new labor agreement that will bring significant improvements to their pay and benefits. The two-year deal, ratified by an overwhelming 80% margin with 99% of eligible pilots participating in the vote, will result in an average hourly wage increase of around 40% and unlock approximately $300 million in accrued retention bonuses.

The agreement, negotiated by the Allegiant Pilots Association-Teamsters Local 2118, not only includes immediate pay raises and bonuses, but also features a company-funded 15% direct 401(k) contribution, company-paid long-term disability through age 65, a five-hour minimum pay credit for each flight duty period, expanded leave protections, increased premium pay for open time, voluntary flying, and junior assignments, minimum days-off guarantees, displacement and fleet transition protections, and furlough protections related to scheduling efficiencies.

According to Local 2118 President Ryan Joseph, this agreement marks a major advancement for the pilots. In a news release, he stated, “It delivers approximately 54% in wage increases by January 2027 and meaningful improvements to retirement, benefits, work rules, and quality of life over our previous contract… That’s exactly what this agreement was designed to accomplish.

With this deal now in place, Local 2118 will shift its focus to joint collective bargaining and senior list integration as Allegiant absorbs Minnesota-based Sun Country. In May, Allegiant officially completed its acquisition of Sun Country, and the union is committed to ensuring that the integration process is as smooth and beneficial as possible for all pilots involved.