A passenger arrives at Ronald Reagan Washington National Airport in Arlington, Virginia, on November 21, 2023.
Alex Wong | Getty Images
JetBlue Airways Their union told members Friday it was offering early retirement packages to some pilots.
The airline has been trying to cut costs and boost revenue with new measures First class seats Processing a Pratt & Whitney The engine recall has grounded some aircraft.
A report from the Air Line Pilots Association seen by CNBC said the company has launched a voluntary separation bid that will end on February 7.
JetBlue and the union agreed to pay pilots hourly wages through 55 hours before their mandatory retirement date or 18 months after their separation agreement, whichever is shorter. For example, an Airbus A320 captain with 12 years of experience who will turn 65 in December 2027 will receive $416,293.02, while an Airbus A320 captain with eight years of experience who will turn 65 by the end of the year will receive $416,293.02, the agreement states. Embraer E190 captains will receive $160,858.91.
JetBlue, which reports quarterly results on Tuesday, did not immediately respond to a request for comment.
The agreement signed between the company and the union earlier this week stipulates that eligible pilots must be 59 or older on or before March 31.
