Board members of the pilot's union at Southwest Airlines accepted a new contract proposal Thursday, and have agreed to hold a ratification vote for members next month. The proposal is the second in the negotiations between the airline and its pilots, the pilots having rejected an earlier proposal in June. The new contract offers a lower wage raise, but increases retirement benefits and allows pilots greater flexibility and autonomy from management. The agreement covers five year, but for the next two years it ties worker compensation to airline performance. If the recession affects the airline too badly (it has already slowed profits), workers could face lower wage rates for the next couple of years.
See "Southwest Airlines pilots' union's board backs tentative pact", Kathy Shwiff, The Wall Street Journal, September 17, 2009