FedEx reaches tentative wage deal with pilots after years of talks

April 8, 2026 8:54 PM EDT

FILE PHOTO: FedEx air freight cargo planes parked at a FedEx regional hub at Los Angeles International Airport (LAX) in Los Angeles, California, U.S., September 16, 2022. REUTERS/Bing Guan/File Photo

April 8 (Reuters) - FedEx ‌and a ​union ​representing more than 5,000 of its pilots reached a tentative deal on ‌Wednesday, paving the way for wages increases ⁠after years of negotiations.

FedEx's management and the Air Line ‌Pilots Association (ALPA) have been ‌in talks since May 2021.

Under the tentative agreement, pilots' hourly wages would rise by ​about 40% in 2026, followed by an annual increases of 3% from 2028 through ⁠2030, the union said.

Captains would also receive up to $150,000 in ​retroactive pay missed during negotiations, while first officers will get up to $102,500.

"The tentative ​agreement will next be ‌presented to the FedEx Master Executive Council for their review," the union ⁠said, adding that the deal was reached during talks overseen by the National Mediation Board.

FexEx, which ⁠operates the world's largest cargo air fleet by plane ​count with 390 cargo jets and 313 turboprop planes, confirmed the tentative agreement with its pilots' union.

In 2023, ‌the delivery company's pilots had narrowly rejected a tentative agreement that offered ‌a 30% pay increase and improved pension ⁠benefits over younger ‌pilots' concerns over ​outsourcing.

(Reporting by Fabiola Arámburo and Mrinmay Dey in Mexico City; Editing by Sumana ‌Nandy)



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