Negotiating Committee Update – August 30, 2025

Fellow Pilots,

“If the facts are against you, argue the law. If the law is against you, argue the facts. If the law and the facts are against you, pound the table, scream like crazy, and hope for the best”. -Unknown

Management must be the original author of this quote as their latest communication is the truest reflection of it. By now, you have had the time to read and digest management’s latest negotiations update. Some may be perplexed by management’s tone which, even for this management team, was decidedly more immature and incendiary than usual. If you consider the way that management was summarily embarrassed and delegitimized over the course of the last few days, you can better understand their reaction in an email that they likely wish they could take back. Worthy of note, not a single “company negotiating team” member was willing to put their name on or take ownership of their written masterclass of self-inflicted humiliation.

This week, the parties focused on costing. The company’s “costing analysis” was flat out wrong and embarrassingly so. Management’s analysis is so outlandish that it is impossible to believe that it was produced by a trained professional. Our economist credibly demonstrated that the company’s “analysis” was riddled with either amateurish errors or intentional falsifications. On average, individual item costs were inflated by more than 50% — with some exaggerated as high as 99%. Some of the more ridiculous statements that we heard from the company’s negotiators include:

“I think we were too aggressive in assuming that 100% of all sick time would be used.”

For perspective, management’s math shows that the cost of the Union’s proposal would somehow be hundreds of thousands of dollars more per pilot per year than industry-leading contracts on a relative basis. The company’s “work” is an insult to common sense. Their analysis had little factual basis to be deemed credible analysis, and the Union unequivocally demonstrated this fact. If this analysis was the same used to green light the Sunseeker Resort, we now better understand why it resulted in a colossal failure.

There was little room for disagreement with the Union’s analysis. When confronted with the facts, management was forced to painfully admit their errors in their own costing fantasy. They had no choice but to admit that they double-counted certain items and were “too aggressive” in costing numerous others. They were wrong and perhaps deliberately so. Avoiding accountability is one of management’s core values, so admitting their substantial errors, which our economist proved are material, must have been painful. Even still, management flat out refused to provide the Union with all of the requested information and data that their analysis is based on, including the formulas and assumptions it used to create such ridiculous numbers.

To further exaggerate the Union’s position, management has reversed its position and now claims that the retention bonus is a “cost” of the Union’s proposal. This is in direct contrast to their previous statements that the money was already “banked” away, accounted for, responsibly set aside and waiting to be paid. Apparently but unsurprisingly, this isn’t true. In fact, in the last few weeks the company quietly made a small, yet material change to the verbiage of your retention bonus emails that all but confirms this.

“Please find below an update on the retention bonus the company is banking for you until we achieve the ratification of a new collective bargaining agreement…” July 2025-previous

“Please find below the estimated retention bonus amounts the company is accruing based on your Position and Longevity…” August 2025.

This subtle but material change from “banking” to “accruing” exposes the truth: management, including the CEO, will spin any story necessary to suit their narrative. The Union’s prior concerns regarding the bonus are sustained. In a most magnificent display of financial ineptitude, it appears management never actually “banked” anything to prepare for the day they would actually have to pay the bonus. They are now using the $200M+ retention bonus payment, which they should have responsibly set aside, to further pad their already inflated claims of the Union’s proposal cost.

Management falsely claims that the Union’s Negotiating Committee told the company to “sell planes” to pay for the contract. That is a lie. When the company claimed that Allegiant was in a weak financial position, our economist held management accountable for CEO Greg Anderson’s own statements to our pilots regarding the financial condition and liquidity of the airline. In part, we read verbatim:

“Allegiant currently maintains over one billion dollars in available cash, as well as an additional billion dollars in fleet value that can be leveraged if necessary, demonstrating that the liquidity is there to fund your full retention bonus, which sits today around $160 million.” -Greg Anderson, CEO

Predictably, they retreated to the tired “bankruptcy” trope that they use as an excuse to delay a contract. To claim bankruptcy for a cost less than what management wasted on Sunseeker and other ridiculous pet projects is an insult to the dedication and hard work of every pilot on this property. Regardless, it was management who presented the idea of selling airplanes and “burning the furniture” to pay for the contract. Shockingly, the company’s negotiating team then completely threw their CEO right under the bus — and then drove over him when he was down just to be sure — by summarily dismissing Anderson’s referenced statement to pilots and claiming those numbers can’t be relied on and are misleading, in part because the one billion dollars in cash isn’t actually “available” (even stating “you know how these things go.”) After being humiliated, attacking the person who signs your checks appears to be management’s logical escalation.

In their update, management goes even further by implying that the mediator is on their side (in fact, mediators are neutral) and using thinly veiled attacks by repeatedly referring to “the Trustee and his appointed negotiators.” Appointed, elected, or otherwise is of no relevance to the company. It is clear that management is (now openly) advocating for the replacement of your Union representatives, and certainly not because management has your best interests at heart. Their only hope now is for a negotiating committee that they control who will kowtow and endorse a substandard contract. Questioning the method by which the Union selects committee members is a black and white attempt to interfere with internal Union affairs. This level of desperation has not been previously seen during these negotiations.

Despite their public temper tantrum, at the bargaining table management admitted that their costing analysis was wrong in many areas and thus not credible. After years of refusing to do so when requested by the Union, and being held accountable for their material misrepresentations, it was management who suggested on Friday that their costing expert should meet with ours “in person, with their laptops out.” The Union is happy to oblige.

Late in the evening on Friday, the company sent a comprehensive proposal to the Union. The mediator has requested that both parties refrain from discussing the particular details of the comprehensive proposal publicly until after the next mediation session. The Negotiating Committee will comply with the mediator’s request, but to temper any expectations, refer to the company’s last comprehensive offer from June 2024 for insight into what we received.

We hope that we have finally put the remaining rumors about the company’s bargaining behavior to bed, including:

“If the Union gives the company a comprehensive, management will negotiate much faster.” or “The Union is always unprepared and hasn’t costed anything.” or “The company will give you whatever you want, it’s your Union that won’t negotiate and ask for it.” or “Your retention bonus is set aside and already accounted for. It doesn’t affect bargaining.”

Management’s message exposed their true objective – avoid a new contract as long as possible, undermine the Union, and keep you working under an outdated contract for as long as possible. Regardless, the company’s desperation messaging and divide and conquer tactics simply won’t work.

Management is out of time, out of excuses, and running low on options. Their communications will be louder, more personal, and more targeted, as the company desperately tries every possible option to break you. They will do it themselves or use their proxies to attack you and your NC publicly. Don’t fall for it.

What’s Next: Mediation will resume in Las Vegas the week of September 22. Before then, the company’s costing expert and the Union’s economist will meet in-person as previously discussed. The Negotiating Committee remains prepared and dedicated to your goal – securing the long overdue contract that the Allegiant pilot group deserves and will receive through our collective strength and unity.

We will keep you updated with any new developments. Thank you for your support!

By Name and In Unity,

Captain Joshua Allen
Negotiating Committee Chairman

Captain Jay Killen
Pilot Negotiator

Captain Brad Keller
Pilot Negotiator

Captain J.R. Lynch
NC Chief of Staff

Captain Jim Cole
Recording Analyst