Trustee Update – July 11, 2025
Allegiant Pilots,
It has been a busy two weeks, as you know. The Negotiating committee has been finalizing a comprehensive proposal, of which they will provide a thorough communication; the Bylaws are in near complete form – we have heard back that the General Secretary’s Treasurer’s office that Captain Roger’s and Captain Leach’s last draft (#14) is on target and compliant.
I have also received many comments regarding the “Interim Agreement” MOU payout, with most in one of three categories:
- Why now?
- Will it continue if paid out to date?
- Will the Local deduct dues from the payment?
As we have observed the increase in the payout amount, and as stated in our communication, there is growing concern about Allegiant’s ability to fulfill its agreement. Our concerns were echoed by Bank of America analyst, Andrew Diadora in his Allegiant sell rating, where in part he stated:
This transaction, priced at $200 million, was significantly less than the estimated value of $236 million, which has negatively impacted the company’s financial outlook. Additionally, the proceeds from the sale are insufficient to cover the accrued pilot pay, which is expected to reach approximately $240 million by the end of 2025.
The decision was made to request a payout bluntly. We have heard reports from members that senior managers continue to state that Allegiant would pay, if only the union would let them. As of this writing, we do not have a response from Mr. Anderson.
The amendment was written to end the “Interim Agreement” completely.
As I have previously written, the Local Union will not collect 1.56% of the amount paid to the pilots. (On a payout of $240 million, that would be $3.7 million). There would have been no Per Capita tax paid to the International, as per the IBT Constitution. That is only collected on your Minimum Monthly Guarantee.
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Fraternally,
Greg Unterseher
Trustee, APA Teamsters Local 2118