Sara Nelson, president of the Association of Flight Attendants-Communications Workers of America (AFA-CWA), told Forbes that United Airlines hides at least $1 billion in annual costs by failing to reach a new contract with its flight attendants, whom she says are “massively underpaid”.
The union represents about 50,000 flight attendants, including 30,000 at United. The United contract became amendable in August 2021. In July 2025, members rejected a tentative agreement that offered 27% raises. Another round of mediated negotiations is scheduled for March 3 through March 6.
Labor Costs and Leadership Comparisons
In her comments to Forbes, Nelson said negotiations have dragged on unnecessarily and placed responsibility on United CEO Scott Kirby. She contrasted his leadership with that of American Airlines CEO Robert Isom, arguing that American has taken a more proactive approach to resolving labour disputes.
“It is confounding when flight attendants hear Scott Kirby say over and over again, ‘I love United flight attendants, they are the face of United, and we are the best airline in the world history of the world,” Nelson told Forbes. “If you want to be industry leading, you have to be highest paid. He keeps the money in his pocket.”
Nelson said American Airlines is currently spending $1.5 billion more annually in labour than United, mainly because American has reached agreements with its unions. “Robert Isom has done agreements with all of his labor unions,” she said.
“Scott Kirby keeps saying that if our people are happy, they are going to make our customers happy.” If he believed that, she told Forbes, “he would do what Robert Isom is doing. One knows how to do labor deals and one has yet to finish them.”
United, however, has maintained that labour costs are already reflected in its 2026 financial outlook. At a Feb. 18 investor conference, an analyst asked United chief financial officer Micheal Leskinen whether “outstanding labor deals” cost boosts the carrier’s costs, and Leskinen said the deals are already factored into United’s 2026 earnings per share guidance.
Scheduling Disputes and Contract Tensions
A key sticking point in the negotiations is United’s proposal to implement a preferential bidding system (PBS), which would replace the existing bid system. The airline said PBS would modernise operations and align United with industry standards, calling it “a more modern, efficient scheduling process”.
Nelson told Forbes that United is effectively seeking greater control over scheduling in exchange for higher wages. She argued that negotiating an entirely new scheduling system would take years and could delay the final agreement. “Bringing it up now is like saying we don’t ever want to get to a contract,” she said.
Compensation structure is another major issue. Unlike American flight attendants, United flight attendants do not receive boarding pay, though it was included in the rejected tentative contract. Nelson also said United attendants are not compensated for certain periods of downtime.
“These are important issues at the table,” she said.
According to Nelson, the July rejection of the tentative deal reflected deep frustrations among members. She added that the proposal “simply didn’t meet expectations”, noting that prolonged negotiations shifted priorities over time.
With mediated talks set to resume in March, both sides face pressure to reach a deal that addresses pay, scheduling, and broader concerns over how United values its frontline workforce.
What do you think about the negotiations so far? Let us know your thoughts in the comments.
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