DENVER—Frontier Airlines has reached an agreement to extend wage and benefits cuts for its pilots through Dec. 1 as it works its way out of bankruptcy.
Denver-based Frontier said in bankruptcy court documents that the extension will give it “the time necessary to continue negotiations to reach a final restructuring agreement.” Pilots agreed this summer to the temporary reductions.
The deal includes a suspension of company contributions to pilots’ 401(k) retirement savings accounts.
Frontier is working to emerge from Chapter 11 bankruptcy protection, which it entered in April. It has announced layoffs, cuts in its flight schedule and new labor agreements.
The airline said earlier this month it had tentatively agreed with the union representing dispatchers on long-term wage and benefit concessions. The agreement with the Transportation Workers Union would run through September 2012. Union members and the bankruptcy court must approve the deal.
Frontier says it’s negotiating for similar concessions with unions representing mechanics, tool room employees, aircraft appearance agents and material specialists.
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Information from: Rocky Mountain News,
