SWA Pilots highest paid in industry?


Aug 27, 2002
Aviation Week reports on August 26th 2002 that Southwest pilots will recieve a 28.54% to 41.91% raise over the course of their contract extention. Will that make them the highest paid in the industry? Even more than Delta pilots? certainly the highest paid 737 pilots at $240,000/year at the high end of the raises.
No, SWA pilot pay is about 40% behind the top paid narrow body drivers, though that gap will narrow with OAL concessions and SWA raises.

SWA retirement programs (no A fund, limited medical) are also behind ther larger carriers.
Not sure what is meant by 'low end.'

A 12 year Captain is topped out, though some 12 year Captains make much more than others (fly extra, fly your line, give away trips). 100 trips/month is close to average.

A 100 trip/month, 12 year Captain now makes $134/trip. That's $160,800, not including per diem.
The numbers came from SWA CEO James Parker. He States the LOW end if the pay scale, this year, before most of the raises, will earn $189,120. I wonder how much SWA mechanics and flight attendants make.
Parker includes the stock options when he says that SWA are the highest paid. Going by straight pay a 12 year Capt today makes $133.92 per trip. On 9/1/06 at a minimum a 12 year Capt will make $173.63 (a raise of 29.7%). If we get all of the profitability raise a 12 year Captain on 9/1/06 will make $175.07 (but if we get all the profitability raises that rate will be reached on 9/1/05)
On 9/3/2002 10:46:37 PM

Parker includes the stock options when he says that SWA are the highest paid.

I thought all the options were at a strike price of 12.something. Is he "assuming" a certain level of astronomical stock price growth based on the last ten years? You'd better keep an eye on that guy.
He said he was basing it on 80 hours of flight time per month. The LOW end, I assume means without stock options. If not maybe Herb needs to return.

Kiowa, this whole issue is pretty complex. There are too many ***umptions to be made. The amount of options one gets varies, how you think the stock will perform, etc/

Don't take JP's remarks out of context.