American Airlines Raises Pay for About 600 Employees Immediately and Updates Benefits on Two Citi Cards
Key Facts
About 600 American Airlines flight dispatchers and operations specialists have approved a new five-year labor contract that includes significant immediate pay increases, the company said in a statement. The PAFCA union announced that employees had approved the agreement, which covers the team responsible for flight planning and safety support. The statement did not disclose the size of the increases but said they take effect immediately. The contract covers employees involved in the daily planning of the airline’s operations, not its entire workforce. Jessica Tyler, American’s senior vice president of the Integrated Operations Center, said these employees "carefully plan and help ensure the safety of thousands of flights every day."
In a separate announcement, American and Citi outlined updated benefits for the Platinum Select and Business cards linked to the AAdvantage program. The Platinum Select update gives cardholders 3 AAdvantage miles per dollar on eligible hotel and car bookings through AAdvantage Hotels and AAdvantage Cars. It also raises the annual American Airlines flight discount to $150 from $125, provided the cardholder spends $20,000 or more during a card membership year and renews the card. The condition ties access to the higher discount to a specified spending level and continued card membership, according to the announced details. The update also adds a credit of up to $120 for a Global Entry or TSA PreCheck application fee once every four years, and an annual credit of up to $100 for in-flight purchases.
The Business card offers 2 AAdvantage miles per dollar in one eligible spending category selected by the cardholder from among U.S. shipping companies, office supply stores and U.S. advertising services. The option is intended for business spending in one category chosen by the customer, according to the card terms. Benefits also include a 25% discount on a Melio subscription plan for managing business payments. This update differs from the labor contract announced in a separate statement: the former concerns benefits on two specific cards, while the latter covers working conditions for operations employees. The company did not describe the change as a comprehensive revision of the entire AAdvantage program.
The card updates come amid a broader partnership between American and Citi. In an announcement extending the partnership in December 2024, the companies said their relationship had spanned more than 37 years and that the new 10-year agreement aimed to expand loyalty and rewards offerings for AAdvantage members and Citi cardholders. In its fiscal 2024 results, American said cash consideration from co-branded cards and other partners totaled $6.1 billion, up 17% from 2023. The figure included a one-time payment tied to the new Citi agreement, the company said. The figures underscore the financial weight of partnerships and cards in the airline’s revenue, alongside their role in customer loyalty offerings.
The new benefits for both cards begin on January 24, 2027, which is also when the new annual fee of $150 per card takes effect. The announced fee had been $99 as of October 27, 2026, according to American’s statement. New account holders will be exempt from the fee for the first 12 months after opening an account. The updated benefits therefore begin as the annual fee moves to the new level, while new accounts retain the exemption throughout their first year. The statement did not specify another date for implementing these changes.