Recently, according to Reuters, Allegiant Air, a low-cost airline in the United States, stated that it is attempting to secure permanent residency status (green cards) for dozens of foreign pilots from Chile, Australia, and Singapore to address the post-pandemic pilot shortage. However, their pilot union, Teamsters Local 2118, refused to provide the necessary certification to the U.S. Department of Labor for this application. The union argues that there is no pilot shortage in the U.S. and demands the company improve conditions to retain talent.
The union’s refusal to provide the relevant certification, specifically regarding the salaries of these foreign pilots (starting at around $50,000 annually, approximately half of what pilots at other regional airlines earn), meets the “prevailing wage” standards.
Allegiant Air stated that this has left the immigration status of these foreign pilots and the company’s workforce in an uncertain state.
Without union certification, the Department of Labor (DOL) cannot issue permanent labor certification, and Allegiant Air cannot process green cards for these foreign pilots.
The Airline Division of the International Brotherhood of Teamsters Local 2118 has urged Allegiant Air to offer industry-standard salaries to its pilots, as well as improve flight schedules to retain pilots who are considering switching to rival companies instead of hiring foreign pilots.
Allegiant Air mentioned that like most U.S. airlines, they are facing severe labor challenges post-pandemic when travel demand surges. Due to their lower wage levels, it has been challenging to retain pilots. To stabilize staffing, Allegiant Air has expanded recruitment efforts by hiring foreign pilots through the employment-based Visa Program.
However, the union argues that the company’s claim of a need for permanently employing these pilots is unfounded, as there is no pilot shortage in the U.S., thus rendering the application for immigration visas unnecessary for these foreign pilots.
Gregory Unterseher, in charge of the Airline Division of the International Brotherhood of Teamsters, stated, “They started hiring H-1B1 visa pilots from Chile in 2023 as it was difficult to find pilots, promising them citizenship and green cards to come to the U.S. to fly for $50,000 a year, as they found it hard to retain U.S. pilots at such low wage levels.”
H-1B1 visa is a subtype of the H-1B visa, specially designed by the U.S. under free trade agreements with Chile and Singapore for temporary employment of professionals from these countries. The visa has specific annual quotas, a shorter initial term (one year) compared to the standard H-1B visa (three years), and requires applicants to prove they have no intention of immigrating to the U.S.
Allegiant Air mentioned that currently, the company has approximately 62 pilots from Chile, Australia, and Singapore employed through the H-1B1 and E-3 visa programs, accounting for around 4% of their total of 1,345 pilots.
E-3 is a temporary nonimmigrant work visa applicable only to Australian citizens, requiring them to work in a “specialty occupation” in the U.S. It is a two-year visa that is renewable indefinitely.
Allegiant Air spokesperson stated that recruiting foreign pilots through these visa programs is a supplement to their broader workforce strategy, not a replacement for U.S. domestic workers.
The union has refused to provide the necessary letters for the airline’s submission of applications for permanent labor certification. The permanent labor certification issued by the Department of Labor allows employers to hire foreign workers for permanent jobs in the U.S.
In a letter to foreign pilots, Allegiant Air wrote, “Due to the union’s failure to provide this information, we understand that your green card process may be delayed. The company condemns the union’s refusal to provide the required update letters requested by the Department of Labor, causing harm to you.”
In a statement to Reuters, Allegiant Air mentioned, “All our recruiting practices fully comply with federal labor laws, FAA regulations, and collective bargaining agreements signed with pilot unions.”
According to pilots’ feedback, the turnover rate at Allegiant Air is increasing. Some pilots are leaving due to lower industry salaries, dissatisfaction with flight schedules, and an outdated labor contract nearly a decade old.
An anonymous pilot who recently left Allegiant Air told Reuters, “In most cases, first officers at Allegiant Air earn less in their first year than flight attendants at other major airlines or Transport Security Administration (TSA) screeners.”
The pilot added, “In the past 18 months, we had nowhere to go, but now people have options, so you’ll see some leaving. Out of a few friends I know, five or six are planning to leave.”
(The article is referenced from Reuters)