If American Airlines merges with U.S. Airways, more than 20,000 American union workers would get raises, according to a union leader.
The Transport Workers Union of America announced it has reached an agreement with American Airlines and U.S. Airways that would grant an immediate 4.3 percent pay increase for its members if there is a merger.
The union sent a letter to its membership on Monday outlining the agreement.
American's parent company, AMR, filed for bankruptcy protection in November 2011. In November 2012, officials at U.S. Airways announced they wanted to merge with American.
American on the other hand has said it wants to get out of bankruptcy before deciding on a merger.
In December, AMR indicated it would finish its consideration of a possible merger soon, but gave no specific date.