Delta Air Lines said Wednesday that employees will have to pay an additional $ 200 each month for their company-sponsored health plan if they choose not to be vaccinated against COVID-19.
The decision to add a surcharge to health insurance contributions is the U.S. corporation’s latest tactic to push employees to get shots to fight the pandemic.
Some U.S. airlines, including competitor Delta United Airlines, have ordered firing on their employees to protect their operations from the highly contagious Delta variant of the coronavirus, which has affected parts of the country with lower levels of vaccination.
President Biden has also urged private companies to demand vaccination of employees.
In a staff note, chief executive Ed Bastian said the monthly surcharge would take effect on Nov. 1.
Bastian said the surcharge is needed to address the financial risk the Atlanta airline faces in deciding not to get vaccinated.
A Delta Air spokesman said the average hospital stay at COVID-19 has cost the company $ 40,000 per person. The surcharge would apply to the entire staff and a test or documentation of the vaccination will be needed to prevent it, the spokesman said.
Chris Riggins, a spokesman for the Delta Airline Pilots Association, said the union does not intend to oppose the proposed surcharge because it would not affect the health plan it has negotiated with the airline for its members.
But since most pilots are not covered by the union-negotiated plan, Riggins said he would see an increase in his medical costs if they decide to remain unvaccinated.
In the note, Bastian said 75% of Delta Air’s workforce has been vaccinated. However, all employees who have been hospitalized with COVID-19 in recent weeks were not fully vaccinated, he said.
While Delta had refrained from making shots mandatory for its staff, its latest move contrasted with the policy pursued by rivals such as American Airlines and Southwest Airlines, which “strongly encourage” its employees to get vaccinated.
American Airlines offers vaccinated employees an additional day off in 2022 and $ 50 through its employee recognition platform.
Bastian said unvaccinated Delta employees will need to wear masks in all indoor spaces, with immediate effectiveness.
Any U.S. employee who is not fully vaccinated will be required to take a COVID-19 test each week. Mandatory testing will begin on September 12th.
Those who test positive for the virus will have to isolate themselves and stay out of the workplace, Bastian said.
The company will offer COVID-19 payroll protection starting Sept. 30 only to fully vaccinated employees who suffer from an advanced infection, he said.