Compass Airlines was a regional airline formed as a result of a contract dispute between
Northwest Airlines and its pilots' union, the
Air Line Pilots Association (ALPA). The Northwest Airlines pilot group was asked to give relief on a section of their collective bargaining agreement governing "
scope", which protects pilot jobs by ensuring that an airline's customers are flown by the employees of that airline. The pilots eventually agreed to a concession on the scope of their contract allowing a limited number of 76-seat aircraft to be flown by outsourced pilots working for a
subcontractor regional airline. In exchange for their concession the Northwest Airlines pilots demanded in return that the pilots of these new aircraft would eventually "flow-up" into mainline pilot jobs at Northwest Airlines and that Northwest Airlines pilots would retain the ability to "flow-down" into the newly subcontracted pilot jobs in the event that Northwest Airlines were to
furlough the mainline pilots. In order to adapt to the agreement, and fulfill a need to serve the regional markets with smaller, more efficient aircraft and a dramatically reduced wage labor force, Northwest bought the
operating certificate of bankrupt
Independence Air on March 10, 2006, for $2 million. During the concept phase, the subsidiary was known as "
NewCo". Compass' operations were limited to 76-seat aircraft or less, due to the language in the pilot contract at the
mainline carrier. On September 28, 2006, Compass Airlines officially received approval from the
United States Department of Transportation to begin operations. On April 5, 2007, Compass Airlines received
FAA certification to begin commercial passenger operations with a single CRJ200 (N601XJ). On May 2, 2007, the airline had its first revenue flight from
Washington Dulles International Airport to
Minneapolis−Saint Paul International Airport, which maintained the operating certificate. Compass implemented Embraer operations on August 21, 2007. On July 1, 2010,
Delta Air Lines announced that it sold Compass Airlines to
Trans States Holdings for US$20.5 million. Despite the change in ownership, Compass still shared many things with its former parents, including being headquartered in a Delta-owned building, and a logo that was a modified version of the final Northwest Airlines logo. On March 27, 2015, the airline began flying one of twenty brand new
Embraer 175, operating for
American Airlines under the
American Eagle brand, with the initial flight being from
Los Angeles International Airport to
Houston Intercontinental Airport. In August 2019, Delta Air Lines made the decision to reduce the number of regional carriers that fly under the Delta Connection brand and terminated its agreement for regional flying with Compass Airlines. This resulted in the removal of 36 aircraft from the airline and reduced the number of aircraft flying for Compass Airlines from 56 to 20 by June 2020. This schedule was later accelerated to remove all Delta-owned Embraer 175s from the Compass operation by April 1, 2020. Compass had maintenance bases in Phoenix, San Jose, Los Angeles, San Francisco, and Seattle/Tacoma prior to its closure. In January 2020, Compass announced that it would be closing its Phoenix crew base. The following month, the airline announced in a memo to employees that its Seattle-Tacoma crew base would also be closing. In March 2020, due to the reduction in demand in response to the
COVID-19 pandemic, Compass announced it would cease operations on April 7. The final revenue flight operated by Compass was American Eagle Flight 6047 from
Tulsa, Oklahoma to
Los Angeles, California on April 5, 2020. The airline had originally planned to be acquired by
Breeze Airways. The acquisition was later canceled. ==Labor relations==