Michael Moore, one of the most devoted adherents to the principle of the Goebbels Big Liewrote this in one of his books:
View more from this series Advertisement First, airline jobs appear to be caught in a steeper free fall. Before President Carter and a Democratic Congress deregulated the airlines infew industries paid higher wages. Nor has this wage erosion been limited to pilots.
Today, many flight attendants begin their careers making less than minimum wage—as I did as a flight attendant for Pinnacle Airlines, where I was employed from to Average weekly wages for airport operations workers, a category that includes baggage handlers and other support staff, fell by 14 percent from to —a growth rate that was lower even than the low-wage retail and food service industries, according to a study.
Airline workers also work much harder than they did in the past; the industry had the second highest multifactor productivity growth from throughaccording to an analysis by the Bureau of Labor Statistics.
How, then, could the airline industry have fared worse than most other industries? Regional airlines are having the hardest time hiring pilots.
These companies, where most pilots now begin their careers, operate almost half of all domestic flights on behalf of major carriers like Delta, United, and American.
David Dao was actually kicked off a United flight that was operated by Republic Airways. Though the employees on the plane wore United uniforms, their paycheck came from Republic.
The regional industry grew as a strategic response to the downturn after the Sept. Four major carriers went bankrupt, and the industry shed more thanjobs, around 15 percent of its entire workforce.
If the unions refused to renegotiate their contracts, the airlines threatened to declare bankruptcy.
Until aboutsmaller airports were served either by larger jets, which were oversized for these markets, or turboprops, which flew slow and not as far. As the airlines attempted to stave off bankruptcy, they began buying a repurposed corporate jet manufactured by Bombardier, the CRJ The plane allowed the airlines to better match their smaller markets with demand, which in turn allowed them to redeploy larger planes to more lucrative international routes.
The jets could also reach markets that were beyond the reach of the turboprops, allowing airport hubs to expand their customer base. Advertisement At first these planes were operated in house or through wholly owned subsidiaries, but after a time the flying was outsourced to independent companies. That strategy was initially constrained by the pilot unions, because collective-bargaining agreements typically limited how much flying could be outsourced.
A standard response emerged: If the unions refused to renegotiate their contracts, the airlines threatened to declare bankruptcy, where they might be judicially absolved from the commitments they had promised to workers.Find the latest business news on Wall Street, jobs and the economy, the housing market, personal finance and money investments and much more on ABC News.
Many of us only get to travel when we take time off work to go on holiday. This can be tough for people with constant wanderlust who just can't wait to jet off somewhere.
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