Welcome to Flightinfo.com

  • Register now and join the discussion
  • Friendliest aviation Ccmmunity on the web
  • Modern site for PC's, Phones, Tablets - no 3rd party apps required
  • Ask questions, help others, promote aviation
  • Share the passion for aviation
  • Invite everyone to Flightinfo.com and let's have fun

Airline Industry

Welcome to Flightinfo.com

  • Register now and join the discussion
  • Modern secure site, no 3rd party apps required
  • Invite your friends
  • Share the passion of aviation
  • Friendliest aviation community on the web
The state of the airline industry currently is confusion and disarray. Many of the major's are suffering because they grew too large to manage effectively. Since Deregulation we have seen the hub & spoke system replace origin & destination (O&D) schedules. While there are a few O&D markets left most flights go through hubs and feed themselves to other destinations. It 's almost like an offshoot of Fred Smith's game plan at Fed Ex. The successful major airline of the future is learning from the past. A great deal of SWA flights serve markets not served through Large hubs. They serve many O&D city pairs. Newcomer Jet Blue is out of the gates fast, but only time will tell. Correct me if I'm wrong, but the key management positions at JB are held by ex-SWA folks. You can see many similarities between SWA and JB from a business profile sense. I believe there will be several new carrier's started in the next decade following this business plan. I hope the growth in the airline industry does not come through merger's creating oligopolies. That would be bad for consumers overall. Some airlines have gotten so large,that they effectively hold the public hostage when there is a threat to strike and the govt. has to step in in the name of national commerce. ( Please no comments about the necessity to strike on certain occassions, I believe the unions do serve their brother/sisterhood much better With than without) The point I am trying to emphasize here is that some airlines have grown too large for their own good. I look forward to new entrants into the industry and hope they have the wisdom and financial wise that the better carriers have.
 
Actually Turbo, you never stated "major" airlines in your original post. You said "all airlines." Airtran announced expansion and hiring even before SWA, fyi.
 
further details

Hawkerjet,

Actually the Jetblue team were originally Morris Air which was purchased by SWA.

Prior to forming Morris Air, if my senior memory is not too faded, they were a large travel agency catering to the Mormon community. Somewhat like Apple vacations is doing with USA3000 today, they created their own airline after having I believe Ryan fly their routes.

Your example of Fedex is even more interesting than you think. They started as a one hub operation. Everything went to Memphis. As they grew, that became a problem and today they have adapted. Considerable amounts of their packages never see an aircraft and some not even a hub. They adapted. In the airline world, American under Crandal did the absolute best job of adapting after de-regulation. Whether you like it or not, his "B" scale concept was genius from a business standpoint. At the time, some AA people said he was a "blank" but at least he was their "blank"

That is the leadership the industry needs now.
 
Mr. Citrus since you seem so smug about having a job are you enjoying that 20% pay cut????? Last time I did that the airline was doomed, it can happen to your little one in a hurry. Just ask Joe Lenord.
 
AirTran

Turbo:

We gave up 9%, and it ended 10/31. Not a big sacrifice, in order to keep everyone working. Probably cost a third yr. Capt. less than $900., and a 2d yr F/O about $500.

There will always be some disagreement on this issue, but I would rather work at a company where the senior guys will take a temporary pay cut to keep the junior guys working, instead of carrying on about "upholding the profession" at $275K a year, while a newhire is furloughed for two years, working at Home Depot. Yeah, that's upholding the profession, alright. Ya want fries with that?

I realize some guys think that it ain't worth having if you don't make Senior Widebody Skipper and break $300K/yr but I think we are getting decent pay and job security for what we are doing, and, dammit, I'm having fun doing it!

Things look good here. Hiring started started Nov 5th with a class of 14, and then 24 more started after Thanksgiving, and yet another class has been announced, starting later this month. I've been hearing at least 24 a month for 2002.

We've got a decent contract, new equipment arriving faster than we can staff it, adding pilots below me instead of furloughing, I think we're doing OK.

How're things going for you guys at ATA?
 

Latest resources

Back
Top