Here’s my casual observation of the American Airline’s bankruptcy. I am certainly no expert but being around airlines for the past 40-years, it is my belief that airlines have never been profitable and nor will they ever make a profit. The basic operations and expectations are about the same as running a local tavern or a health spa. Too vulnerable to unexpected economic changes. And most of all too dependent on governmental and local subsidies.
How many airlines had built their own airport? What airline flies without the aid of the FAA and air traffic control? Who inspects the domestic airlines for airworthiness? Surely not the airlines themselves.
After nine eleven, who bailed out the airlines? Basically all the above answers to our questions are, we the taxpayer. Therefore, the airlines are a socialized entity. Operating more like a non-profit than for profit.
So, why bankruptcy? Why big bonuses at the top? Why do the workers at the bottom get shafted while the corporate money mongers get rich regardless of the airline financial condition?
If American Airlines had filed bankruptcy in Europe, it would be required of them to shut down. Go out of business. Sell off all assets and pay off creditors. Just that simple.
However, here in America we do things differently. We protect the interests of the corporate owners and shareholders while dumping the bottom tier workers. Thus adding to the job-killing craze. That why they call it Chapter Eleven Protection. Protecting the financial interests whiles sacrificing the lower paid, lower grunt worker and their pension and benefits.
If America Airlines wishes to continue operation, they should take on the Southwest Airline model. Trim to the bare bone. Fly smaller fuel-efficient aircraft. Cut routes. Perhaps cut either or both European and Asian routes. Maybe even shut down South American routes as well. Then raise prices only the business and the very rich can afford. No more running an airline with the deep discount mass marketing pack’em in Walmart model.
And then there is the airline shell game of assessing dozens of hidden fees. What a Con game. Bate and switch. An airline ran by carnival workers. Well, lets not get started on the airline’s horrible customer service reputation just yet.
Nonetheless, to believe airlines can make money is a fairy tale notion. Play the Superball lottery instead. You have better chances of increasing the bottom line. I’ll take two tickets thank you.
All in all, we would be better off if we had only one airline. Let them charge what they want and let the rest of us drive or take the train. Maybe even take a cruise ship to Europe. How about just stay home. Just Skype your sales prospect.
After all, who wants to wait in those torture chambers known as security lines at the airport? Take off your shoes! Take off your belt! Take off that silly smile! Put all your earthly belongings in this plastic tub! Extend your arms out like this. I’ll touch you. You don’t touch me. Stay in line! Look smart and don’t cross your eyes! And bla bla bla…
Rational voice of the Southern Plaines. Commenting on politics, religion, technology, Pop culture, radio, TV, and the general Media. If you wish to comment on anything written in the Red Dirt Post, go to chuckayers.com and to the “Contact Us” info. All my best, Chuck Ayers Editor
Showing posts with label American Airlines. Show all posts
Showing posts with label American Airlines. Show all posts
Thursday, February 2, 2012
Wednesday, October 5, 2011
Just you try to fly the friendly skies
Of course the current buzz in travel is the question about American Airlines. Will it bankrupt? Will it layoff hundreds of workers? Will it cut flights? Will it…will it?
Ever since it was taken over by CPAs and attorneys, it’s been a downward spiral in customer service. Offering less and less to the flying customer. And, to pour salt on the open wound, nickel and dime the passenger into a state of ill will. Done so by offline/online fees, baggage fees, and onboard fees. All in addition to it’s advertised fairs. Sometimes creating extra fees greater than the price of the original ticket.
Now, American Airline is faining bankruptcy. Sighting increased costs. Costs of ground and air crews, high maintenance costs, landing and take off fees, the cost of maintaining FAA standards, fuel costs, retirement obligations, expensive aircraft, etc etc. All pointing to my earlier statement that airlines are a losing proposition. And for the most part, cannot exist without government subsidy. Subsidies from local, state, and federal governments.
And the alternative to subsidies is higher ticket costs. Therefore making air travel for the few and rich. Perhaps that the way it should be. The airlines have taken a Sachs Fifth Avenue service and morphed it into a Wal-Mart airline. With the end result being poor service and angry passengers. Passengers do not want to be treated poorly. Passengers do not want to be squeezed into less and less space. Especially when the passenger is becoming bigger and bigger. Making the whole situation almost impossible to resolve.
American Airlines as well as the other airlines seem to want it all. But in the process, have lost it all. Shooting themselves in the foot. Taking the goose that laid the golden egg (the passenger) and filleting into a goose salad sandwich. Not a good deal. Good luck American Airlines.
Ever since it was taken over by CPAs and attorneys, it’s been a downward spiral in customer service. Offering less and less to the flying customer. And, to pour salt on the open wound, nickel and dime the passenger into a state of ill will. Done so by offline/online fees, baggage fees, and onboard fees. All in addition to it’s advertised fairs. Sometimes creating extra fees greater than the price of the original ticket.
Now, American Airline is faining bankruptcy. Sighting increased costs. Costs of ground and air crews, high maintenance costs, landing and take off fees, the cost of maintaining FAA standards, fuel costs, retirement obligations, expensive aircraft, etc etc. All pointing to my earlier statement that airlines are a losing proposition. And for the most part, cannot exist without government subsidy. Subsidies from local, state, and federal governments.
And the alternative to subsidies is higher ticket costs. Therefore making air travel for the few and rich. Perhaps that the way it should be. The airlines have taken a Sachs Fifth Avenue service and morphed it into a Wal-Mart airline. With the end result being poor service and angry passengers. Passengers do not want to be treated poorly. Passengers do not want to be squeezed into less and less space. Especially when the passenger is becoming bigger and bigger. Making the whole situation almost impossible to resolve.
American Airlines as well as the other airlines seem to want it all. But in the process, have lost it all. Shooting themselves in the foot. Taking the goose that laid the golden egg (the passenger) and filleting into a goose salad sandwich. Not a good deal. Good luck American Airlines.
Labels:
American Airlines,
AMR,
angry passengers,
bankruptcy,
FAA,
high costs,
low revenue,
poor customer satisfaction,
TSA
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