Tuesday, December 1, 2009

Slot Swap Opposed

US Airways' pilot union has announced that it is opposing the carrier's proposed slot swap deal with Delta Air Lines.  See US Air Pilots Union Wants Probe of Slot Swap, Assoc. Press, Dec. 1, 2009 (available here).  From the story:

US Airways' pilots union said Monday it is concerned a deal with Delta Air Lines to swap takeoff and landing slots could lead to higher fares and a reduction in service to smaller communities.

The US Airline Pilots Association said it sent a letter to the Justice Department seeking a full investigation on the impact of the proposed transaction between US Airways and Delta at New York's LaGuardia and Washington's Reagan National airports.

Despite its publicly stated concern for consumers, the US Airways union is certainly interested in a potential loss in piloting jobs.  However, the slot swap deal is supposed to generate up to $75 million in profits for US Airways--an airline which has been no stranger to bankruptcy in the past.  See Impact of Delta-US Airways Slot Swap Will Be Far-Reaching, Today in the Sky Blog (Aug. 14, 2009) (available here).  Given the tough operating environment for the airlines, US Airways' union may be charting an imprudent course.

http://lawprofessors.typepad.com/aviation/2009/12/slot-swap-opposed.html

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