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Aaron's Real Opinions (Yikes!) TIME FOR UNIONS TO FACE REALITY The airline industry is proving to be the losing battleground for the future of unionized workers as the embattled industry seeks severe cuts in benefits, wages, pensions, and even jobs to stay afloat. With well-run airlines such as Southwest picking up market share and actually making a profit on a consistent basis, the traditional airlines -- such as American, Delta, United, and US Airways -- find themselves facing almost insurmountable financial hurdles and constantly losing money every quarter.
Some airlines have elected bankruptcy as an option to lower wages, reduce benefits, slash pension plan benefits, and discard employees. Others are on the brink of going under. And with the skyrocketing cost of fuel making profitability even more remote for many airlines, the outlook for the industry is not good. The most recent skirmish is between Northwest Airlines, the nation's seventh largest carrier, and the Aircraft Mechanics Fraternal Association ("AMFA"), whose members walked off the job on August 20th. The AMFA predicted dire straits for Northwest and believed its strike would be so devastating, the airline would run back to the bargaining table and cave into the union's demands. Instead, it is the union which not only is likely to cave but which may have sown the seeds of its own destruction.
Ironically, the AMFA ousted the International Association of Machinists from Northwest with promises of being tougher when it came to fighting for employees' jobs, wages, and benefits. What the AMFA unintentionally is proving is that fighting too much or too hard sometimes boomerangs. The "Get Tough" stance of the union resulted in Northwest developing a strategy to replace the striking workers. That plan was implemented successfully and the workers, who thought they were indispensable, now find themselves on the outside -- watching as their replacements succeed. The union expected the airline to crumble in a matter of days but as the weeks go by, Northwest is performing according to its plan. The strike did help push Northwest into bankruptcy but that is a hollow victory for a union whose primary concern should be for keeping the jobs of its workers. Now, with bankruptcy added to the mix along with replacement workers, long-time employees of Northwest are in jeopardy of permanently losing their jobs. As the airlines have proven -- whether it's "right" or not -- they have become adroit at using federal bankruptcy laws to escape many of the promises they made and obligations they incurred. Perhaps now that the Congress has amended the bankruptcy laws to make it more difficult for individuals to file for bankruptcy, they should do the same for businesses. ********************************************** Aaron Harber hosts "The Aaron Harber Show," seen Fridays at 9:00 pm and Sundays at 2:00 pm on PBS Station KBDI-TV Channel 12. Please go to www.HarberTV.com for more information. Send your comments and topic suggestions for both columns and TV shows to Aaron@HarberTV.com. You also may view programs on a 24/7 basis via the "Broadcast Videos" section of the Website. Many of Aaron's columns also are available on the Website on the page entitled "Aaron's Opinions." You often can find them in The Colorado Statesman (www.ColoradoStatesman.com) as well as in The Denver Daily News (www.DenverDailyNews.com). |
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