Discussion: Feds Investigating If Major Airlines Conspire To Keep Fares High

Discussion for article #238077

The airlines offer a great example of what happens when an industry manages to take advantage of deregulation, union smashing, and reduced competition. For that matter it is a fine example of the end result of unbridled capitalism and why we need government intervention.

If the proponents of unfettered capitalism were to be proven right, the airlines would maximize customer satisfaction by increasing the numbers of flights, and the numbers of planes, and compete to drive down costs of flights, and offer a better customer experience by enlarging seats and offering more amenities. What we see instead is a race to the bottom of lousy treatment, lower wages and benefits for airline employees, fewer standard perks, more add-on fees for what was formerly included in the price of the ticket, and overall higher prices. Great for stockholders and airline executives, but bad for customers.

If you can afford to fly first class, its a great experience, but for the cattle in the cheap seats, it sucks. But like the economy, that was the point all along. For those few at the top of the heap, life is good. For everyone else, not so much.

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Just make them play on a level field. OK…you wanna bag me for 200 bucks because I change a domestic ticket…fine…but I get 200 when you change it. If I get stuck in Atlanta or Huston because you had a problem…pay up just like you want me to pay up. If you jack with leg 1 of my flight causing me to miss leg 2: Pay up. If you leave my bag in limbo: Pay up.

I’m fine with them making money. But lets do it fair.

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What you have here is yet another ā€œlegacyā€ relic of that greasy haired B Movie actor turned President who has been canonized by the Grumpy Old Party.
He was the one who ran amok, de-regulating everything in sight. What it has led to is perfectly mirrored in the ā€œairlineā€ industry, whose specialty is treating cattle like cattle.

Another question and a better discussion might be had if the question focused on why the cattle put up with being treated like cattle in the first place, flying cattle or not.

I’ve been waiting for this sort of investigation, but given the current nature of the US (ha-ha-ha) Government, I doubt anything of real importance to the cattle will actually come about.

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The U.S. government is investigating possible collusion between major airlines to limit available seats, which keeps airfares high, according to a document obtained by The Associated Press.

In other news, the government announced the formation of a committee to investigate whether the sun rose in the East today.

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Indubitably. There used to be a few empty seats when I flew transatlantic–now every single seat is filled. Now that is NEVER the case.

The way the airlines do it is through their consortia, so say you’re scheduled to fly to Paris on one airline and their partner airline has a plane going out a few hours later. Neither is completely full. So an hour or so before your flight, you get a phone call or email saying your original flight has been canceled but they ā€˜managed’ to get you on a later flight–with a ā€˜sister’ airline.

You arrive to find not even one square inch of extra space for you or your belongings.

It’s a real scam. And what it means is that there are no discounted fares available as airlines try to fill up planes that aren’t yet carrying a full load.

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I believe the airline industry was deregulated under President Carter.

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Yup…and when it comes to the establishment of a caste system in the USA the Airlines lead the way.

Good Morning…in just a few moments we will start our boarding process. Those will children or needing assistance in boarding may now proceed. We will then board our sooper dooper Platinum folks that matter to be followed by our Gold near do wells. After the real people have been seated and served we will commence boarding the rest of the ash and trash scumbags in the rear of the plane. Thank you and enjoy your flight. And we know that you really DON"T have options and were stuck with us.

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Fascinating that every time the NY Times runs an article about airline operations, frequent fliers, airfares, etc., the comments section fills up faster than maggots on a dead body. This industry is now universally loathed, except by those deluded into believing that loyalty programs and frequent flier miles are giving them some sort of edge…only if you fly over 100,000 per year and that usually means never having to deal with economy or even economy plus.

Flying used to be fun. Now it is an endurance.

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I’d love to see them re-regulated and let them compete on service. I’d gladly pay more for larger seats and more legroom on long hauls while buying my own drinks and food. And charging for checked baggage? Puleeeeease.

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You are correct, Carter pushed for it, almost everyone in Congress voted for it, and Carter signed the Airline Deregulation Act in 1978. Reminds one of the Commodities Futures Modernization Act of 1999. President pushed for it, almost all of Congress voted for it, President signed it.

I’m liberal, but I call them as I see them. Both of the above were bipartisan ā€œsuccessesā€.

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Actually, the top of the top bypass the large commercial flights entirely, opting for private jets at $10k/hr and up. Life is very nice (and wasteful) at that level.

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Airlines? How about investigating the collusion in the energy industry.

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Of course they talk to each other about capacity plans etc, you will not find anything written down however. All those conferences everyone attends are to share ideas and info.

It is not just Airlines, I’ve purchased books often I am about 20/30 pages in and could tell you the plot and how events will play out. One is a Western, another Sifi, one in the West while the other in space but many times the authors never even bother changing names etc. Does anyone believe for a minute all the autos coming out every year with near identical designs are a coincidence. Or TV programs, I remember just a few seasons ago the Networks seemed to have competing shows, all virtually same subject, themes, etc does anyone not believe the writers have not talked about shows and plots during the off season, I’m thinking CSI-NY, NCIS. and a few others. I for one would discuss plans and expected outcomes of software applications while attending many conferences. Sometime if I was a presenter got into a great deal of detail during the Q&A sessions. I for sure took away much more information than I came with and at least once returned home and cancelled a project because I had learnt 4 other companies were working on same solution.

Consider that the staff on the plane don’t even get paid full wage for the time the door is open and / or sitting around between flights! Time to roll back some of the wage protections they had put in place to protect them when the economy and industry were having issues.

Also bypass all security, no search of bags unless you cross boarders, arrive five minutes before departure, direct near door to door service. Then again you also leave and arrive as scheduled. I have not flown commercial since 1996 unless private flights. Those flights have nearly all been overseas. If I can’t take my time and drive I don’t go. if a firm does not want to accommodate they will pay for the private flight. Many companies these days have coop deals instead of corporate jets. That means costs are way down and very close to first class rates. The $10k per hour I have experienced only when I was the only passenger.

Kind of miss those flights now that I have retired.

I can’t imagine this happening under a GOP president.

Yuh think???!?!!??

And I’m ashamed to recall that I bought into the scam that deregulation would be good for the consumer.
Man, I was naive. I think Carter was, too, FWIW.

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Yes, you are correct, but it was Reagan who busted the air traffic controller union leading to the multiple filings for bankruptcies which were repeatedly used by the airlines to re-negotiate labor contracts that got us to where we are today. The pilots are essentially bus drivers, the flight attendants are hall monitors, and the jobs have lost the pay and benefits that they used to enjoy. And we get treated like nuisances unless we can afford a first class ticket. It would be hard to argue that flying is a better experience now than before deregulation.

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