Record summer airline profits are proof that workers are assets that should be invested in, not liabilities that should be limited.

Summer 2022 Airline Profits: Union Made

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Summer Airline Profits: Union Made

31 October 2022

Record summer airline profits are proof that workers are assets that should be invested in, not liabilities that should be limited.

Unions create a workplace where workers take their jobs seriously, creating the foundations for long-term careerism at a company. In addition to being more productive, unions provide a better view of real-world working conditions, allowing their companies to make smarter decisions. Union workers provide more value, more stability, and higher profits.

Unions have been vilified by management executives for years. It’s nothing new. The standard narrative goes like this: “If a union comes in, we don’t know what will happen. Things could get worse. We know we have some problems. Give us a chance to fix them. A union is not the answer.”

Management couldn’t be more wrong because “the union” is JetBlue GO Crewmembers. It’s us, and we’re already there. All we need is the legal power by unionizing to make our jobs better through a legally enforceable contract.

Employees who unionize and gain the legal right to participate in how their companies are run do so with great success. 

The recent earnings reports of US airlines demonstrate this.

Turns out, unionized airlines are performing at the top of our industry. United Airlines earned just under $1 Billion during the summer, earning an astounding $2.81 per share. But United wasn’t alone in posting impressive profits. Alaska raked in a whopping $2.53 a share over the same period. American and Southwest reported earnings of $.69 and $.41 a share, respectively. 

Meanwhile, JetBlue management came home with a dismal $0.21 per share. The worst performing unionized carrier, Southwest, posted almost twice the earnings per share as JetBlue management did. 

Rigid, heavy-handed, top-down management doesn’t always make the best decisions at a company. As JetBlue’s earnings report proves. But a Unified workforce, with front-line workers able to contribute and add their input as critical decisions are made, is working – especially in commercial aviation. 

And, a big part of why that’s happening is precisely because front-line workers might know a thing or two about how best to do our jobs. Management should listen to us, not dictate to us.

Unions play a vital role in ensuring the financial success of airlines. By providing economic certainty, stability, and fairness, unions help airlines deal with the many different externalities that face the industry. Here’s a look at how unions add value to airlines.

Unions help airlines be financially successful by providing economic certainty.

When an airline has a strong union contract, it knows how much it will have to pay its employees each year. This predictability helps the airline budget more effectively long term and plan for the future. It also allows the airline to offer its employees competitive wages, benefits, and working conditions. This helps attract and retain the best talent. Non-union airlines, like JetBlue, are often plagued by high turnover which places a lot more stress on the existing workforce. This leads to OJIs, MSEs, outsourcing, and many other detrimental outcomes. 

Unions help airlines by providing stability.

A union contract is a legal agreement between an airline and its employees that outlines the terms of employment. This includes wages, hours, working conditions, and job security. Once a contract is in place, it can only be changed through negotiation between the airline and the workers themselves. This process helps ensure that the workplace is stable, which is essential for an industry constantly facing uncertainty.

Unions help airlines by providing fairness.

Union contracts often include provisions that protect employees from things like arbitrary and unjust discipline and termination, favoritism, discrimination, and sexual harassment. This helps create a fair and safe workplace, which is essential for attracting and retaining the best talent. It also helps protect employees from being taken advantage of by their employers.

Unions help airlines succeed financially by giving front-line workers a seat at the table.

The people who are going to make the best decisions about how to run an airline operation will always be the people who do the actual work. And, that would be JetBlue GO Crewmembers. It’s not that all company bigwigs are entirely clueless. But, company executives would benefit greatly from the operational knowledge of GO Crewmembers. Just think about safety and working conditions. Don’t you think that management would be better off because they HAD to listen to us and take our ideas into consideration when dealing with safety issues and improving working conditions? 

Unions ensure that the people who know how the work is done can add their insights and offer real-world expertise as company decisions are made. Executives may know their thing, but Unions will better understand how to keep the workplace motivated, enabled, and productive.

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