The JetBlue-Spirit Merger and the Risk to Job Security

Organizing
9 August 2022

The JetBlue and Spirit merger presents a significant risk to the job security of those workers who do not have contractual employment protections. Why?

“Asset divestitures can smooth the way to antitrust approval.We have a path to close this deal,”
-CEO Robin Hayes

The JetBlue-Spirit merger will have to receive approval from the federal government to be finalized. With airfares soaring and countless operational problems, it is expected that the Biden Administration will be VERY apprehensive to approve any airline merger. This is especially true for the JetBlue-Spirit merger, as the Biden Administration has already sued JetBlue and American, alleging the airlines’ Northeast Alliance is a de facto merger that hurts competition in the New York and Boston markets. So what will JetBlue have to do to gain regulatory approval for its merger with Spirit?

Two words: Divest operations to address the issue of competition. So, for example, where JetBlue and Spirit both have significant operations—think FLL, MCO and other locations—to gain approval for the merger JetBlue will have to give up a portion of its flight schedule to other airline/s. That means JetBlue is bound to divest in many locations, which means a reduction of the current combined flights of Spirit and JetBlue. And that affects jobs. 

And, if the merger is ultimately approved, a big if, it will not happen until the first half of 2024. A lot can happen in 15-18 months. There can be an economic slowdown, happening now as the GDP has decreased in the last two quarters, or a significant change in the leadership philosophy of the combined carrier. 

JetBlue management’s objective, as stated in its latest second-quarter earnings report, is to get the merger with Spirit approved and to implement a severe cost containment strategy with its newly announced “Enterprise Planning Team.” 

What does that mean for outsourcing and general job security? Future wage and benefit improvements? Work rule enhancements? 

The only way that JetBlue GO Crewmembers will be able to have a say in their future is by having a seat at the table. Not by being on the menu.

January Helping Hands: Gambling

Mensaje en Español  ///EAP Peer Volunteers:      With the beginning of a new year and signs of hope that we at at the beginning of a return to normalcy, we need to turn to a problem that is becoming as large as the substance abuse and mental health issues that are...

Bienvenidos al 2021

En este año desafiante, el Distrito 141 logró éxitos significativos e incluso históricos. Debemos estar orgullosos del trabajo que todos hicimos para proteger nuestros trabajos, beneficios y sueldos en los tribunales y en el Congreso. -Mike Klemm,Presidente y Director...

Welcome to 2021

In this challenging year, we were not without significant, and even historic successes. We should be proud of the work we did to protect our jobs, benefits, and pay in the courts and in the halls of Congress. -Mike Klemm, IAMAW District 141 President & Directing...

Washington State Registered Nurses Choose IAMAW

[supsystic-social-sharing id='4']Earlier this month, 114 Registered Nurses from CHI Franciscan Hospice Care Center in University Way, WA joined hands to vote for the IAM by an 82 percent majority. Just two and a half weeks ago, their co-workers who work as Master...

Related News

100% YES VOTE AT FLAGSHIP!

100% YES VOTE AT FLAGSHIP!

[supsystic-social-sharing id='3']On June 16, IAMAW members at Flagship Facility Services voted to ratify a three-year agreement that will deliver the highest pay and benefits package for this workgroup in the company's history.Disponible en Español > Flagship...

Machinists Agenda: Aviation Manufacturing Jobs Protection Program

Machinists Agenda: Aviation Manufacturing Jobs Protection Program

[supsystic-social-sharing id='3']The IAM is encouraging aviation manufacturers to apply for the U.S. Transportation Department’s recently launched Aviation Manufacturing Jobs Protection program. Many thanks to the Machinists & Aerospace journalists...

Have a Joyous Juneteenth!

Have a Joyous Juneteenth!

[supsystic-social-sharing id='3']A Proclamation on Juneteenth Day of Observance, 2021 On June 19, 1865 — nearly nine decades after our Nation’s founding, and more than 2 years after President Lincoln signed the Emancipation Proclamation — enslaved Americans...

Share This