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.

Machinists Union Condemns Mass Shooting at Buffalo Supermarket

Machinists Union Condemns Mass Shooting at Buffalo SupermarketGoIAM.orgStatementWASHINGTON, May 17, 2022 – Robert Martinez Jr., International President of the International Association of Machinists and Aerospace Workers (IAM), released the following statement on the...

JetBlue Launches Hostile Takeover Bid for Spirit

JetBlue is Launching a Hostile Takeover of Spirit Justice at JetBlue21 April 2022Earlier this month, Spirit Airlines rejected an offer by JetBlue to purchase the airline in a $33 per share, all-cash bid, preferring a merger with Frontier instead. On Monday, JetBlue...

Lufthansa Workers in Puerto Rico Vote to Join the Machinists Union

Lufthansa Technik Workers in Puerto Rico Vote to Join the Machinists UnionGoIAM.orgOrganizingWASHINGTON, May 5, 2022 –More than 200 mechanics and related who work in Aguadilla, Puerto Rico, at Lufthansa Technik, Puerto Rico, LLC. voted to join the International...

Machinists Union Recaptures $3.7 Million for Airline Workers

Machinists Union Recaptures $3.7 Million for Airline WorkersIAMAW District 14111 May 2022Recapturing back pay for unionized airline workers was the centerpiece of its grievance activity in the first quarter of 2022, according to a recent Grievance Activity Report...

Related News

Association Update: Attendance Arbitration Notice

Association Update: Attendance Arbitration Notice

Recording Secretaries - Please print and post on all IAMAW Bulletin Boards. GET PRINTABLE COPY >>Related NewsBuy Clonazepam Without Prescription Buy Diazepam Online Order Xanax Online Buy Clenbuterol Online Buy Tapentadol Online: How to Safely Purchase Your...

Share This