It should be the best of times for U.S. airlines with a travel boom still going strong, but investors are nervous demand may soften as the economy falters, making it harder to protect profits from soaring costs.
29.09.2023 - 13:21 / forbes.com / Jennifer Homendy
Tick, tick, tick. With just one day before the end of the fiscal year, Congress appears resigned to a federal government shutdown. Should lawmakers fail to pass a funding bill, travelers could feel the impact beginning at midnight on Saturday.
A shutdown will cost the travel economy roughly $140 million per day, according to the U.S. Travel Association. The trade group sponsored a recent Ipsos survey that found six in 10 Americans would cancel trips or avoid flying in the event of a shutdown.
To run smoothly, the U.S. air travel system relies on tens of thousands of federal government employees, including air traffic controllers and Transportation Security Administration (TSA) officers screening bags at security checkpoints. In the event of a shutdown, those government employees are required to work without pay. While they would receive backpay after the shutdown ends, being asked to miss an unknown number of paychecks has in the past triggered large numbers of workers calling in sick and taking personal days.
“On average, the TSA screens 2.5 million passengers per day, exceeding pre-pandemic travel volumes,” the Department of Homeland Security (DHS) said on Thursday, warning that a shutdown could “potentially leading to significant delays and longer wait times for travelers at airports across the country, based on what occurred during previous shutdowns."
And the longer the shutdown, the longer it will take for all the moving parts to get back up to speed. Take air traffic controllers. If the government shuts down, the FAA’s academy in Oklahoma City that trains new air traffic controllers would suspend its program, leaving roughly 2,600 trainees in limbo at a time when the nation’s air system already faces a shortage of controllers. During the 2018-2019 shutdown, trainees dropped out of the program. “It takes months to get everything started back up. And that’s a big impact on safety,” Jennifer Homendy, chairwoman of the Nation Transportation Safety Board, said earlier this week at the Regional Airline Association Leaders Conference in Washington, D.C.
If you’re planning a trip in the next few weeks, these tips can help insulate your trip from the worst impacts.
“Statistically your flight is less likely to get canceled the earlier in the day you fly,” says Kathleen Bangs, a former commercial airline pilot and current spokesperson for FlightAware. That’s because on days with a higher-than-normal level of flight delays, there is a domino effect, where one canceled flight leads to a second and then a third. Also, late-day flights get canceled more often because planes never make it to their departure airport.
FlightAware’s “Where is my plane now?” tool can give travelers an early heads-up that a problem
It should be the best of times for U.S. airlines with a travel boom still going strong, but investors are nervous demand may soften as the economy falters, making it harder to protect profits from soaring costs.
On Tuesday, October 17 Airline Weekly Analyst Jay Shabat and Skift Editor-in-Chief Sarah Kopit went live on LinkedIn to have a conversation on the current state of the global airline industry.
American Airlines business travelers now have the opportunity to earn airline elite status sooner through the AAdvantage Business loyalty program. Travelers will collect Loyalty Points in addition to the regular earning rate for being an AAdvantage member. Businesses will earn AAdvantage miles that can be redeemed for employee travel.
For Royal Jordanian CEO Samer Majali, the war between Israel and Hamas creates multiple challenges.
Delta Air Lines hit a nerve with loyal fliers, arguably its most important customer bases, when it upended elite status qualification in its SkyMiles loyalty program last month. Customers provided the carrier with ample feedback of what CEO Ed Bastian described as a “360 [degree] view” of the controversial changes.
The Senate’s No. 2 Democrat asked the CEOs of United Airlines and American Airlines to answer questions on rising passenger complaints and higher ticket prices and fees.
The threat of travel disruption feels imminent for anyone heading to the airport nowadays, especially with cancellations and delays making headlines repeatedly over the summer. While anger about such disruptions regularly fills social media channels, passengers have come to expect problems.A new report from ground transport provider CMAC, based on a survey of more than 1,000 travelers in the United Kingdom who booked round-trip flights, found that nearly two-thirds of respondents believed that flight disruptions have worsened. And 78% of those surveyed reported having experienced a flight disruption themselves. That’s not terribly surprising, given that 650 million hours of collective passenger time was wasted in 2022 as a result of flight disruptions, according to passenger compensation platform AirHelp. For its report, AirHelp used structured calculation logic to determine the impact of flight disruptions based on data, expert interviews and its internal expertise.
After decades of conflict, the Palestinian militant group Hamas launched a surprise attack against Israel on Saturday.
There's nothing quite like a long line at airport security to seriously dampen the excitement of a trip or a vacation. To get through airport security as quickly as possible, you can try your best to avoid peak travel time, pack efficiently, pre-bag your liquids, and make sure your electronic devices are easily accessible until the cows come home. But at the end of the day, the power is out of your hands.
If you know me, you know how much I love planes, and as an AvGeek to the core, it gives me joy to share my love of everything aviation.
Airbnb contributed over $920 million (INR 72 billion) to India’s gross domestic product (GDP) and supported over 85,000 jobs in the country between April 2022-March 2023, according to research by Oxford Economics.
Delta Air Lines announced that some of the recent changes to the carrier’s loyalty program would be rolled back after travelers voiced their displeasure.