Don't Fear The Labor Noise At American Airlines

Nov. 28, 2022 12:46 AM ETAmerican Airlines Group Inc. (AAL)DAL, UAL18 Comments
Tim Dunn profile picture
Tim Dunn
1.64K Followers

Summary

  • High inflation has put significant pressure on worker standards of living with wage growth not keeping up with soaring costs.
  • Railroads, staring down strike threats, are facing similar worker compensation demands as airlines.
  • Airlines are highly unionized and the industry now is seeing strong demand and increasing air fares post-pandemic.
  • American Airlines’ pilot union leadership rejected a proposed new contract, setting up a potentially more confrontational labor environment.
Pilots Reject American""s Proposal

Tim Boyle/Getty Images News

While the U.S. railroad industry has been in the news because of a potential strike that could take place within weeks, many segments of the U.S. economy are facing the pressure of higher wages as employees attempt to recover their standards of living

This article was written by

Tim Dunn profile picture
1.64K Followers
Focus on multinational transportation companies. Mercosur economies.

Disclosure: I/we have a beneficial long position in the shares of DAL either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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