Main News February 28 2013


Profitability passed on to employees

Earlier this month, Delta Air Lines paid out around US$372m in profit sharing in recognition of its employees and their rôle in achieving financial and operational goals in 2012. Delta says that employees’ individual payouts will be equivalent to 6.67% of their eligible 2012 earnings.

“This year’s profit sharing payment is a reflection of the hard work and dedication Delta people have shown in delivering what our customers have come to expect – great operations and service,” stressed Delta’s CEO, Richard Anderson. “Profit sharing is not only a demonstration of appreciation for employees’ hard work in 2012, it’s an investment in improving our customer experience on Delta now and in the future.”


Government economies could impact US air travel

With the ongoing belt-tightening in the US has come the unwelcome news that up to US$1bn in spending cuts could be sought at the Transportation Department – and of this total, more than US$600m would be trimmed from the Federal Aviation Administration, the body that oversees US air travel.

On the cards could be cuts in the working week as well as the closure of air traffic control facilities in regions where flights are fewer: up to 100 might be involved in the cutbacks, it has been suggested.

The Regional Airline Association has expressed its fears over the proposals that would almost certainly lead to delays in journey times for passengers. Since the regional carriers account for around 50% of the total scheduled passenger traffic, it foresees some communities losing their only lifeline and others operating with a reduced schedule.

Searches giving cause for concern in Kansas

Some Kansas House members have voiced disapproval over pat-downs at the state’s airports, saying that the searches are getting out of hand. A bill sponsored by 21 House members would declare it illegal for Transportation Security Administration screeners to touch an airline passenger’s private parts during a search. The bill would also seek to prevent an agent from taking a child under the age of 18 away from a parent or a guardian for the purposes of conducting a further search. Kansas is joining other states in objecting to what is considered aggressive searches of people who are unlikely to be potential security threats.

 


Swissport brings job boost to Newark Liberty

The Christie Administration has launched an initiative with handler Swissport USA aimed at the employment of around 1,000 New Jersey residents for posts at Newark Liberty International airport. This is in line with the latter company opening a new cargo and baggage handling operation this spring.

Swissport USA has asked the New Jersey Department of Labor and Workforce Development to help fill the positions, giving priority consideration to people displaced by Superstorm Sandy and New Jersey’s long-term unemployed, particularly those who have been involved in clearing up after the storm.

“Swissport USA is eager to get its cargo operation up and running, so our department has moved quickly, by lining up potential hires from people withrésumés in our Jobs4Jersey.com search engine, people who joined our Jersey Job Clubs, our Talent Networks and our veteran outreach services,” explained LWD’s Commissioner, Harold J Wirths.

The available positions range from warehouse agents and cargo office agents to supervisors: prospective applicants will be expected to possess a valid driver’s license, an education certificate, a clean record and a steady work history.

“We are happy to partner with the New Jersey Department of Labor to help us find qualified individuals to staff our operations at Newark airport,” commented Gregory Reeves, Swissport USA’s Senior Vice President Human Resources.

In all, Swissport USA has been given 60 days to staff its Newark Liberty airport operation, and candidates accepted into the company’s training programs will receive pay while awaiting Federal Aviation Administration certification and background checks. Swissport USA has said that it intends to offer any staff hired the flexibility of working at two other facilities, namely at LaGuardia and JFK.

 


JetBlue enhances the check-in process

JetBlue Airways has made traveling even easier with the introduction of a mobile boarding system. Customers in eight of the airline’s largest cities are now able to download electronic boarding passes on to their cell phones using the newly re-launched version 2.0 of the JetBlue mobile app. This translates into a saving in both time and paperwork during check-in, security and the boarding process proper. Mobile Boarding Passes are now available for those traveling from Boston, Las Vegas, Fort Lauderdale, Los Angeles, San Juan, San Francisco, Orlando and New York.


Miami setting the pace in cargo

The aviation department at Miami International airport has set a new record of just over 2m short tonnes of cargo handled, which surpasses its 2007 record by more than 15,000 short tonnes. This represents an increase of 4.6%.

While the total domestic cargo tonnage for 2012 exceeded 2011’s tonnage by almost 14.5%, it fell short by about 10% when compared with 2007 figures. The airport’s total international cargo tonnage for 2012 set a new record, surpassing the tonnages of both 2011 and 2007.



 

Main News February 15 2013


Outsourcing at Frontier confirmed

Frontier Airlines has revealed that the jobs of around 700 of its employees are to be outsourced and that this will affect all of its destinations, save Denver International.

Currently some 60% of Frontier’s stations are staffed by employees from other companies. This latest announcement will have an impact on gate, ticket counter and ramp staff at 28 locations.

“We need to take every reasonable measure to ensure the future stability and viability of our company and to keep our costs low for our customers,” the airline’s spokesperson, Kate O’Malley, said in a statement. The outsourcing initiative is not expected to compromise customer service, and the replacement employees will receive the same Frontier training as current employees. Frontier has said that it will also work with other companies to help their employees apply for jobs with a new employer.

Having been through the bankruptcy process and relocated its headquarters from Indianapolis, the carrier has been looking hard at means whereby it can gain a competitive edge.


Load factors show promise for 2013

WestJet Airlines has revealed that its January load factor was a record 80.9%, which was slightly better than the comparable 2012 figure of 79.9%.

Traffic, as measured by revenue passenger miles, climbed by 7.7% year over year, while capacity, in available seat miles, was up 6.4% on the previous year.

The January load factor was the seventh consecutive monthly record for WestJet.

Similarly, Air Canada reported higher monthly passenger levels for January, as demand for air travel remained strong in the wake of the holiday season. Air Canada said that its load factor rose to 79.4%, again a record for January: this compares with 79.1% that was posted a year earlier.

On time delivery is getting even better

Airlines for America, which is the industry trade organization for the leading US carriers, has said that airlines are continuing to deliver a strong on-time performance. In particular, it notes the second best November on-time results that have ever been recorded. According to the latest Department of Transportation Air Travel Consumer Report, airlines also had the best November on record for baggage handling performance.

The DOT Report records that 85.7% of flights arrived within 15 minutes of scheduled arrival time, which was second only to November 2009, which set a record of 88.6%. Encouragingly, these results are up from November 2011, which posted an on-time arrival rate of 85.3%. In addition, 99.7% of all US airline passengers had their bags correctly handled, yet another encouraging result.

As an update, United Airlines has just announced that it exceeded its 80% on-time arrival domestic and international performance goals for the month of January, and that it would be rewarding its eligible employees with a US$100 on-time bonus to recognize this fact. Despite challenging weather conditions across the system, the airline ended the month with an 82.8% domestic on-time arrival rate, and an 80.5% international on-time rate, resulting in the best combined domestic and international performance figures for the month in a decade.

On-time arrival rates are based on flights arriving within 14 minutes of scheduled arrival time.

 


United invests in static assets

Last month United Airlines unveiled its new United Club lounge in Terminal 2 at Chicago O’Hare International airport.

The carrier has said that this lounge will become the first of several new lounges that it will be introducing worldwide. The 13,300 square foot facility has an expansive bar and lounge area, redesigned furniture and additional workstations and power outlets. Members will receive complimentary snacks, beverages and free wi-fi use.

United has added that it plans to spend more than US$50m this year on the renovation of several of its 51 locations. This is in addition to over US$550m that it will be investing in fleet-wide changes.

 


FAA finds simple solution to airport efficiency

The Federal Aviation Administration reports that it has boosted overall efficiency at Memphis airport by more than 15%, all through the expedient of reducing time separation between the majority of FedEx’s aircraft.

These new standards, which were initially rolled out at Memphis late last year, are set to be expanded to other airports which feature concentrations of wide-body aircraft: these include San Francisco, Louisville and Atlanta. The changes will occur over the course of the next two years, says the FAA.

In order to effect the environmentally-friendly changes, minimum spacing between departing aircraft was reduced to 2.5-3 miles; latterly, this gap was typically 4 miles. Wake turbulence is the deciding factor here, for it is important that a following aircraft is not affected by the wake of the one in front. FedEx’s fleet comprises many MD-11, B767 and A300 types and it has managed to cut an average of three minutes off the taxi-ing time by having aircraft proceed directly from the stand to the runway. This translates into a time saving of 30 seconds in the run-up to takeoff clearance. The overall gains are apparent in the areas of fuel consumption, noise levels and emissions.

Perhaps best of all is the fact that this initiative has done away with any requirement for new runway areas or other airfield development. The scheme is just one part of the FAA’s long term plan that will see it overhaul the air traffic system with a combination of new technology, equipment and procedures that is known as NextGen.

 


Looking after one’s assets

On January 18, United Airlines opened the airline’s new employee health clinic at O’Hare International. The clinic, managed by Walgreens, will serve employees’ health needs, such as urgent care for routine illness, travel and other immunizations, including ’flu shots, prepackaged medications, job-related physical training and pre-employment physical check-ups, at no cost to the employee. These, and other health care services, are now available to all United employees, including more than 10,000 co-workers around the Chicago area.

“We’re continuing to make significant investments in United, including investments in our co-workers,” confirmed Jeff Smisek, United’s Chairman, President and CEO. “This clinic will offer convenient health services at no charge to keep our co-workers feeling and performing well.”

The 5,200 square foot facility is located in the airport’s Terminal 2 arrivals area, and is the only one of its kind for any airline at O’Hare.

In brief

Horizon Air passenger service agents in Vancouver and Victoria, who are represented by the Canadian Auto Workers, have announced that they have ratified a new three-year contract. All of the agents at the airports who participated in the ratification vote approved the contract, which expires on February 14, 2016.