airlines: cut-throat competition
WORKERS, MARCH 2003 ISSUE
RYANAIR HAS BOUGHT Buzz Air (formerly the low-cost arm of KLM). Ryanair’s chief executive immediately told Buzz staff and trade unions that any opposition would be met with total closure – 100 job losses out of 500 staff are represented as a necessary "hard" management stance.
Objections from BALPA, the pilots’ union and the TGWU, which represents cabin staff, have been ignored. Ryanair’s "low cost no frills" airway is based on low wages, poor conditions and marginalised trade unions.
The airline industry started restructuring and realigning itself ten years ago, long before 11 September. Low cost airlines such as Buzz, Ryanair, EasyJet and Go have been battling for survival. Ryanair sees only one survivor – itself.
Given the likelihood of further realignments among national carriers such as British Airways, or United Airlines in the US, together with the EU vision of one national carrier, the whole airline business is set for more mergers, takeovers and divisions.
In this cut-throat world the losers will be the staff, as wages are forced down and conditions of service worsen.