After a repressed 2020 and 2021, air travel has coming roaring back with a vengeance.
The skies are busier than ever, and both airports and carriers are struggling to keep up with such high demand.
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In the first half of the year, Southwest Airlines (LUV) -) seemed to be the target of most of the upset. Mass cross-country delays over the holidays resulted in the U.S. Department of Transportation investigating the matter. And while the airline is back up and running, more than a few travelers are likely rethinking their decision to book with Southwest over fear that such a meltdown may happen again.
Now, though, fliers may have yet another carrier to worry about. United Airlines, based primarily in Chicago, IL (one of the U.S.'s busiest hubs), warned this week that pilots are scarce -- and captains are even harder to come by.
United CEO Scott Kirby reportedly warned that an alarming amount of pilots are passing up promotion opportunities for Captain. (In aviation, one pilot must be the senior position in charge, known as the Captain; he or she takes responsibility for the safety of the aircraft and makes the command decisions. The position is represented differently in unions than the first officer and also has a different pay band).
All airplanes need a Captain, and fewer Captains means less flying capacity. This pinch is more bad news for the industry, which is already struggling to meet increased flying demand around the country.
“It’s the first time that I’ve ever known it to happen in the airline industry,” Kirby told investors on Thursday's Q2 2023 earnings call. “It is going to impact capacity in the fourth quarter.”
United Airlines CEO Promises Positive Industry Change
Earlier this week, Kirby posted a lengthy letter on LinkedIn vowing to make United a friendlier place to fly for both customers and staff.
The move may be an effort to get in front of the shortage and place it "in the rearview mirror sometime next year," as Kirby put it.
"We promised our world-class pilots the industry-leading contract they deserve, and we’re pleased to have reached an agreement with ALPA [Air Line Pilots Association] on it," he wrote. "The four-year agreement, once ratified, will deliver a meaningful pay raise and quality of life improvements for our pilots while putting the airline on track to achieve the incredible potential of our United Next strategy."
Still, it's not clear whether the agreement will remedy the issue -- or quickly enough.
"At United, bids for 978 captain vacancies, or about 50% of the vacancies posted, have gone unfilled in the past year, United pilot union data shows. In June, 96 of 198 openings went unfilled," Reuters reports.
The report suggests one of the reasons pilots are turning down promotional opportunities is because they are associated with a more rigorous schedule, which few believe the pay justifies. New captains in particular may be prone to schedule unpredictability.
And it's not just a United problem. Over 7,000 American Airlines pilots have chosen not to take the promotional route, too.
United currently has 5,900 captains and 7,500 first officers, but with demand crunching an already-saturated pilot schedule, it's probably safe to bet the shortage won't be remedied overnight.
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