Aviation Safety

833 WordsSep 11, 20144 Pages
Create a timeline of the annual activity of labor/management collective bargaining from 1978 through 2009, providing a short synopsis of mergers, new carriers and company departure from the air transportation sector. Highlight the areas of most importance. 1978 Jan, The Federal Hourly Minimum Wage was set at $2.65 an hour. 1978, Mar 6, Pres. Carter invoked the Taft-Hartley Act for an 80-day cooling off period in a coal strike. Miners had struck 3 months earlier after coal companies demanded wage and benefit cuts and refused to be forced back to work. They ended the strike after 110 days when most company demands were dropped. 1978, Pres. Carter invoked the Taft-Hartley Act for an 80-day cooling off period in a coal strike.…show more content…
Each of the four stages has had a different type of impact on the labor unions; accordingly, in one sentence for each stage describe the particular impact of that stage. The Air Transport sector has gone through four basic stages in the deregulation era: expansion, consolidation, concentration, and globalisation. In the expansion phase several “new entrant” airlines were added to the US system. Since most of the airlines were non-union carriers, they were able to operate at a lower per unit cost that forced the other carriers to reduce their comparative prices so as to match the prices of the non-union carriers. This helped in increasing competition and reduction in costs. During the consolidation phase, airlines moved to improve their balance sheets so as to reduce the threats of their competition, acquisitions, and mergers became the norm. In 1986, 25 airlines were involved in some form of consolidation movement. Union membership either remained constant or decreased depending on the union membership status of the surviving carrier. From the beginning of the consolidation phase in late 1985 until 1990, the number of employees in the Airline industry was increased by almost 43%. This unprecedented concentration has resulted in the increase of non-union employee classification and the ranks of the airline unions holding the contracts with the growing and surviving carriers.
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