Buttigieg Calls Meeting With Airline CEOs Over Delays

With airlines continuing to face major operational issues, they’re being called to the principal’s office today… or something like that.

Transportation Secretary meeting with airline CEOs

It’s being reported that US Transportation Secretary Pete Buttigieg is meeting virtually today with CEOs from major US airlines, to discuss the busy summer travel season and flight disruptions. Sources suggest that the meeting is intended to discuss “plans to ensure safe and reliable service this summer,” in particular over the July 4th holiday.

Obviously we’ve seen a huge number of flight disruptions in recent months as travel demand has surge, and that’s only likely to get worse, as leisure travel demand is reaching new levels this summer.

This meeting comes after Senators Richard Blumenthal and Edward Markey raised concerns about how unreliably airlines are operating. Meanwhile airlines have been trying to shift some blame to the Federal Aviation Administration, arguing that the nation’s air traffic control system needs to be prepared for an increase in demand, given that there have been issues there as well.

Airlines are seeing a surge in demand this summer

Prediction: nothing will change

Of course everyone is frustrated by how unreliably airlines are operating, but realistically I’m not sure a meeting between senior government officials and the airlines will solve much:

  • It’s not that airlines don’t know they have operational problems, but rather they’re prioritizing profitability above operational reliability
  • Airline executives are much more incentivized to maximize revenue rather than anything else, because at the end of the day that’s what they’re rewarded based on
  • Realistically speaking, the government doesn’t actually have much leverage here, aside from just generally attempting to appear to stand up for consumers
  • Fault for operational issues isn’t even entirely with airlines here, as there are also major staffing (and other) issues at every level of the aviation supply chain, ranging from Boeing not being able to deliver aircraft on time, to a shortage of airport contractors
  • This isn’t just a US-centric problem, because just look at the current state of air travel in Europe, which isn’t exactly great either

Let me also say that while the lack of operational reliability in the airline industry is frustrating, I feel like people also kind of have unrealistic expectations. It’s not like reliability issues are limited to the airline industry. Getting anything on-time nowadays, from food delivery to a new car, is no small feat.

If you’re traveling this summer and want to be realistic, expecting that you’re going to be delayed by a day and that your bag is going to be lost. The truth is that this just the reality of travel at the moment, and I say that from experience. I passed through Frankfurt Airport today, and I’ve never seen it that busy before in my entire life.

Oh, and both of our bags were lost. Yet I’m not really upset about it, because I was kind of expecting that. Summer holidays haven’t even started in Germany, so it’s only going to get worse from here. None of that is to excuse what’s going on, but rather to simply point out that this is the reality of travel right now.

Expect operational issues if you travel this summer

Bottom line

US Transportation Secretary Buttigieg is discussing airline operational reliability with industry CEOs today, so that these issues can be avoided ahead of the peak summer travel period.

While I can appreciate the intent behind this, I also can’t emphasize enough that air travel is going to be an operational disaster this summer, no matter what conversations take place. Sure, this is largely because airlines aren’t willing to sacrifice profits for operational reliability, but it also comes down to so many other factors that are contributing to reliable services throughout the economy.

What’s your take on this situation?

Conversations (28)
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Tim Dunn Diamond

anyone that wants to assign blame needs to bookmark two pages nasstatus dot faa dot gov and flightaware dot com backslash live backslash cancelled backslash today The simple reality is that airlines are flying far less capacity than they did pre-covid and yet ATC delays - which are handed out by the FAA - are skyrocketing. Just like everything this government gets its hand into, the outcome is higher prices for consumers as airlines continue to have to cut capacity - initially due to their own staffing but ultimately will be due to the inability of the FAA to handle delays. With a government that is at war with fossil fuels, air travel will become more and more expensive and the reliability of airlines will continue to suffer as the FAA fails to do its part to staff the ATC system.

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XPL Diamond

I don't understand why one would look to the government to fix this. Not only do I not see the appropriate tools in the government's toolbox, but on-time records are public knowledge. If I were traveling this summer I would base my plans not around which airline is cheapest but rather which has the best operational record. When you buy a ticket, you are indicating what your priorities are. Some people prioritize cost. Others prioritize comfort and soft product. Still others like myself prioritize reliability, because i want to get to my destination without drama and get on with my work or vacation.

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Hoosier in Paradise Member

Relative to the FAA / Air Traffic Control piece of this, $1B of the allotted $5B in infrastructure spending for those shortcomings had started to be scheduled as of April. Thank you, Ben, for the usual thoughtful analysis.

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Jan Guest

Great to see everyone here is optimistic about the outcome of this chat :D

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Creditcrunch Diamond

Something on the same lines has been issued as a warning to U.K. airlines, they’ve been told to cancel summer flights now! Specifically the flights they know they won’t be able to operate over the summer period.

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