'Open skies' allow airline industry jobs to fly away

San Francisco Chronicle ^ | April 30, 2007 | Edward Wytkind

[hedgetrimmer]

Today, the United States is expected to formally approve a new "open skies" aviation trade deal with the European Union (EU). The Bush administration has failed to satisfy congressional critics who question the pact's impact on long-standing law and policy limiting foreign control of our airlines. And aviation workers are deeply concerned that this agreement is a down payment on a broader Bush administration strategy to allow foreign control of our airlines and decision making that threatens thousands of American jobs.

This is not hyperbole. Led by Transportation Committee Chairman Rep. James Oberstar, key House members in both parties wrote in March that the agreement's impact is "ambiguous" and "may lead to a change in U.S. law and policy to permit greater foreign control of U.S. airlines." They also warned that legislation may be necessary to ensure continuation of existing policies.

The agreement would allow foreign carriers to enter into franchise arrangements with U.S. airlines. By allowing control over "operational matters" of the U.S. franchisee, it could mean foreign control over fleet acquisitions, route planning, schedules and pricing. Our laws bar foreign interests from controlling these decisions. What if a foreign carrier directs franchisee operations in a way to maximize its own economic objectives? For example, a European airline could have its U.S. partner feed traffic to its international flights, rather than competing more broadly in the U.S. market or developing international services itself. If a foreign airline has control over maintenance decisions, could even more work be shipped overseas to repair stations that may not meet the highest safety and security standards? Could aircraft purchasing decisions favor Boeing's rival, Airbus? Good questions, but to date, no real answers.

[hedgetrimmer]

For discussion

[JohnnyZ]

The agreement would allow foreign carriers to enter into franchise arrangements with U.S. airlines.

Does this mean JapanAir can finally take over some US airlines and make them not royally suck?

[Rodney King]

What if a foreign carrier directs franchisee operations in a way to maximize its own economic objectives?

What if a domestic carrier does?

[sionnsar]

A lot of bias in this article.

To see the ill effects of bad trade policy, look no further than our manufacturing industries where failure by our government to take action against illegal trade practices has killed off U.S. companies, ruined local economies and destroyed jobs. For example, from 1997 to 2004, at least 45 steel companies filed for bankruptcy

And yet I have been reading for many, many years how the US steel companies have not been competitive, preferring to rely on protectionism instead.

[sionnsar]

Does this mean JapanAir can finally take over some US airlines and make them not royally suck?

That would sure be nice!

[1rudeboy]

For example, a European airline could have its U.S. partner feed traffic to its international flights, rather than competing more broadly in the U.S. market or developing international services itself.

Sacre bleu!

[hedgetrimmer]

And yet I have been reading for many, many years how the US steel companies have not been competitive, preferring to rely on protectionism instead.

Not competitive with the ruthless practices of the chinese communists? I'd say that was a GOOD thing and something to be promoted in this country.

Thirty-Two Workers Die in Chinese Molten Steel Spill
An industrial ladle holding 30 metric tons of molten steel sheared off an iron rail while moving into the pouring position at the plant. The over 2,700 degree Fahrenheit molten steel immediately flowed into a room less than 5 meters away. All 32 workers inside the room, who were waiting to change shifts, were burned to death.

[Clock King]

Does this mean JapanAir can finally take over some US airlines and make them not royally suck?

Maybe we'll finally get back to flight attendents that are attractive and young females.

[1rudeboy]

That would be a bonus. American flight attendents are some of the ugliest on the planet.

[sionnsar]

What I read was many years ago, the complaint was that the mills here were not being modernized whereas the Japanese had far outstripped them.

One can always find poor practices elsewhere in the world, but that's insufficient without a clear indication that it is exectly those industries that are undermining US production. I haven't seen that connection with steel yet, but I will grant you that for the Christmas-tree light industry.

[hedgetrimmer]

You really do dislike America. I’ve never seen you post anything nice about Americans.

[hedgetrimmer]

If the government is actively working to give the competitive advantage to foreign producers, you’re pretty much sunk. That is the problem with “free trade”. It is giving the first world economy over to China India and Mexico, because the “free traitors” are slavering over the captive markets of billions of people in those countries.

There is nothing free about “free trade”. It was denounced by our Founders, and it is enormously harmful to the independence they fought and died for.

[1rudeboy]

Not Americans. Just you.

[Incorrigible]

a.pole and Willie Green memorial ping.

[hedgetrimmer]

Really?

American flight attendents are some of the ugliest on the planet.
--1rudeboy

[1rudeboy]

You really do dislike America. I’ve never seen you post anything nice about Americans.

Why Free Trade Works for America.

woot

[Lolipop Jones]

My guess is that Aeroflot circa 1970 treated its passengers no worse than United and Northwest 2007.

[Just another Joe]

Does this mean JapanAir can finally take over some US airlines and make them not royally suck?

We can only hope.

[cookcounty]

Who would have guessed, 30 years ago, that the only good jobs in the airline industy would be with that silly little purple-colored small-package airline, Federal Express?

[cookcounty]

"An industrial ladle holding 30 metric tons of molten steel sheared off an iron rail while moving into the pouring position at the plant. The over 2,700 degree Fahrenheit molten steel immediately flowed into a room less than 5 meters away.

Are you sure? Rosie says steel can't melt.