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Airline CEO Admits Ticket Scam Permitted By Buttigieg
Lever news ^ | Jan 20, 2023 | Rebecca Burns

Posted on 01/23/2023 5:28:22 AM PST by george76

United Airlines’ CEO said airlines are selling seats for flights they can’t staff — but Buttigieg hasn’t acted on state officials’ demand that he crack down.

The recent holiday travel meltdown wasn’t a fluke or a one-off — cancellations will continue because airlines routinely sell tickets for flights they know they may not be able to staff and operate, the chief executive of United Airlines told investors yesterday. The stunning admission from the highest reaches of the airline industry confirms a warning sent by state attorneys general to Transportation Secretary Pete Buttigieg prior to the December travel meltdown.

However, Buttigieg — the nation’s top regulator of the airline industry — has not used his power to crack down on the problem, as those state officials have demanded.

In unusually candid comments to company investors, United CEO Scott Kirby said ongoing cancellations among competitors are happening because the airlines are advertising schedules they can’t actually fly.

“There are a number of airlines who cannot fly their schedules,” he said. “The customers are paying the price. They’re canceling a lot of flights. But they simply can’t fly the schedules today.”

Referencing the December travel meltdown, he added: “What happened last year, is what I think is going to happen next year,” adding that his own company's service was far more reliable, thanks to investments in staffing and technology.

Complaints against the major U.S. airlines, including United, more than tripled in the first year of the COVID-19 pandemic, as companies routinely sold tickets for flights they could not adequately staff, canceled the flights at the last minute, and slow-walked or withheld refunds while collecting billions in taxpayer bailout dollars.

The behavior prompted 34 attorneys general to write to Buttigieg on December 16th asking his agency to “require airlines to advertise and sell only flights that they have adequate personnel to fly and support, and perform regular audits of airlines to ensure compliance and impose fines on airlines that do not comply.”

The letter, submitted as part of the rulemaking process for a still-delayed consumer protection proposal at Buttigieg’s agency, also noted that the proposed rule “includes no provision that would correct this practice and that would prevent airlines from advertising and selling tickets for flights that they cannot reasonably provide.”

Despite the demands and subsequent holiday travel debacle, Buttigieg’s agency has been delaying the rulemaking process amidst industry pushback. The airlines’ top Washington lobbying group is currently seeking a public hearing that would further postpone a final rule.

The Transportation Department did not respond to a request for comment about the rule and the letter demanding Buttigieg act. An agency spokesperson told the New York Times that the department is investigating three unnamed U.S. airlines over whether the companies have been scheduling flights they cannot staff.

The American Economic Liberties Project (AELP), an anti-monopoly think tank that advocates empowering citizens and state law enforcement to sue airlines directly, has called on the Transportation Department to investigate whether airlines are collecting money for a service they know they can’t provide — a scenario that Kirby’s comments appear to corroborate.

“Ironically, we're learning more about canceled flights from the airlines than we are from the Department of Transportation," said William McGee, AELP’s senior fellow for aviation. He noted, however, that the department’s “complaint database showed that United was by far the worst offender on unpaid refunds dating back to the earliest days of COVID in 2020.”


TOPICS: Business/Economy; Crime/Corruption; Government; News/Current Events; Politics/Elections
KEYWORDS: airlines; buttigieg; buttigig; flights; transportation
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1 posted on 01/23/2023 5:28:22 AM PST by george76
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To: george76

Secretary Buttplug is incompetent


2 posted on 01/23/2023 5:30:20 AM PST by TexasFreeper2009
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To: george76
However, Buttigieg — the nation’s top regulator of the airline industry — has not used his power to crack down on the problem, as those state officials have demanded.

Could be that the airlines are sending male flight attendants to pay him off with, well, a butt gig? Ya think?

3 posted on 01/23/2023 5:35:53 AM PST by Vigilanteman (The politicized state destroys aspects of civil society, human kindness and private charity.)
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To: george76
Sounds ripe for a RICO lawsuit for fraud and racketeering.

It also sounds par for the course for American businesses.

4 posted on 01/23/2023 5:37:44 AM PST by pierrem15 ("Massacrez-les, car le seigneur connait les siens" )
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To: george76

Butt Plug


5 posted on 01/23/2023 5:40:36 AM PST by keving (We the government )
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To: george76

The Secretary of Transportation is so incompetent that regular Americans actually know the name of the Secretary of Transportation!

That’s quite an accomplishment.


6 posted on 01/23/2023 5:41:34 AM PST by FreedomPoster (Islam delenda est)
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To: george76

Oh come on, he is busy breastfeeding and raising kids. He hasn’t the time for nonsense like this.

The whole Biden admin is far left ideologues who are not competent to run anything. They were never chosen and placed to be competent.

This regime likes it the more things are screwed up. They just use the media to place the blame on people other than them. I would bet they actually pay others to take the blame for them at times.


7 posted on 01/23/2023 5:43:38 AM PST by dforest (Joy Behar is a big mouth cow.)
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To: george76

The airlines must be paying off the government in order for this to continue there’s no other explanation. This administration seems to thrive on scams and payoffs. Anything to defraud the American people.


8 posted on 01/23/2023 5:44:03 AM PST by ProudDeplorable (Concentrated power has always been the enemy of liberty. ~ Ronald Reagan)
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To: TexasFreeper2009

Apparently the airlines are incompetent too, if they need to have the government make rules on scheduling and staffing.


9 posted on 01/23/2023 5:46:01 AM PST by Rusty0604 (" When you can't make them see the light, make them feel the heat." -Ronald Reagan)
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To: Rusty0604

true, I just enjoy the opportunity to stick it to Secretary Buttplug whenever I get the chance!

lol


10 posted on 01/23/2023 5:47:47 AM PST by TexasFreeper2009
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To: ProudDeplorable

How is this not just straight fraud?

Seems like maybe consumer protection/ commerce should be involved.


11 posted on 01/23/2023 5:48:30 AM PST by uranium penguin
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To: george76
I have little sympathy for air travelers these days. Airlines routinely screw their customers this way, and yet people keep lining up for more — even for totally discretionary travel.

This industry-wide disaster you see today is what happens when you’re catering to a customer base that would have been riding Greyhound buses, hitchhiking, or hopping rides on freight trains forty years ago.

12 posted on 01/23/2023 5:52:26 AM PST by Alberta's Child ("It's midnight in Manhattan. This is no time to get cute; it's a mad dog's promenade.")
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To: george76; All
Airlines have been overselling seats for decades, for good reason.

Lots of people book seats then do not show up.

The airlines have it down to a science, based on statistics.

When you have a horrible computer glitch, it throws everything.

The author of the article does not understand reality very well.

13 posted on 01/23/2023 5:59:24 AM PST by marktwain
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To: george76

I would say he pulled that one out of his @$$. But there probably is no room left.


14 posted on 01/23/2023 6:01:22 AM PST by Vaquero (Don't pick a fight with an old guy. If he is too old to fight, he'll just kill you. )
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To: pierrem15
Sounds ripe for a RICO lawsuit for fraud and racketeering.

Can you file a RICO lawsuit against the US Government? I did not think that was possible.

15 posted on 01/23/2023 6:04:05 AM PST by Lockbox (politicians, they all seemed like game show hosts to me.... Sting)
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To: uranium penguin

Perhaps some day, an airline will provide good service and make flying a pleasant experience. Wide seats, food, roomy overhead bins, friendly flight attendants, orderly boarding and disembarking. They could charge more. Some passengers would be willing to pay more. I know I would.


16 posted on 01/23/2023 6:05:51 AM PST by Tymesup
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To: TexasFreeper2009

Pete is queer. That’s his only qualification for office


17 posted on 01/23/2023 6:06:15 AM PST by bert ( (KWE. NP. N.C. +12) Juneteenth is inequality daythis piece is )
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To: george76

So the airlines are complaining they are not being regulated enough. They are not being told to not sell tickets on flights they can’t possibly send. A good business would handle that themselves.


18 posted on 01/23/2023 6:09:02 AM PST by pas
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To: TexasFreeper2009

Ha!


19 posted on 01/23/2023 6:09:06 AM PST by Rusty0604 (" When you can't make them see the light, make them feel the heat." -Ronald Reagan)
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To: george76

“...has not used his power to crack down on the problem...”

That would be federal overreach, an overreach that has not been exercised in the past.


20 posted on 01/23/2023 6:14:21 AM PST by Round Earther
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