Airlines: Reap What You Have Sewn

By
Carol Duff, MSN, BA, RN
-
6
2087

American Airlines Seeks to Toss COVID-19 Class-Action Suit

Health Editor’s Note: American Airlines is facing a class action suit seeking air-fare refunds for trips that were cancelled due to COVID-19 either because where they were going was closed, they were discouraged to continue their trip, or perhaps they thought it would be better for their health to not be crammed into a plane, breathing and rebreathing the same air as everyone else on the plane.  If a potential passenger could not make the flight due to the constraints of COVID-19, and did not board a plane, then they should be given their money back. 

Let’s face it…airlines charge huge fees, then add on other fees for what used to be complimentary drinks and snacks, baggage fees, etc. and have been doing so since the price of gas went up, eons ago.  Fuel prices have gone back down, and currently we are seeing very low prices at the gas pumps, but the airlines has not decreased the price of flying. Gas prices for airplanes must also be down. Right?  Airlines got used to making the passengers/consumers pay so they would not loose money and now consumers think they should still be paying the high prices for an airline ticket, just because the airlines continue to make sure they profit. Bring down ticket prices, to where they should be…Carol  



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6 COMMENTS

  2. American Airlines also received $5.8 billion in payroll support from the U.S. Treasury, back in April. I wonder how much of that money is being used to pay their lawyers in this class-action suit?

  3. The issues with the dysfunctions of the airlines lies squarely on the Reagan administration, before Reagan “deregulated” the airlines the USA had 53 national carriers, who remembers Allegheny Airlines, Eastern Airlines, TWA, PSA, Piedmont Continental, America West, and a multitude of others) who have all be acquired by the current big 5 that have formed an airline cartel via acquisitions by private equity firms and large banking concerns to eliminate competition, just the opposite of what was promised to the American people, the stated purpose of airline regulation was to increase competition, resulting in better service, lower fares the usual free market sales pitch, but as always it is the opposite of what the government states will happen, now there are fewer airlines, less competition, higher prices, and lousy service, but much higher profits for the airline cartel. We have witnessed the same business model with telecom when Reagan deregulated that sector of the economy, we had 156 television and radio networks before deregulation, just like the airlines we now have a telecom cartel and a mere 5 national networks, once again private equity and banks win while the American people suffer and the cartel controls that sector of the economy. It is time to restore a true free market economy, not the cartel (a work around a monopoly), by breaking these cartels into a 1000 pieces, and bring competition back into every economic sector of the US economy.

  4. Forty years ago in 1980 the entrenched-money-power lobbied the government (of Canada) to repeal the federal Small Small Loans Act that limited most department store credit card rates to a maximum 6% per annum. The official reason was that market forces could no longer be constrained. The Act was repealed and every major department store chain in the country immediately increased their rates to a stated (and suspiciously consistent / uniform) 28.8% per annum.

    Forty years later, pensioners and others who rely on their savings are receiving about 2% per annum if they are lucky, while the department store rates remain at a stated 28.8% and have not budged one iota in the same forty years.

    So what happened to the market forces?

    Answer: There are no market forces. The entrenched-money-power simply decided that as a matter of policy all department store account credit card rates would be 28.8% and they changed them all to 28.8% and kept them there for forty years. No different than had they been set by a central politburo. This isn’t rocket science.

    • Agreed, John. I was bitching on the Golf Channel FB page about AIG sponsoring the Ladies British Open this week, and the PGA Championship in San Francisco two weeks ago. AIG got a $182 billion taxpayer bailout in aftermath of the 2008 crash, while over 5 million families lost their homes and got zilch for a bailout. Not surprising, I was told it was 12 years ago, and to get a life.

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