Inroads from the Gulf carriers have exacerbated the conflict between Lufthansa and its unions. It looks like things are going to get uglier as neither side seems ready for a compromise.
Allegiant acknowledges that a strike would cost it millions of dollars a day and would leave travelers stuck without options because from many of the smaller cities it flies from Allegiant provides the only scheduled service.
The Air France pilots strike is a clash of trends past and present: the historic power of labor in France and certain other parts of Europe versus an aviation industry that is reinventing itself.
Lufthansa will be forced to find another way to work towards higher profits than a two-year pay freeze and longer hours for employees -- unless it fancies a series of labor outburst and customer cancellations.
Spain, hugely dependent on tourism, will hurt even more with Iberia struggles, as its ailing economy sputters through 2013.
Interruptions to rail and air services have occurred with increasing frequency in Spain over the past year, which actually diminishes the strikes’ goal of protecting Iberia workforce from IAG budget cuts.
The national angst caused by travelers looking for a way out of the Germany for the second day in a row was augmented on Friday when Berlin’s airport became the third to suspend flights following an accident.
Nothing positive ever comes for airline management when crews turn to strikes, but IAG has remained steadfast in its goal of cutting costs leaving little room for compromise.
The gap between what the unions are looking for and AIG is offering is so wide that the likelihood of a compromise before the potential strike date of February 18th seems extremely slim.
The Parador hotels are hit with financial issues because of slacking demand, but a second wave of strikes planned for New Year’s Eve will only hurt the hotels’ reputations.