The Teamsters union says Frontier Airlines is planning to shift its heavy maintenance offshore, a move the union "steadfastly" opposes. Union officials did not name the country where the work would take place, although the airline said last week it would send one plane to El Salvador for maintenance. Frontier had no comment on the report. The Teamsters have been negotiating with the bankrupt airline since Sept. 4 to hammer out a new contract after agreeing to temporary wage concessions last May.
Delta Air Lines Chief Financial Officer Ed Bastian recently met with Northwest Airlines pilots to discuss the carriers' plan to merge. Airline executives say they would like to see pilot unions from the two carriers form an agreement because it would help the combined airline save money faster.
Airlines will pay more to land and lease space at Phoenix Sky Harbor International Airport. The higher fees, aimed at paying for airport operations, arrive as carriers face soaring fuel prices and weakness in the economy.
Travelers should expect to see higher fares as airlines ground planes, The Wall Street Journal's Scott McCartney writes. However, he notes that fare increases put in place earlier this year don't come close to covering the soaring price of fuel for U.S. carriers. The average price people paid to fly one mile domestically in April rose just 4.3% over last year, according to the Air Transport Association. Meanwhile, fuel prices are up 66%.