Back When the CEO Used to Travel With a Spare Plane (Just in Case)

Corporate excess ain’t what it used to be. When General Electric’s incoming CEO John Flannery grounded the company’s fleet of private jets in favor of more cost-effective commercial flights and charter planes in 2017, it was revealed that his predecessor had a habit of traveling to destinations near and far, followed by an empty chase plane to help ensure a seamless travel experience.

The life of a powerful CEO is undoubtedly much different than the the day-to-day experience of those of us on the lower rungs of the ladder. When it comes to air travel, however, it appears that former General Electric CEO Jeff Immelt enjoyed advantages that would make royalty jealous. Despite his company’s mounting financial struggles at the time, Immelt was known to travel with an empty chase plane, purportedly so that the executive would not be inconvenienced in the event of a mechanical delay.

The Wall Street Journal exposed the seemingly wasteful practice as part of a series of reports about cost-cutting measures put in place following GE’s embarrassing removal from the Dow Jones Industrial Average. According to the newspaper, the fully-stocked “back-up” jet plane would depart moments after Immelt’s plane on both domestic and international trips.

Not surprisingly, the unorthodox practice raised eyebrows among investors – especially given GE’s steady fall from grace under Immelt’s watch. The former CEO, however, pleaded ignorance when confronted about enjoying the luxury (normally reserved for select heads of state) of a chase plane to help stave off unforeseen airport delays.

“Given my responsibilities as CEO of a 300,000-employee global company, I just did not have time to personally direct the day-to-day operations of the corporate air team,” Immelt wrote in a fiery response to a New York Times op-ed slamming the former G.E. head. “I had every right to expect that it was professionally run. Other than to say ‘Hello,’ I never spoke to the leader of corporate air in 16 years.”

According to a later CNBC report, the practice of sending the CEO round-trip to his destination accompanied by an empty private jet as a backup was not as common as first believed, but a company spokesperson confirmed that the practice was employed “on limited occasions for business-critical or security purposes.” G.E. had previously indicated that the second empty plane was used “in case there were any mechanical problems with the one Immelt was in.”

No matter the real reasons or true number of occasions the former titan of industry required two jets flying simultaneously to reach his destination, traveling with a spare plane is a wildly expensive luxury – even if shareholders are footing the bill. On the other hand, traveling by private jet is easy to get used to and for the well-heeled executive, the wasted jet fuel might just be a small price to pay in order to guarantee there is no chance of ever having to fly commercial.

[Photo: Shutterstock]