Originally Posted by steinway
With all these cost reductions by NW, I am really wondering what seperates them from a LCC. Excluding the 16 people who may get to sit in first class (if it exists), the only difference I can see is seat reservations. All these changes make US airlines look really pathetic, there is clearly something worng with the business model and management.
I agree management could do better. But I think it has a lot more to do with the Unions pay checks.
I don't know all the facts but I would wager a guess that the LCC pay less per hour per employee for a hourly people. I could be wrong but if NW would be able to cut 20-25% of pay off the top. I think they (NWA Corp, not the employees) would be a lot better off.