United Charging for Curbside Check-in at ORD
Jul 29, 2005 | 7:10 am
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United Charging for Curbside Check-in at ORD
In today's Chicago Tribune. This nickel-and-diming is getting ridiculous.
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United tags curbside check-in with fee
By Mark Skertic and Erika Slife
Tribune staff reporters
Published July 29, 2005
United Airlines, in its constant, desperate search for ways to save money, will end a venerable service: the free skycap.
Starting next month at curbside at O'Hare International Airport, passengers turning over their baggage to a porter for check-in will be charged $2 a bag. Until now, it has been a free service, though tipping is customary.
Skycaps have always stood out at airports because of their hustle. Some now wonder if they will be able to maintain their culture of charm and good customer service under the new system, in which an increased hourly wage may not be enough to compensate them for the presumed decrease in tips.
"The fire in the job is not there anymore," is how one skycap put it.
On Thursday morning, as the curbside pace quickened, travelers piled out of cabs and parents herded kids away from the street, porters patiently and efficiently managed the ever-growing mountain of luggage set before them.
The skycaps act as check-in agents, distributing boarding passes and baggage receipts and thus allowing passengers to bypass long lines inside the airport and head directly toward their gates.
"Thank you, thank you, thank you," exclaimed one woman who was running late for her plane.
"I'm right here," the skycap chuckled and tagged her bag before sending her in the right direction. The woman gave him a tip and dashed inside.
Good tip? he was asked.
With a shrug and a smile, he answered, "It's average."
United is expected to make the change Aug. 16 because it will save the beleaguered company millions of dollars.
The porter service is operated by a contractor, which bills the airline monthly. The vendor will now collect directly from customers and pay a small percentage to United for the lease of equipment.
United and other airlines have begun charging for skycap service in other cities, including Seattle and Boston. In April, United quietly started charging for the service in Chicago when it began the practice at Midway. United offers only a few flights daily from Midway, and Southwest Airlines, that airport's dominant carrier, said it has no plans to begin charging for the service.
United will be the only airline at O'Hare charging, but others could follow. It has happened in several other markets, including Tampa and San Francisco. United already charges at eight airports.
Passing along the cost to customers ensures that only people who use skycaps pay for the service, said United spokeswoman Robin Urbanski. "It's a way to lower our costs while generating a small amount of revenue that we'll re-invest into equipment for the skycap service."
It's also a move that will likely irritate some customers.
O'Hare traveler Cathy Bill, 39, said she would stop using the service once she was charged for it.
"I think I pay enough for the ticket," the Connecticut resident said after leaving her luggage with a skycap Thursday. "I would definitely be opposed to it."
Free skycap service has been a fixture at busy airports for generations. The name has its roots in the days when most long-distance travel was by train. Railroad baggage handlers were sometimes known as "redcaps," a reference to their uniform hats. As travel migrated to airlines, baggage handlers adopted a name that reflected their industry.
Skycaps at O'Hare are now paid $3.90 an hour, but most make several times that amount in tips, said Al Johnson, president of Atlanta-based Premium Management Service. His company contracts with Elk Grove Township-based United to provide skycap service at O'Hare and several other airports.
Johnson declined to specify how much of a raise skycaps will receive until he tells the employees.
When the skycap charge was introduced in Tampa, skycaps went from $2.13 an hour to $5.15, and that amount has since risen to $7.15.
In San Francisco, where workers were already making $10.92 an hour, they did not receive a raise, he said.
"We still want the men to receive gratuities," Johnson said.
Training will take place to emphasize improving customer service because that can increase tips, he said.
But skycaps worry that a raise won't cover what they'll likely lose in tips.
Most gratuities range from $1 to $3 a bag. That's likely to decrease if the upfront charge is $2 for each piece of luggage, workers fear.
"For the $2, I'd go inside," said Chicagoan Peter Basile, 35, who was using the service to check a bag on his way to Virginia. Basile said he usually tips about $5 in total each check-in. "That would make it $7, and $5 is my limit," he said.
Workers fear many travelers will have the same attitude and it will reflect on their generosity.
"They don't understand that this is how we make our living," one skycap said as he paused while lugging bags. "There's a lot of people out here that have been out here for 20 to 25 years and this is their living. It's like you're taking the money out of their pockets."
He and other workers asked that their names not be used, for fear of retaliation for speaking with a reporter.
United said that after the charge was introduced in San Francisco earlier this year, use of skycaps actually increased.
It's become more a "valet" approach there, with skycaps getting the luggage out of cars, opening doors for customers and providing more personal service, Urbanski said.
There are about 50 skycaps at the O'Hare United terminal. They said they are a diverse group, mostly men in a group that includes African-Americans, Moroccans and Poles. Workers don't expect skycap use to increase, and some said morale has dropped.
"In this case, they're being charged before we even say hello," said one. "They have 10 bags, it's $20 even before we say, `How are you doing?' To me it's a ripoff."
But some customers said they believe the service is worth the charge.
"No way we're carrying these through the airport," said New Jersey resident Richard Spieler, 52, who was wrestling with six bags. "Next time I see these, hopefully I'll be in Philadelphia."
Spieler, who tips $5 per person he's traveling with, said he would continue to tip the workers on top of the extra charge.
"They're not getting the money. The company's getting the money," he said. "You got to take care of the workers in America. They're not getting enough."
-------------------------------------------------------------------
United tags curbside check-in with fee
By Mark Skertic and Erika Slife
Tribune staff reporters
Published July 29, 2005
United Airlines, in its constant, desperate search for ways to save money, will end a venerable service: the free skycap.
Starting next month at curbside at O'Hare International Airport, passengers turning over their baggage to a porter for check-in will be charged $2 a bag. Until now, it has been a free service, though tipping is customary.
Skycaps have always stood out at airports because of their hustle. Some now wonder if they will be able to maintain their culture of charm and good customer service under the new system, in which an increased hourly wage may not be enough to compensate them for the presumed decrease in tips.
"The fire in the job is not there anymore," is how one skycap put it.
On Thursday morning, as the curbside pace quickened, travelers piled out of cabs and parents herded kids away from the street, porters patiently and efficiently managed the ever-growing mountain of luggage set before them.
The skycaps act as check-in agents, distributing boarding passes and baggage receipts and thus allowing passengers to bypass long lines inside the airport and head directly toward their gates.
"Thank you, thank you, thank you," exclaimed one woman who was running late for her plane.
"I'm right here," the skycap chuckled and tagged her bag before sending her in the right direction. The woman gave him a tip and dashed inside.
Good tip? he was asked.
With a shrug and a smile, he answered, "It's average."
United is expected to make the change Aug. 16 because it will save the beleaguered company millions of dollars.
The porter service is operated by a contractor, which bills the airline monthly. The vendor will now collect directly from customers and pay a small percentage to United for the lease of equipment.
United and other airlines have begun charging for skycap service in other cities, including Seattle and Boston. In April, United quietly started charging for the service in Chicago when it began the practice at Midway. United offers only a few flights daily from Midway, and Southwest Airlines, that airport's dominant carrier, said it has no plans to begin charging for the service.
United will be the only airline at O'Hare charging, but others could follow. It has happened in several other markets, including Tampa and San Francisco. United already charges at eight airports.
Passing along the cost to customers ensures that only people who use skycaps pay for the service, said United spokeswoman Robin Urbanski. "It's a way to lower our costs while generating a small amount of revenue that we'll re-invest into equipment for the skycap service."
It's also a move that will likely irritate some customers.
O'Hare traveler Cathy Bill, 39, said she would stop using the service once she was charged for it.
"I think I pay enough for the ticket," the Connecticut resident said after leaving her luggage with a skycap Thursday. "I would definitely be opposed to it."
Free skycap service has been a fixture at busy airports for generations. The name has its roots in the days when most long-distance travel was by train. Railroad baggage handlers were sometimes known as "redcaps," a reference to their uniform hats. As travel migrated to airlines, baggage handlers adopted a name that reflected their industry.
Skycaps at O'Hare are now paid $3.90 an hour, but most make several times that amount in tips, said Al Johnson, president of Atlanta-based Premium Management Service. His company contracts with Elk Grove Township-based United to provide skycap service at O'Hare and several other airports.
Johnson declined to specify how much of a raise skycaps will receive until he tells the employees.
When the skycap charge was introduced in Tampa, skycaps went from $2.13 an hour to $5.15, and that amount has since risen to $7.15.
In San Francisco, where workers were already making $10.92 an hour, they did not receive a raise, he said.
"We still want the men to receive gratuities," Johnson said.
Training will take place to emphasize improving customer service because that can increase tips, he said.
But skycaps worry that a raise won't cover what they'll likely lose in tips.
Most gratuities range from $1 to $3 a bag. That's likely to decrease if the upfront charge is $2 for each piece of luggage, workers fear.
"For the $2, I'd go inside," said Chicagoan Peter Basile, 35, who was using the service to check a bag on his way to Virginia. Basile said he usually tips about $5 in total each check-in. "That would make it $7, and $5 is my limit," he said.
Workers fear many travelers will have the same attitude and it will reflect on their generosity.
"They don't understand that this is how we make our living," one skycap said as he paused while lugging bags. "There's a lot of people out here that have been out here for 20 to 25 years and this is their living. It's like you're taking the money out of their pockets."
He and other workers asked that their names not be used, for fear of retaliation for speaking with a reporter.
United said that after the charge was introduced in San Francisco earlier this year, use of skycaps actually increased.
It's become more a "valet" approach there, with skycaps getting the luggage out of cars, opening doors for customers and providing more personal service, Urbanski said.
There are about 50 skycaps at the O'Hare United terminal. They said they are a diverse group, mostly men in a group that includes African-Americans, Moroccans and Poles. Workers don't expect skycap use to increase, and some said morale has dropped.
"In this case, they're being charged before we even say hello," said one. "They have 10 bags, it's $20 even before we say, `How are you doing?' To me it's a ripoff."
But some customers said they believe the service is worth the charge.
"No way we're carrying these through the airport," said New Jersey resident Richard Spieler, 52, who was wrestling with six bags. "Next time I see these, hopefully I'll be in Philadelphia."
Spieler, who tips $5 per person he's traveling with, said he would continue to tip the workers on top of the extra charge.
"They're not getting the money. The company's getting the money," he said. "You got to take care of the workers in America. They're not getting enough."
Jul 29, 2005 | 7:24 am
#2
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Let's debate this. I can see the "nickel-and-diming" aspect of this, but as the article states, the SkyCap function is great to many who don't want to wait in line, or are late for a flight. In that regard, I don't see a huge drop in demand from people now having to pay $2 + tip for the service as it is still better than standing in line or worse yet - missing a flight. I also am not sure that people will stop tipping Skycaps (such that they lose their cash income) because of this fee. Maybe it's just me, but Americans seem to be very generous in general about tipping. Even if it means $2 less for themselves.
So, from a business perspective, it seems to make financial sense since this is a revenue-generating initiative. Now, of course, there's the customer perception that might affect things overall, but I'm not sure this kind of action alone is enough to turn travellers away from choosing to travel on United.
Lastly, the competitive factor. Last I hear, NW and AA were both testing the same $2 fee at SEA, along with UA. If UA is implementing this with little cost and likely incremental revenue, I would be very surprised to see AA and NW sit by the wayside and not implement this in one form or another. At that point, you've got three of the largest carriers in the country implementing the same thing, and setting a standard that evens the playing field.
Forgive me for being honest, but from a business perspective, I think the airlines started out way back giving too much out for free. When you go to a restaurant and want someone to park your car, you pay a fee on top of a tip. It's a special service and people have gotten accustomed to paying for that service.
This is a recurring theme with things from free headsets to meals to SkyCap service - it's always more difficult to start charging for a service that used to be free, than to have set the expectation early on that extra service = not free. To me, these latest actions are less "nickel-and diming" than it is coming to terms with the fact that things were way too "free" in the past. Of course, for reasons mentioned above, taking away a free benefit is harder on customer perception than never having made it free in the first place.
So, from a business perspective, it seems to make financial sense since this is a revenue-generating initiative. Now, of course, there's the customer perception that might affect things overall, but I'm not sure this kind of action alone is enough to turn travellers away from choosing to travel on United.
Lastly, the competitive factor. Last I hear, NW and AA were both testing the same $2 fee at SEA, along with UA. If UA is implementing this with little cost and likely incremental revenue, I would be very surprised to see AA and NW sit by the wayside and not implement this in one form or another. At that point, you've got three of the largest carriers in the country implementing the same thing, and setting a standard that evens the playing field.
Forgive me for being honest, but from a business perspective, I think the airlines started out way back giving too much out for free. When you go to a restaurant and want someone to park your car, you pay a fee on top of a tip. It's a special service and people have gotten accustomed to paying for that service.
This is a recurring theme with things from free headsets to meals to SkyCap service - it's always more difficult to start charging for a service that used to be free, than to have set the expectation early on that extra service = not free. To me, these latest actions are less "nickel-and diming" than it is coming to terms with the fact that things were way too "free" in the past. Of course, for reasons mentioned above, taking away a free benefit is harder on customer perception than never having made it free in the first place.
Last edited by UnitedSkies; Jul 29, 2005 at 7:28 am
Jul 29, 2005 | 7:58 am
#3
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Is this benefiting UA in any way ? I doubt it.
Jul 29, 2005 | 8:09 am
#4
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If anything, it seems likely that this move will cause more people to move their baggage-checking into the terminal and away from the skycaps. In turn, United has to pay the CSRs more than minimum wage--as they are direct employees of United (for now) with a union and benefits, etc. And United has increased the annoyance factor for all travelers.
Jul 29, 2005 | 8:27 am
#5
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I think its fair to charge for this service. you pretty much wont find anywhere else in the world, just in the US, so it is an extra service.
To be honest, I have never used the service and it wont affect the tier members of MP except if you are bringing a bunch of luggage, which is close to never.
If I ever should use the service, it would be on my vacation. I will gladly give up a couple of bucks. When you fly to MCO,FLL and MIA for 120 bucks round trip, its more than fair to pay for this!
So I give UA my ^ on this!
To be honest, I have never used the service and it wont affect the tier members of MP except if you are bringing a bunch of luggage, which is close to never.
If I ever should use the service, it would be on my vacation. I will gladly give up a couple of bucks. When you fly to MCO,FLL and MIA for 120 bucks round trip, its more than fair to pay for this!
So I give UA my ^ on this!
Jul 29, 2005 | 8:31 am
#6
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As United Skies says, paying $2/bag + tip may be better than waiting in lines [which will now undoubtedly grow]. In the same vein, I suppose spending $5 or $10 for food bought on board is better than starving on a coach transcon if you've made no other arrangements. But, once again, UA has to decide if it's going to distinguish itself from other carriers and be a "full service" airline or not. It has every right to adjust its fares accordingly. But so long as UA refuses to do so and instead plays copy the lowest, I fear we'll continue to see this continued degradation of service. BTW, in some markets, we are already seeing a hefty premium for flying UA such as $490 RT for walk-up SFO->LAX. Can't UA offer complimentary skycap services for those $0.727/mile fares?????
Last edited by Ocn Vw 1K; Jul 29, 2005 at 8:35 am
Jul 29, 2005 | 8:34 am
#7
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The Tribune seems to have a history of one-sidedness against UA. This negative article is no surprise. They must be upset about all the good press coming out about UA recently... 
$2 per bag? Good idea! ^
$2 per bag? Good idea! ^
Jul 29, 2005 | 8:35 am
#8
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Originally Posted by Ocn Vw 1K
As United Skies says, paying $2/bag + tip may be better than waiting in lines [which will now undoubtedly grow]. In the same vein, I suppose spending $5 or $10 for food bought on board is better than starving on a coach transcon if you've made no other arrangements. But, once again, UA has to decide if it's going to distinguish itself from other carriers and be a "full service" airline or not. It has every right to adjust its fares accordingly. But so long as UA refuses to do so and instead plays copy the lowest, I fear we'll continue to see this continued degradation of service.
Jul 29, 2005 | 8:46 am
#9
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Originally Posted by BenjaminNYC
The Tribune seems to have a history of one-sidedness against UA. This negative article is no surprise. They must be upset about all the good press coming out about UA recently...
$2 per bag? Good idea! ^
$2 per bag? Good idea! ^
Jul 29, 2005 | 8:55 am
#10
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Originally Posted by BenjaminNYC
The Tribune seems to have a history of one-sidedness against UA. This negative article is no surprise. They must be upset about all the good press coming out about UA recently...
Its one of those management ideas that look great on paper but executing will be a farce. I suspect UA will not see a lot most of this money roll into its coffers. How many minis are lost a year. Hummm.... A two dollar cash transaction. What if a business traveler needs a reciept? What about credit card acceptance? Premium cabins exempt?
Jul 29, 2005 | 9:03 am
#11
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Originally Posted by DataPlumber
You're joking right? Perception is everything, I suppose.
Its one of those management ideas that look great on paper but executing will be a farce. I suspect UA will not see a lot most of this money roll into its coffers. How many minis are lost a year. Hummm.... A two dollar cash transaction. What if a business traveler needs a reciept? What about credit card acceptance? Premium cabins exempt?
Its one of those management ideas that look great on paper but executing will be a farce. I suspect UA will not see a lot most of this money roll into its coffers. How many minis are lost a year. Hummm.... A two dollar cash transaction. What if a business traveler needs a reciept? What about credit card acceptance? Premium cabins exempt?
Jul 29, 2005 | 9:03 am
#12
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I only check bags when I have my golf clubs - then I usually also check my suitcase as well. I tip $10 now, so it's not going to really change my habits. Unfortunately, the skycaps will lose out on the deal.
Jul 29, 2005 | 9:03 am
#13
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Originally Posted by DataPlumber
You're joking right? Perception is everything, I suppose.
Jul 29, 2005 | 9:09 am
#14
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I think the Trib is pissed that the WSJ got the early scoop on the launch of BusinessOne.
Jul 29, 2005 | 12:44 pm
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UA has been charging $2/bag at LAX for a while now and it does seem that the lines are longer inside. Of course that could be due to the closing of the T6 ticketing area. I have to believe this is costing the skycaps lots of tip money. Here's my idea for the morning:
Instead of $2/bag, how about capping the fee at $5, regardless of the number of bags. That way, UA still gets revenue, but vacationers (the prime users of skycaps) still would be comfortable adding a tip if the skycap is checking a bunch of bags, which really doesn't take that much extra time (does it?).
I think that would maximize the efficiency of the skycap operation; keep thee lines inside to a minimum and wouldn't "scare off" family vacationers with 5-10 bags from using the skycaps. By the way, I used to tip $2-3/bag; more if they were huge, or if time was short (not that I ever cut it that close!). I'm still tipping the $2/bag on top of the $2 UA fee. Those skycaps make the airport hassle a lot easier when you have to check some bags.
Instead of $2/bag, how about capping the fee at $5, regardless of the number of bags. That way, UA still gets revenue, but vacationers (the prime users of skycaps) still would be comfortable adding a tip if the skycap is checking a bunch of bags, which really doesn't take that much extra time (does it?).
I think that would maximize the efficiency of the skycap operation; keep thee lines inside to a minimum and wouldn't "scare off" family vacationers with 5-10 bags from using the skycaps. By the way, I used to tip $2-3/bag; more if they were huge, or if time was short (not that I ever cut it that close!). I'm still tipping the $2/bag on top of the $2 UA fee. Those skycaps make the airport hassle a lot easier when you have to check some bags.
