Norwegian Air International is an airline company that is based
in Ireland and operated in different locations than its base. It uses this base of operations to get around
certain labor laws that are in other countries.
While they have found a loop hole in the system they are possibly
setting themselves up for failure in the future. Currently Norwegian Air utilizes a Singapore
based company that hires pilots in Thailand.
This creates an unfair advantage compared to other airlines around the
world. Currently Norwegian Air operates
long haul flights across the Atlantic into certain parts of the United States
and is looking to expand their operations further into the United States. This has caused many of the U.S. domestic
airlines to gather in protest of this.
The domestic U.S. carriers are opposed to Norwegian Air
operating in the U.S. because Norwegian
Air will be able to offer prices that are lower than the competitors because
they employee workers that can be paid less and worked longer.
The DOT denied NAI’s request to operate in the U.S. on the
ground that NAI’s case is very complex and approval is only granted to cases
where there is a clear-cut case. I do
agree with this, I feel that allowing Norwegian Air to operate in the U.S.
would invite other companies to do the same thing. This would drive domestic carriers out of
business as they could not employ workers at such low rates. Safety would also be a huge concern if NAI
were allowed to fly domestic routes.
While people would love the ultra-cheap air fare, there would be a
public outcry when an accident happened.
I
believe that if NAI were to be allowed to fly into the US it would be the end
of domestic airlines as we know it.
Foreign airlines would pick and choose the flights that generate the
most money and would drop those that did not.
This would cause many airports to shut down, especially regional
airports where not as many passengers travel throughout the year.
http://www.usatoday.com/story/travel/flights/2014/09/02/dot-norwegian-air-alpa-foxx/14810499/http://www.nytimes.com/2014/02/07/business/international/long-haul-expansion-by-a-norwegian-carrier-upsets-us-airlines.html?_r=0
You hit the nail on the head when you said it would end domestic airlines as we know it. Things just wouldn't be the same. These days its all about finding the lowest fares online. Customer loyalty no longer exists when you can go online and see exactly how much every airline is for a particular route.
ReplyDeleteMany posts have eluded to the low pilot wages equating to safety concerns. Did you happen to come across any supporting info on this?
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ReplyDeleteI agree that allowing NAI to fly in the US would disrupt US carriers in the short run. But the second a major safety hazard or major safety violation occurs, the public would turn on the cheaper fares and return to the safety of US carriers while boycotting foreign airlines. Not only would this ensure safety of US fliers it would show the public that foreign airlines are not regulated enough.
Ultimately, public outcry might be the way to prevent Norwegian Air and future airlines that follow it from operating within the U.S. The DOT will only hold them off for so long. Eventually, Norwegian Air, or someone like them will be flying here. We need to educate the public on their unsafe and unethical business practices and hopefully enough people will listen and pay the higher priced ticket for a good cause. If nobody flies Norwegian Air, they’ll leave or change.
ReplyDeleteI agree that it would be a big hit on the domestic carriers but they have not been officially denied yet. Hopefully there will be enough people to fight it and not allow them into the states.
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