AirTran Airways won’t charge fliers for taking a carry-on aboard, at least not any time soon, its chief executive says.
“I just don’t see that happening right now. Our market is too competitive,” AirTran CEO Bob Fornaro said at an investor conference Tuesday. “I don’t really see that catching on on a broad basis.”
Most airlines, including AirTran, now charge for checked bags and other services, generating significant revenue.
Spirit Airlines took the trend up a notch when it announced plans to start charging as much as $45 for carry-ons, starting Aug. 1. The move prompted U.S. Sen Charles Schumer (D-N.Y.) to get commitments from Delta, American, United Airlines, US Airways and JetBlue Airways that they would not charge for carry-ons.
Spirit is also the airline now suffering through a pilot strike.
At Tuesday’s conference, Fornaro also said he expects AirTran to reach a contract deal with its pilots union this summer. The company and pilots have been in talks for about six years.
“I think both sides are tired,” Fornaro said. “We should get a deal done this summer, and one that works for the company and one that works for the pilots.”
AirTran is based in Orlando and has its largest hub in Atlanta. AirTran pilots voted last month to authorize a strike, which does not mean a strike will occur but is a common tactic to put pressure on management.
“Certainly the union believes it’s possible to get a deal this summer, but only if we see workable proposals coming back from the company,” said Jim Morris, a spokesman for the AirTran pilots union. He said critical issues remaining include pay and scheduling rules. Talks are scheduled for this week.
AirTran pilots last year replaced their independent union with the Air Line Pilots Association, the industry’s biggest pilot union. AirTran pilots last got raises about five years ago, and the union seeks increases that vary depending on the pilot’s position. The union said it is awaiting a company counter-proposal.
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