OUTSOURCING AT NETWORK CARRIERS
Northwest Airlines (NWACQ.PK: Quote, Profile, Research) outsources all its "heavy maintenance" work and most of its line maintenance. The airline ramped up its outsourcing in August, when its union-represented mechanics walked off the job over a contract dispute.
The carrier, which since has replaced the workers with outside vendors, previously had been bound by a labor agreement to outsource no more than 38 percent of its maintenance. Northwest said the outsourcing enabled it to reach a labor savings goal of $203 million a year.
US Airways Group (LCC.N: Quote, Profile, Research) has outsourced about 60 percent of its airframe maintenance over the last year and a half.
Delta Air Lines (DALRQ.PK: Quote, Profile, Research) outsources about 20 percent of its maintenance. Continental Airlines (CAL.N: Quote, Profile, Research) keeps the bulk of its maintenance work in-house and has been hiring technicians for the last two years.
AMR Corp. (AMR.N: Quote, Profile, Research), parent of American Airlines, prides itself on bucking the outsourcing trend. The carrier said it does nearly 90 percent of its own maintenance work, compared with 75 percent five years ago.
http://asia.reuters.com/news/ArticleNews.a...oryID=2006-07-0
2T182930Z_01_N02188864_RTRUKOC_0_US-AIRLINES-OUTSOURCING.xml
Northwest Airlines (NWACQ.PK: Quote, Profile, Research) outsources all its "heavy maintenance" work and most of its line maintenance. The airline ramped up its outsourcing in August, when its union-represented mechanics walked off the job over a contract dispute.
The carrier, which since has replaced the workers with outside vendors, previously had been bound by a labor agreement to outsource no more than 38 percent of its maintenance. Northwest said the outsourcing enabled it to reach a labor savings goal of $203 million a year.
US Airways Group (LCC.N: Quote, Profile, Research) has outsourced about 60 percent of its airframe maintenance over the last year and a half.
Delta Air Lines (DALRQ.PK: Quote, Profile, Research) outsources about 20 percent of its maintenance. Continental Airlines (CAL.N: Quote, Profile, Research) keeps the bulk of its maintenance work in-house and has been hiring technicians for the last two years.
AMR Corp. (AMR.N: Quote, Profile, Research), parent of American Airlines, prides itself on bucking the outsourcing trend. The carrier said it does nearly 90 percent of its own maintenance work, compared with 75 percent five years ago.
http://asia.reuters.com/news/ArticleNews.a...oryID=2006-07-0
2T182930Z_01_N02188864_RTRUKOC_0_US-AIRLINES-OUTSOURCING.xml
