INTERESTING ARTICLE. IF NORTHWEST DOES IT, WONDER HOW LONG IT WILL BE UNTIL THE OTHER AIRLINES DO THE SAME?
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N'west charges fee for ex-perk
Airline's employees must now pay $50 for the company's travel discount program.
By Joel J. Smith / The Detroit News
Financially strapped Northwest Airlines informed its 39,000 employees this week that they must now pay a fee to qualify for free standby tickets on its flights.
Northwest, which employs 10,000 workers in Michigan, will charge a $50 per family member annual fee to participate in its pass travel ticket program. The new policy takes affect July 1.
The fee will be capped at $200 annually per family. Because it's being introduced half way through the calendar year, Northwest is accessing just $25 per employee with a $100 cap per family for 2005.
In an era of cutbacks, free flights are seen as one of the last remaining perks for airline workers.
Jay Hong, a Northwest flight attendant and base representative with the Professional Flight Attendants Association, said his union has asked Northwest to explain its rationale behind the policy change. So far, it hasn't received a reply.
"I don't think the company saves much money by charging an annual fee to your employees," Hong said.
Northwest officials said the move is aimed at cutting costs at the airline, which lost $450 million during the first quarter of 2005.
The action is the latest in a long string of cutbacks by Northwest, whose largest hub is at Detroit Metropolitan Airport. Northwest has eliminated free pretzels, magazines and pillows on its domestic flights.
"We recognize that the privilege of free or inexpensive travel is important to Northwest employees and want to ensure that we are able to continue to offer that privilege in the current economic environment," said Mike Becker, Northwest's senior vice president of human resources and labor relations, in an employee newsletter.
Northwest employees say it can be difficult to travel on the free passes. They are not guaranteed a seat on a particular flight. Paying customers always take precedent.
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N'west charges fee for ex-perk
Airline's employees must now pay $50 for the company's travel discount program.
By Joel J. Smith / The Detroit News
Financially strapped Northwest Airlines informed its 39,000 employees this week that they must now pay a fee to qualify for free standby tickets on its flights.
Northwest, which employs 10,000 workers in Michigan, will charge a $50 per family member annual fee to participate in its pass travel ticket program. The new policy takes affect July 1.
The fee will be capped at $200 annually per family. Because it's being introduced half way through the calendar year, Northwest is accessing just $25 per employee with a $100 cap per family for 2005.
In an era of cutbacks, free flights are seen as one of the last remaining perks for airline workers.
Jay Hong, a Northwest flight attendant and base representative with the Professional Flight Attendants Association, said his union has asked Northwest to explain its rationale behind the policy change. So far, it hasn't received a reply.
"I don't think the company saves much money by charging an annual fee to your employees," Hong said.
Northwest officials said the move is aimed at cutting costs at the airline, which lost $450 million during the first quarter of 2005.
The action is the latest in a long string of cutbacks by Northwest, whose largest hub is at Detroit Metropolitan Airport. Northwest has eliminated free pretzels, magazines and pillows on its domestic flights.
"We recognize that the privilege of free or inexpensive travel is important to Northwest employees and want to ensure that we are able to continue to offer that privilege in the current economic environment," said Mike Becker, Northwest's senior vice president of human resources and labor relations, in an employee newsletter.
Northwest employees say it can be difficult to travel on the free passes. They are not guaranteed a seat on a particular flight. Paying customers always take precedent.
