AA pilots union praises federal officials who want to scrutinize alliances

[Omaha Steve]

http://aviationblog.dallasnews.com/archives/2009/06/aa-pilots-union-praises-federa.html

10:32 AM Fri, Jun 19, 2009

The Allied Pilots Association on Friday praised U.S. Attorney General Eric Holder for offering input on a proposed grant of antitrust immunity for Continental Airlines as it seeks to join the Star Alliance.

The union, which represents American Airlines pilots, has been urging the Department of Transportation to delay a bigger request from American Airlines, British Airways and other members of the Oneworld alliance for their proposed working arrangement, which would include antitrust immunity.

APA also praised U.S. Sen. Herb Kohl, D-Wisc., for getting involved by saying the Transportation Department should get input from Justice before deciding on alliances. Holder's and Kohl's comments came during a Senate committee hearing Wednesday.

Here's what APA president Lloyd Hill said in APA's statement Friday:

"Antitrust immunity is by definition anti-competitive, as Attorney General Holder and Sen. Kohl clearly recognize. If more airlines receive antitrust immunity, the result will be fewer choices and higher ticket prices for travelers.

"Also, APA continues to have serious concerns about the impact on hard-working Americans when global airline alliances receive antitrust immunity. When companies cooperate and consolidate, some jobs inevitably become redundant."

On Thursday, the Transport Workers Union, which represents 26,000 American and American Eagle employees, released a letter to Transportation Secretary Ray LaHood urging the government to approve the AA-BA-Oneworld proposal.