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Unions and Southwest Management

1/3/2023

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     The older I get, the smarter my father seems to get.  When I was Union President for the Salem, NH Police Union, it was, at best, a tumultuous relationship between the Union and Management, particularly with one Chief who told me that he didn't have to abide by the contract since he didn't negotiate it.  My father would always tell me that you could get more accomplished with honey than vinegar.  This is advice that should be heeded by the Unions of Southwest Air.
​       In 1887, the American Federation of Labor Union was formed and Samuel Gompers was its first president.  He remained president until his death in 1924.  He was very successful and intuitive.  Possibly his most intuitive statement, in my opinion, was when he said that the greatest failure a Captain of Industry can make, is the failure to realize a profit.  At first glance, some people may sit back and think, why would he say that, aren't unions and management arch enemies?
      The answer to that question should be no.  What Samuel Gompers realized was that Union members have a better chance of a good raise, benefits and working conditions, including job security, if the company they work for is profitable.  This holds true today particularly for Southwest the nations largest domestic carrier.
     In the recent meltdown Southwest experienced over the holidays, much to the chagrin of its passengers, they were criticized not only by passengers, the US Secretary of Transportation, but also their labor unions.  Southwest is generally profitable, but I suspect this won't be the case for quarter 4, 2022, and the first couple of quarters in 2023.  The Unions would have served themselves, and Southwest, well if they would have said we are working with management to resolve issues to make Southwest the most passenger friendly and efficient airline in the United States.  However, with their criticism, I suspect there will be many people who have sworn off Southwest in the foreseeable future.
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    John Tommasi is a retired Senior Lecturer of Economics & Finance from Bentley University and  the University of New Hampshire.

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