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Old 10-19-2013 | 12:13 PM
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USMCFLYR
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From: FAA 'Flight Check'
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Originally Posted by sulkair
Possibly if the whole industry was regulated - maybe.

I guess what I don't understand is that if Southwest's model is viable across the board as you suggest, then why isn't Virgin, Allegiant, JB, Spirt all treating and paying their employees what SW does? Is it because they're just more greedy? If so why aren't their profit margins exceedingly higher than Southwest's?

Two theories as to why SW succeeds at this.

They are one of a kind, and by such can flourish against the back drop of so many different animals. If they were competing head to head with many versions of themselves, they would no longer have the niche.

They were the first to the LCC party and have been riding that wave along with great fuel hedging. Isn't the jury still out on whether or not they will always be able to pay these stellar pilot wages?

Don't want to disparage any company or anybody. Just confused myself.
It is my understanding, and the opinion of others on this board that I have read, that SouthWest's wages are near/at the top of the industry only due the degradation of the other companies wage structures over the past many years.
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