Originally Posted by
ZeroTT
mmmm, no
Labor is a resource that a business needs to produce its product and it buys what it needs for the best price it can get. Not fundamentally different than lumber or jet fuel or office space.
If the business is being constrained but in adequate labor, it will pay more. Doesn’t matter whether it is profitable.
The head of the IATA has a different opinion.
https://www.travelpulse.com/news/air...-capacity.html
An excerpt:
Walsh, the former chief executive of British Airways' owner IAG, said that spending "valuable cash resources" would be "too risky," but he believes there will be consolidation through airlines shrinking their operations and some failing.
"It's going to take airlines time to repair their balance sheets. Airlines are not going to be able to take the risk of operating unprofitable routes in the short term," he told aviation consultant John Strickland