Wednesday, November 11, 2009
Bmi – Part 2
Bmi struggles to get sale of landing slots off the ground
If this did happen, the snow ball effect would not only right off 4,600 jobs but could affect all the ancillary posts like cleaners, caterers, baggage handlers, all of whom will either have a mortgage or rent...etcetera etcetera, etcetera.....BA are looking to cut staff also so no chance of alternative airlines hiring!
Posted by magnaman @ 10:29 PM (708 views)
One thought on “Bmi – Part 2”
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mark wadsworth says:
The value of aircraft landing slots are another of my favourite topics. They are pretty much like land values, i.e. state granted monopolies with artificially restricted supply, that fluctuate wildly in value depending on economic conditions. They ought to be scrapped forthwith and auctioned off every year with the proceeds going to the state or local councils (who can spend this on alleviating the external costs, like paying for double glazing, building better transport links etc), making this an entirely voluntary tax equivalent to the super-profits that airlines can earn.
IN bad years like now, the value may be very low, so the auction proceeds will be very low, but so what? The auction price will never be so high as to drive any airline out of business. And preserving jobs in the private sector has to be pretty high on our list of priorities.