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The heads of the congressional Monopoly-Busters Caucus warned that a future administration could "break up" a merger of United and American Airlines if it is approved by Trump regulators.
The Democratic leaders of the congressional Monopoly-Busters Caucus said Wednesday that a recently floated megamerger of two of the largest airlines in the US—United and American—would be so awful for consumers that it shouldn't even be considered, let alone approved by federal regulators.
"The rumored scheme to merge United and American should never see the light of day," said Reps. Pramila Jayapal (D-Wash.), Chris Deluzio (D-Pa.), Pat Ryan (D-NY), and Angie Craig (D-Minn.). "This disaster of a merger would be illegal, consolidating more than a third of the US airline market, eliminating direct competitors on hundreds of routes across the country, and creating a near-monopoly on flights in many cities."
The House Democrats went on to say that if a United-American merger is formally proposed and approved by President Donald Trump's regulators, a future Democratic administration could break up the resulting airline behemoth.
"In a time when too many Americans just struggle to even go on vacation, much less afford their housing, childcare, and healthcare, these airline executives should not mistake the corruption of this administration as a green light to break the law," the lawmakers said. "They should also remember that there is no statute of limitations on breaking up bad deals."
"In case it is not crystal clear," they added, "that is absolutely a threat to break up this merger should it ever happen."
The lawmakers' statement came a day after Bloomberg reported that United Airlines (UA) CEO Scott Kirby floated the idea of merging his company with American Airlines (AA) "directly" to Trump during a meeting in late February. Kirby also pitched the merger idea to other "senior government officials," the outlet noted, without providing names.
"A combination would create the largest airline on the planet," Bloomberg observed. "As a result, any merger between the two aviation giants would pose serious antitrust concerns and likely face significant backlash from consumers, politicians and rival US airlines."
"That the United CEO raised the idea of a merger with American directly with Donald Trump suggests he thinks he might obtain direct approval from the president for a merger that would otherwise never be permitted.”
Contrary to claims of a "surging MAGA antitrust movement" in the early days of Trump's second White House term, the president's administration has proven friendly to corporate merger efforts, from Paramount-Skydance to UnitedHealth-Amedisys and more. Reuters reported Wednesday that "investment banking fees—earned from advising on mergers and acquisitions and underwriting deals—surged an average of 27% across six major US banks in the first quarter, with record dealmaking a key profit driver."
William McGee, senior fellow for aviation and travel at the American Economic Liberties Project, said Wednesday that "thanks to the federal preemption clause in the 1978 Airline Deregulation Act, states have virtually no airline oversight."
"So effectively the only sheriffs overseeing airlines are [the Department of Transportation] and [Department of Justice]," McGee observed. "Under Trump they've been derelict in policing competition."
"To be clear: A UA-AA merger is absurd," McGee added. "A monolith mega-mega-carrier operating 4 of every 10 domestic flights is so harmful that anyone favoring it doesn't understand airlines. Or is a regulator eager to please a president who 'loves to see big deals.'"
Robert Weissman, co-president of the consumer advocacy group Public Citizen, said in a statement Tuesday that "it would be easy to dismiss the prospect of such a merger passing antitrust scrutiny—except that the Trump Department of Justice seems content to bless dangerously high levels of corporate concentration, so long as administration cronies, allies, or flatterers are in charge of corporate goliath."
"That the United CEO raised the idea of a merger with American directly with Donald Trump," Weissman added, "suggests he thinks he might obtain direct approval from the president for a merger that would otherwise never be permitted.”
"We have flight attendants who are struggling to make ends meet while our CEOs are on private jets," said one union leader. "We want some respect shown in the contract."
Hoping to leverage the looming Labor Day travel rush to secure better pay and working conditions, unionized United Airlines flight attendants on Wednesday voted overwhelmingly in favor of authorizing a strike if management fails to meet their demands.
The United flight attendants—who are represented by the Association of Flight Attendants-CWA (AFA)—voted 99.99%, with 90.21% of members participating, to greenlight a work stoppage unless they win concessions including a double-digit raise, more schedule flexibility, improved work rules, job security, and retirement benefits.
"We deserve an industry-leading contract. Our strike vote shows we're ready to do whatever it takes to reach the contract we deserve," said Ken Diaz, president of the United chapter of AFA. "We are the face of United Airlines and planes don't take off without us. As Labor Day travel begins, United management is reminded what's at stake if we don't get this done."
"The United management team gives themselves massive compensation increases while flight attendants struggle to pay basic bills," Diaz added. "The 99.99% 'yes' vote is a clear reminder that we are unified in the fight against corporate greed and ready to fight for our fair share of the profits we create."
Kim Montgomery, who has been a flight attendant for 38 years and is president of the Council 6 chapter at AFA-CWA that represents workers based out of Newark Liberty International Airport in New Jersey, told The Bergen Record that United "continues to make money hand over fist."
"Our leaders get pay raises regularly while some of us have not gotten a raise in years," she added. "We have flight attendants who are struggling to make ends meet while our CEOs are on private jets. We want some respect shown in the contract."
AFA said it can now seek to enter the 30-day "cooling-off" period required by the National Mediation Board (NMB) before the federal agency decides whether to allow a strike. Unlike unionized U.S. workers governed by the National Labor Relations Board, airline and rail workers fall under the jurisdiction of the NMB, which rarely grants permission to strike.
United AFA members staged picket marches at 20 U.S. airports on Tuesday after the union vote result was announced. Flight attendants chanted slogans including, "United Airlines, you're no good, pay your workers like you should," and, "Delay, delay, delay is not okay."
United Flight attendants—who have been working under an amendable contract for nearly three years—applied for federal mediation over eight months ago. AFA flight attendants from United and other airlines staged protest rallies at U.S. airports earlier this year to draw attention to their demands and to pressure management to act. Unionized United pilots also picketed for a better contract last year.
"We have not had a new contract since 2019, which means that we haven't had any raises since 2019," said one American Airlines AFA member in a More Perfect Union video published last year. "We kept this airline running during a pandemic, and all we're asking for is fair wages. All we're asking for is quality of life improvements."
Last month, American Airlines flight attendants and company management agreed to a tentative contract that contains $4.2 billion in pay and benefits, including an immediate 18% raise and boarding pay, with some veteran workers in line for much higher increases.
'These partnerships embarrass the LGBTQ+ community at a time when much of the cultural world is rejecting ties to these toxic industries'
Just Stop Oil protesters temporarily blocked London’s Pride Parade Saturday afternoon to protest the event accepting sponsorship money from “high-polluting industries.”
Pride faced accusations of “pinkwashing” over its decision to make United Airlines the headline sponsor of this year’s event.
Seven protesters were arrested at 1:30 pm after blocking the road in front of a Coca-Cola truck. Coca-Cola is seen as the world's biggest plastic polluter.
LGBTQ+ members of Just Stop Oil called on organizers to condemn new oil, gas, and coal licenses and stop allowing the inclusion of floats from these corporations in the parade.
James Skeet, a Just Stop Oil spokesperson, said in a statement:
“Pride was born from protest. It speaks to how far we’ve come as a community, that high-polluting industries and the banks that fund them, now see Pride as a useful vehicle for sanitizing their reputations, waving rainbow flags in one hand whilst accelerating social collapse with the other. It is queer people, and particularly queer people of color in the global south, who are suffering first in this accelerating social breakdown. What would those who instigated the gay liberation movement during the Stonewall riots in 1969, make of the corporatized spectacle Pride has now become?"
“These partnerships embarrass the LGBTQ+ community, at a time when much of the cultural world is rejecting ties to these toxic industries. We call on Pride to remember the spirit in which it was founded and to respect the memory of all those who fought and died to secure the rights we now possess whilst taking the necessary steps to protect our community long into the future.”
London Mayor Sadiq Khan speaking before the parade said:
“I agree with protesting in a way that is lawful, safe, and peaceful. I think that Extinction Rebellion and Just Stop Oil are really important pressure groups trying to put power on those who have power and influence."
“I fully support the right to protest. It’s really important to recognize the joy of democracy is protest."
“I am somebody who feels quite passionately that we have to tackle the climate emergency. And I feel quite passionately about encouraging people to join the movement to tackle the climate emergency. In my view, protest should be peaceful, lawful, and safe.”
Peter Tatchell, the legendary LGBTQ+ rights campaigner, and prominent member of the Gay Liberation Front and the civil resistance group OutRage! Said:
“I helped organize the first Pride in the UK in 1972 and have attended every Pride London march since then. Pride was always meant to be both a celebration and a protest. From the outset, we stood in solidarity with other struggles for freedom and social justice, against corporate pinkwashing and all forms of exploitation. We saw queer liberation as just one aspect of a wider liberation movement.”
“Climate destruction is destroying communities, jobs, homes and lives across the world, especially in poorer countries. Fossil fuels are endangering the survival of humanity – including LGBTQ+ people. Our community must not collude with environment, species and climate destroying companies.”