Ex-CEO Revives Dreaded 'R' Word for Airlines
Re-regulation is only way, Bob Crandall says
By Will McCahill,  Newser Staff
Posted Jun 14, 2008 2:35 PM CDT
"It's time to acknowledge that airlines are more like utilities than ordinary businesses," former American Airlines CEO Bob Crandall says.   (Getty Images)
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(Newser) – The man who brought frequent-flyer and hub-and-spoke to airlines has a plan to fix the industry—with the dreaded "R" word as its centerpiece, Wired reports. Yes, former American CEO Bob Crandall wants the government to re-regulate: "It's time to acknowledge that airlines are more like utilities than ordinary businesses," he said, and suggested the following:

  • A role for feds to set prices, which should cut down on fare wars that make flying unprofitable.
  • Change labor law to make union strikes illegal and mandate binding arbitration.
  • Bigger planes, which would cut out those 50-seaters—but also the number of daily regional flights.
  • Overhaul the air-traffic control system.