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November 06, 2008

Air Travel: A Hot Topic for Obama?

The Daily Traveler by Conde Nast Traveler
Obama
Flags a flying for Obama--and
hopefully planes will, too.

AP Photo

by Barbara S. Peterson

Out of the speculation about President-elect Barack Obama's economic plan comes this surprising development: Air travel could be a hot topic in the new administration. 

Barely after the votes were tallied, one possible choice as Treasury Secretary, New Jersey Governor Jon Corzine, was opining on CBS radio this morning about the woeful state of the nation's air traffic control and what the new president ought to do.  Namely, invest tons of money to get it up to 21st-century standards like using satellite technology to guide planes instead of antiquated radars.

Corzine, who's been advising Obama informally on economic strategy, said he envisions "a stimulus package with an infrastructure investment that will create jobs and provide returns in the long run."  Drawing a parallel to the building of New York's Lincoln Tunnel during the Depression, he added: "One obvious one (now) would be the air traffic control system, which is grossly under-invested in and outdated," he said.

Corzine dismissed talk that he would join the Obama administration. But he certainly knows about the impact of aviation gridlock: the three major airports serving New York City, including Newark in his home state, have the worst delays in the country and are supposedly the cause of more than half of all delays nationwide.

Fixing air traffic control isn't as simple as building a bridge or a tunnel. The problem is complex, and "next gen" satellite technology will take 15 to 20 years to roll out under ideal circumstances. One part of the picture may get addressed very soon after Obama moves into the White House, though: Air traffic controllers are demoralized and understaffed, in part because they've worked without contracts with their employer, the Federal Aviation Administration, for more than two years. As a senator, Obama sponsored a bill--opposed by the Bush White House--that would have forced the two sides to go back to the bargaining table. Meanwhile, new controllers saw their pay cut by 30 percent as more seasoned controllers quit or took early retirement. The resulting staff shortage certainly isn't helping flights get to their destinations faster, and controllers claim that labor peace would help things run more smoothly.

As president, Obama could simply issue an executive order to get many of these aims accomplished without having to go through Congress. But even the controllers union, which endorsed Obama early on, isn't expecting miracles. The money just isn't there to buy air traffic control equipment or build airports and runways, and flight delays continue to take a huge toll on the economy with lost productivity and wasted fuel.

Some of Obama's other positions on aviation:

* Obama has expressed opposition to the Bush administration's plan to auction take-off slots at New York airports to help ease delays--a process that's supposed to begin January 12, just days before he is sworn in. If he overturns the plan, however, he'll have to come up with something else or delays will just get worse.

* Obama is said to be against easing laws restricting foreign ownership of U.S. airlines, which could be a problem down the road in talks with the European Union, which has sought greater ownership rights for its airlines.

* Outsourcing aircraft maintenance to offshore facilities is another hot button topic that could give airlines agita as Obama seeks to limit the practice and keep jobs in the U.S. Airlines have greatly increased their reliance on these foreign repair shops to save money.

Further reading:
* An Obama plan might mean higher labor costs (Bloomberg)
* Where do the air traffic controllers stand?
* Where McCain and Obama Stand on Air Travel: Part One
* Where McCain and Obama Stand on Air Travel: Part Two
* On the Fly: The airline industry

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