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Pacts for employment and competitiveness in the airline sector

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  • James Arrowsmith

    (Industrial Relations Research Unit, University of Warwick. This paper draws on recent work conducted with Keith Sisson and Tony Edwards for the European Foundation for the Improvement of Living and Working Conditions.)

Abstract

The air passenger transport sector in the EU is in the process of transformation due to liberalisation, privatisation and increased competition. In a context of heightened uncertainty, the major companies have followed a dual approach of qualitative competition based on service, and cost-cutting; the latter has strong implications for employment, as labour costs are the key variable cost under their control. Various forms of PECs have been pursued in order to manage this process, reflecting the high level of dependency of companies on their staff. The prospects for PECs in the future are strongly related to the domestic institutional frameworks for collective bargaining, as well as the scale of proposed change, but it is likely that in general some form of understanding will be necessary to manage the process of change.

Suggested Citation

  • James Arrowsmith, 2001. "Pacts for employment and competitiveness in the airline sector," Transfer: European Review of Labour and Research, , vol. 7(4), pages 629-635, November.
    • Handle: RePEc:sae:treure:v:7:y:2001:i:4:p:629-635
    DOI: 10.1177/102425890100700406
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