ALPA’s Economic & Financial Analysis Department recently released information detailing the State of the North American Passenger Airline Industry. The report gives in-depth industry insight into important factors affecting today’s operations and future outlook, including:
• Economic growth conditions
• Global economic uncertainty
• Revenue weakness permeating the industry
• Changing demands from labor and shareholders
• Challenges faced by FFD carriers as a result of the sector’s unique business model
• The effect of low fuel prices on the airline industry
The airline industry remains a cyclical industry. The last seven years have been ones of expansion for the mainline passenger carriers, and the results have improved strongly from year to year. However, 2016 may prove to be a pivotal year in the cycle.
Read the full report to find out where the industry is now and where it may be headed over the next few years.