Financial Times FT.com

US airlines face a surge in labour costs

By Justin Baer in New York

Published: February 1 2009 19:38 | Last updated: February 2 2009 02:40

US airlines, which have faced record jet fuel prices and a deepening recession in the past year, are confronting yet another hurdle in their march towards profitability: higher labour costs.

Labour expenses could surge by $14bn for US carriers within the current round of contract negotiations, according to Vaughn Cordle, chief executive of AirlineForecasts, an aviation research firm.

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