North Carolina Elected Officials, Chambers of Commerce, and Labor Leaders Launch Campaign to Protect Airline Jobs
Charlotte, NC (May 21, 2015) –Elected officials, chambers of commerce, labor unions, and community leaders, representing hundreds of thousands of North Carolinians, have joined together to restore a balanced and fair market in the airline industry and protect local jobs.
These groups and individuals are calling on the Secretaries of Transportation, State, and Commerce to open consultations with the governments of Qatar and the United Arab Emirates (UAE) over the billions in unfair subsidies these two countries are providing their state-owned airlines: Qatar Airways, Etihad Airways and Emirates Airline.
The subsidies, totaling more than $42 billion, distort competition in the airline industry and fly in the face of federal Open Skies policy, which exist to encourage a level playing field for international air travel. Most importantly, these foreign subsidies threaten domestic airline jobs across North Carolina.
Mayor Daniel Clodfelter of Charlotte noted that American Airlines employs nearly 10,000 people at the Charlotte Douglas International Airport with over 725 daily flights and more than 43.5 million passengers annually. In his letter to the Obama administration, he said, “The allegations, if proven true and left unchecked, will result in service cuts, job losses and slower economic development in our region.”
Mary-Ann Baldwin, Raleigh City Councilwoman, touched on the vast subsidies saying, “They have enabled the Gulf airlines to expand rapidly and add numerous new routes while jeopardizing American jobs due to unfair competition. This level of distortion can have a negative effect on the economy of Raleigh as flights into and out of Raleigh-Durham International Airport could be impacted by air traffic diverted from U.S. carriers to Gulf carriers.”
These subsidies not only hurt North Carolina’s two largest airports, they also negatively impact regional airports like those in Concord, Wilmington, and Fayetteville.
“As President and CEO of the Fayetteville Chamber of Commerce,” wrote Douglas Peters, “I am respectfully requesting that you ask the U.S. government to open consultations with Qatar and UAE. I also believe that the U.S. government should seek an immediate freeze on the introduction of new passenger service by the gulf carriers during these consultations. Our community and local businesses cannot afford to lose out on job opportunities because of the unfair business practices of Qatar and the UAE.”
A recent report released by the Partnership for Open & Fair Skies explains how Qatar and the UAE have provided over $42 billion in subsidies to their state-owned airlines. Economists estimate that every daily international roundtrip flight that is lost by a U.S. airline due to unfair competition with the three heavily subsidized Gulf carriers is an average net loss of more than 800 U.S. jobs.
The Partnership for Open & Fair Skies, which includes American Airlines, Delta Air Lines and United Airlines along with eight unions, supports Open Skies policy and are simply asking the U.S. government to open consultations with Qatar and the UAE and seek a freeze on new passenger service during the consultations.
In addition to the supporters outlined below, 262 Members of Congress, ten from North Carolina, recently wrote to the Secretary of Transportation and the Secretary of State to express their concern with the actions of these Gulf carriers and to ask the Obama Administration to open consultations with Qatar and the UAE.
Signing onto the campaign are the following organizations and individuals:
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Charlotte Chamber of Commerce
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Fayetteville Chamber of Commerce
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Wilmington Chamber of Commerce
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North Carolina Teamsters (Local 391)
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Mayor Scott Padgett, Concord
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Mayor Daniel Clodfelter, Charlotte
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Mayor Allen Joines, Winston-Salem
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Commissioner Pat Cotham, Mecklenburg County Commission
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Councilwoman Mary-Ann Baldwin, Raleigh City Council
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Judge John Arrowood, former NC Court of Appeals Judge
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Robert Stolz, Charlotte Airport Committee Chair
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Marc Erwin, former U.S. Ambassador