The Corporate Travel Grind:

Airlines Dog-Fight with Corporate Travel

Peter OBrien
Corporate Travel managers are scurrying into their cubicles to brainstorm smarter ways of getting employees to meetings and conferences while at the same time the airlines are trying to figure out devious ways to squeeze a few more dollars from them. It's not a pretty scene as both parties scatter old formulas to make way for new dynamics that hopefully will revive an established partnership. The airlines have depended on corporate travel since the aircraft first took to the air. It's the bread and butter of the industry and up until now costs, convenience, perks and pampering have been an even spread. The escalation of oil prices forced airlines to trim away the fat and in most cases all you get for your money now is just a seat. Unlike tourism where costs are controlled by advance purchases and staying over a Saturday night, business travelers mostly book and travel mid week and pay top dollar. In recent months that top dollar is reaching heights never seen before as seen by the following non- refundable coach fares based on midweek travel: Newark - Cincinnati $1277.00 on Delta; Philadelphia - Boston $1057.00 on US Airways; Newark - Los Angeles $1059.00 on American Airlines.

The international scene fairs no better; business class for business travelers equals good business for the airlines; New York (JFK) - London $7392.00 on Virgin Atlantic; Washington - Beijing $12,753.00 on United Airlines; Los Angeles - Sydney $17,486 on Qantas. Oh, and if you want to travel from Chicago to Beijing on United during the Olympics then you'll have to hand over $21,415.00 for a business class seat; oh, and that's non refundable!

Airlines are not the only part of the corporate travel equation. Gas increases affect car rentals and overnight accommodations as well. While managers crunch the numbers the corporate traveler waits in anticipation for the results. After all there are big perks at stake. The three major components of business travel - air, car and accommodation - have programs in place to keep clients loyal. Major hotels like Marriott or Hyatt may be replaced by smaller ones like Summerfield Suites or Doubletree.

Taking more restrictive air fares that do not allow upgrades is also on the table along with opting for low cost car rentals such as Budget or Alamo. The outlook looks grim for those who feel they have the right to royal treatment because they are giving up time with their families for the benefit of the company. This argument has been considered the backbone of true justification for all business travel.

Business Travel is not that glamorous; more time is spent in meeting rooms with not much time for fun and relaxation. Travel managers may be better off looking into the latest technology in video conferencing than trying to slim down the travel budget. If nothing else it will alleviate non productive time spent on planes and hanging around in airports.

Amtrak's Accella service covering points from Boston to Washington has shown an increase in ridership and you can see why when Amtrak's fare from Boston to Philadelphia is 355.00 round trip in business class compared to the 1057.00 coach fare on US Airways. In today's 'Green World' Amtrak may be the better choice as Accella trains run on electricity.

If all this was not enough, it has been reported in various newspapers that US Airways logistic management have come up with the bright idea that they should have the final word in determining the amount of fuel to take on board before a flight.. In response, the US Airways pilots union took out a full page ad in USA Today, titled "to our valued passengers." The ad accused the airline of a program of intimidation to pressure captains to reduce fuel loads. Oh please is there a train schedule from New York to Los Angeles? Please! Please!

Published by Peter OBrien

Born in Ireland, raised in England and migrated to the US. Best job: Tour bus driver, I saw the world behind the wheel of a bus. The views out front were inspiring, and the people behind; well let's say ther...  View profile

To comment, please sign in to your Yahoo! account, or sign up for a new account.