Air Canada: charge the poor to pay the rich

There are many good reasons to avoid flying. Air Canada is one of them.

It is a corporation that operates within a tight oligopoly in Canada: in other words, there is very little competition, and it is protected by federal laws that prevent foreign operators from operating routes within Canada.

It is also very profitable, raking in operating income of about $2 billion a year.

Still, it has decided to begin charging travellers for their carry-on luggage. Not ALL travellers: oh no! Those travelling on a budget.

Travellers on more expensive tickets will actually have their carry-on allowance expanded.

Original source: https://www.startribune.com/steve-sack-cartoon-rich-and-poor/224716582

So, to summarize:

  • air travel is environmentally terrible, and there are good reasons to increase the cost of flying *for everyone*, so that people travel less.
  • our governments will not impose proper environmental costing on air travel.
  • Air Canada will increase the cost of flying for those who can afford it least, whilst making it easier for those who can afford more.
  • Air Canada does not need the money: it is simply a cash grab “because it can”.

Well done Air Canada!

Published by Richard Shearmur

I am a professor at McGill's School of Urban Planning. I perform research on innovation, on how we locate work activities (in a world where people often work from many places), and on urban and regional economic geography. I used to work in real-estate, and teach a course on this. I am an urban planner, member of the Ordre des Urbanistes du Québec and of the Canadian institute of Planners.

Leave a comment