United Airlines CEO Scott Kirby was spotted flying American Airlines from Dallas – Fort Worth Airport to Houston Intercontinental, and people are staying stupid things like he “somehow lost faith in his own company’s fleet.”
The major reaction, though, is why isn’t he flying his own airline? And this is bolstered by the tremendous rivalry between Scott Kirby at United and American Airlines where Kirby used to be President – before getting fired. Now that United has significantly improved, and American has faced more challenges, Kirby relishes needling his former employer.
He even talked with President Trump about taking them over, and has worked to drive them out of Chicago O’Hare.
The Daily Mail breaks down what’s actually going on here, lifting my explanation from last month when Kirby was spotted flying American Airlines first class. In fairness, since that story went viral when numerous outlets cribbing details from my post, it’s possible that Daily Mail is lifting from them rather than directly from this site.
- United’s CEO continues to live in Dallas, where his kids go to school. He never made the move to Chicago near United’s corporate headquarters. That also saves him on taxes! Often he works from home (and people who need to meet with him fly to Dallas).
- American Airlines generally has the better schedule in and out of their Dallas – Fort Worth hub compared to his own United.
- He even has lifetime travel privileges at American from his time as American’s President. Kirby received $13 million in severance when he was let go there in 2016. (He did not have a non-compete, so that let him go run United and become its CEO where he rebuilt the airline’s fleet, product and domestic network. No U.S. airline is more improved over the past decade than United.)
Executive previously vested into lifetime travel privileges that include unlimited reserved travel in any class of service for Executive and Executive’s immediate family, including eligible dependent children, for personal purposes, access to Admirals Club travel lounges and 12 free round-trip passes, or 24 free one-way passes, each year for reserved travel for non-eligible family members and friends.
- Kirby’s free American Airlines travel is valid for personal trips, but flying home is certainly personal, not that ticket price is a binding constraint for someone earning eight figures annually (and where it’s likely the company may be covering any given trip in any case). Brian Sumers reports that American has made it more difficult for employees of other airlines to confirm space at discounted rates on their flights. But that wouldn’t apply to Kirby’s benefits if he’s indeed using those.
Daily Mail oddly refers to Scott Kirby as a “free-loading billionaire” and while he’s handsomely paid as United’s CEO I suspect his newfound billionaire status would be news to his financial planner.
I actually think it’s great for an airline CEO to (1) fly his own product [Kirby’s former boss at American Doug Parker famously hadn’t even tried American’s new domestic product in the first six months it was flying, after they reduced legroom and took away seat back TVs] and (2) fly competitor products.
Everyone thinks it’s strange for Kirby to fly the competition. I don’t. If you live in Dallas, you’re pretty much stuck with either American Airlines or Southwest – even if you’re the CEO of another major airline!
Duh, so he doesn’t take a seat on a UAL flight.
Dude should get a contract that allows him to fly back and forth on private.
Grabs a beer, a bag of popcorn, sits back and waits to watch the clown show unfold.
This helps Kirby crush American, one seat at a time, because by using his grandfathered flight privileges he prevents American Airlines from selling the seat he uses and leaves an available seat for United to sell. Drip, drip, drip.
Herb Kelleher was famously an Executive Platinum on AA, although he never had a bad word to say about them. So since Kirby’s got the bennie, there’s no issue with using it.
He looked so old in the picture. I know people change over time, but Kirby aged too quick. Maybe if he stops thinking of crushing American, his look might not be that terrible.
Why not have positive FC space and block revenue from your largest competitor?
His benefits should be canceled.
I don’t care if its breaking a contract.
If anything it should have been extended for 3-5 years only. And if a VP goes to another airline, the positive space benefits should be null and void.
Kirby does look like a frail old man. I thought he lived up in one of those McMansions at Beaver Creek, CO.
Maybe he just likes consistent free high speed internet. He’s not getting it on United…
@MaxPower — Ya know, I was excited for my recent trip on AA’s 773, then I remembered, WiFi ain’t free on it yet, for whatever reason. Lame.
@1990
But you had a video screen. Yipee!
@Coffee Please — H’yup. And an ice cream sundae. And a swivel chair.
Scotch knows the scotch is better on AA.
AA should offer Kirby the CEO position so he can turn them around
clap back 1990 lol
touche
77W is getting the via sat free wifi when they go through the F/J/W/Y transition to J/W/Y this fall/spring. but god… what is to become of me… what if that Viasat hole in the ocean isn’t fixed by then? Will I become Tim Dunn defending non-existent wifi?! #shudder
EVERY executive should use (in this case, fly) their competitors as well as their own product…and in all classes. How else will they be able to know what the competition offers compared to your own, where you need to improve, etc.
When Alaska acquired Virgin America, I happened to be in Seattle in an Alaska Lounge and was getting some coffee, when a voice behind me asked where I was going. I told her SFO, and she asked if I was on Flight _____. I replied, “No, I’m flying your new subsidiary.” She told me she was an Executive out of the Corporate Office and asked me why I liked Virgin so much. I answered, “You need to fly it before it disappears, and you’ll know.” We then talked about Virgin for a time, and she assured me that she was flying Virgin the following week.
Another time, I was flying Virgin, sitting in Main Cabin Select (aka PE). I was in “D” and across the aisle in “C” was the head of Alaska’s HR Department. In the course of our conversation, she told me that a number of Alaska’s executives had flown on Virgin America (*after* the take-over) precisely to understand what was different about VX and why passengers loved it so much. I have to say that was the moment that I started liking Alaska.
@Jason
AS really does have an incredible management team. I’m always amazed to see stories like this about them.
Such a well-run airline. My personal favorite
You always want to know your competition! Kirby should fly all the majors to get a firsthand look. That being said, I’m based in Dallas and have flown both airlines extensively. Have been ExPlat and/or 1K for years. For a long time I chose UA where it made sense, particularly my flights to SFO, ORD or secondary markets that required a connection, doing my best to avoid CLT at all costs. UA is the better outfit, at least according to my personal experience.
I presume Kirby flies AA because the flight schedule is more convenient. AA, UA and DL are basically clones of each other, so it’s the practical, efficient choice.
If he was flying IAH to DFW, the argument that he’s captive to AA in Dallas feels hollow given that United also has a hub in IAH, so presumably he could’ve flown United. Same with ORD