In this episode of Planet Money, titled “The flight attendants of CHAOS,” the hosts explore the concept of labor disputes and how they can resemble a strategic game. They delve into the case study of the TWA strike in 1986 and its impact on labor negotiations. The episode highlights the tactics used by flight attendants of Alaska Airlines to avoid being replaced by scabs during their own contract negotiations. It also discusses the effectiveness of the chaos strategy and its application in other labor strikes, such as the recent UAW strike.
Just like in sports, moments arise in the world of economics and business where someone changes the game by doing something unexpected. Labor disputes can be seen as strategic battles between competing teams, employing tactics and counter-tactics to gain an advantage.
In 1986, TWA found a legal workaround to effectively fire all striking flight attendants without technically firing anyone. This case study continues to shape labor disputes today, particularly in the airline industry. The TWA strike involved the replacement of striking flight attendants with scabs, who served as permanent replacements, leaving the original employees without a job.
Labor lawyer David Borer, representing Alaska Airlines flight attendants, recognized the potential risks they faced during tense contract negotiations. He sought a counter strategy to prevent the flight attendants from being replaced by scabs. Together with union negotiator Gail Bigelow, they held secret strategy meetings to find a way around the TWA playbook and protect the flight attendants’ interests.
As attacking the company directly was not a viable option, the focus of the counter strategy was to find a way to go on strike without the risk of being permanently replaced. Taking inspiration from Sun Sioux’s The Art of War, the flight attendants adopted a guerrilla warfare strategy, creating chaos for Alaska Airlines while avoiding the consequences of a traditional strike.
The flight attendants implemented their “chaos” strategy by announcing it in a press conference, without disclosing the specific details. This strategy aimed to disrupt operations and create uncertainty for the airline. The threat of a strike led to a decrease in bookings, putting pressure on Alaska Airlines to negotiate with the flight attendants.
Alaska Airlines responded to the chaos strategy by preparing for a real strike, training all managed personnel as flight attendants. They also booked seats for trained managers on flights to act as stopgap attendants in case of a mid-flight strike. However, the flight attendants’ intermittent striking tactic was protected by law, and the court sided with the union, preventing permanent replacements. Less than two weeks later, Alaska Airlines proposed a decent contract, and the strike came to an end. The chaos strategy proved successful for the flight attendants, gaining them leverage in negotiations.
The TWA strike and the subsequent chaos strategy employed by Alaska Airlines flight attendants demonstrate the strategic nature of labor disputes. By thinking outside the box and finding innovative ways to protect their interests, workers can gain leverage in negotiations. The chaos strategy continues to shape labor strikes, as seen in the recent UAW strike. Understanding the dynamics of labor disputes and the power of unconventional tactics can lead to successful outcomes for workers.