United Airlines raise ticket prices

United Airlines raise ticket prices

Airline industry is passing through tough times with rising fuel costs and lowering profits. Air Canada recently had to cancel an order from Boeing after finding it difficult to get their finances right. Their worker’s union refused to accept a cost-cutting offer from the company and the airline would be buying second hand aircrafts to keep offering their services.

Most other airlines are hiking their ticket costing to survive this complicated situation. The latest to join the group is the American giant United Airlines. They have hiked their fares on both domestic and international routes. The rise is around 3% and it begins immediately. Rising fuel prices is cited as the reason behind the hiked prices of the tickets.

A senior company representative John Tague said in a statement: “With oil continuing to trade at historically high levels, all industries must act responsibly to offset rising fuel costs. We are confident our customers will understand that we must take appropriate measures to mitigate our higher fuel costs.”

In fact, they were not the only one to announce their plans today. Even the competing American Airlines have joined the group. They have increased the fares of their domestic flights operating in the 50 states in the United States. Tim Wagner, a spokesperson for American Airlines said in a statement: “At this point, the high cost of fuel is definitely the motivation for increasing fares to try to compensate for extreme increases in costs.”