ABSTRACT
Effective people management is crucial to the success of airlines, irrespective of whether they adhere to a full-service or a low-cost business model. Full service network carriers that compete on service quality require a high level of customer service from their staff, whereas operators that compete on price require high levels of productivity and efficiency from their staff. Consequently, airlines have experimented with a range of people management strategies. Some of these have been enduringly successful and have enabled certain carriers to secure and maintain competitive advantage. Other airlines that have adopted a different approach to people management have been less successful. This chapter examines different approaches to Human Resource Management in the airline industry and examines the effect of industrial relations on airline performance.
