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Business

United CEO says nobody is getting fired – including the CEO

By
Carleton English
Published April 18, 2017
Updated April 18, 2017, 4:51 p.m. ET

United’s boss says nobody is getting fired at the embattled airline — including himself.

Despite last week’s disaster, in which a bloodied passenger got forcibly dragged off a flight, United Continental CEO Oscar Munoz said Tuesday there are currently no plans to fire anyone at the company.

“There was never a consideration for firing an employee or anyone around it,” Munoz told Wall Street analysts on a Tuesday conference call.

Munoz added that “the buck stops here, and I’m sure there was lots of conjecture about me personally.”

Nevertheless, Munoz insisted that the public-relations nightmare was caused by “a system failure across various areas,” rather than human error.

United’s failed “system” prevented employees from being able to use their common sense to prevent the tragedy, Munoz had said days earlier.

“They all have an incredible amount of common sense, and this issue could have been solved by that,” Munoz said last week.

Management insisted it was too early to tell how flight bookings were impacted following the release of several videos depicting Kentucky Dr. David Dao being dragged off the plane.

That didn’t appear to appease Wall Street, as the company’s shares slid after the morning conference call, despite reporting quarterly earnings late Monday that beat Wall Street’s expectations by several measures. Recently, they were off 4 percent at $67.95.

The company is locked in damage-control mode after last week’s bloody incident, in which Dao was forcibly dragged off a United flight to make room for employees who needed a seat.

“You can and should expect more from us,” Munoz said Tuesday, adding that he takes “full responsibility for making this right.”

Munoz will be traveling to China in the next few weeks on an already scheduled trip, which has taken on new significance since the incident. United is the largest US-based carrier operating in China.

“At the end of the day, [customer service] is not about a policy or a procedure or a tool. It’s about values, human values,” Munoz said.