United Airlines CEO Scott Kirby discusses pricing, wealth tax and leadership in NYT interview
In a New York Times interview, United CEO Scott Kirby defended premium seat pricing, advocated for a national wealth tax and high inheritance taxes, and reflected on his departure from American Airlines.
United Airlines chief executive Scott Kirby told the New York Times that charging extra for window or other preferred seats is justified because some customers are willing to pay for those services. He said airlines must set prices that cover the high cost of operating aircraft, noting that fares have risen after a low-price period during the pandemic and that half of the major U.S. carriers are expected to lose money this year.
Kirby described his role as making a few critical decisions each year that have no clear right or wrong answer and emphasized the distinction between management and leadership. He recalled being dismissed from American Airlines a decade ago, describing the experience as a “betrayal” that prompted him to prove himself elsewhere and shaped his approach at United.
On economic policy, Kirby warned that wealth inequality poses a societal risk and suggested the United States consider a national wealth tax and inheritance taxes that approach 100 percent at high levels, stating he would personally pay such taxes. He also expressed optimism about the country’s future and said people across the political spectrum want to act in the nation’s best interest.
Regarding travel habits, Kirby said he flies commercially most of the time to observe United’s product and competitors, and he only occasionally uses private aircraft because of potential public-relations concerns. He also noted that artificial intelligence, while powerful, is currently in an investment bubble that may not generate expected revenue.
"There are some customers who want to sit in a window seat or a better seat, and that costs money to deliver," Kirby said.
"We should have a national wealth tax and inheritance taxes that get close to 100 percent at some level, and I would pay them," he added.
Kirby concluded that better segmenting customers has helped legacy carriers achieve profitability despite historically low fares, and he argued that the industry’s financial model relies on higher-paying passengers and loyalty programs to offset losses on lower-priced tickets.