National

Whats Next

Axios What's Next

Even new conveniences like pre-scheduled TSA check-in or self-tagging baggage kiosks can't make up for the biggest problem plaguing airports: overcrowding. 

Why it matters: It's 2019 all over again. After a brief, blissful period during the pandemic when passengers could breeze through security checkpoints, baggage claims and restaurants, airports are again a source of frustration, according to J.D. Power's latest annual Airport Satisfaction Study.

And the misery will likely continue into next year, says Michael Taylor, travel intelligence lead at J.D. Power. 

Driving the news: Overall customer satisfaction with North American airports fell 25 points, for a score of 777 out of 1,000 this year, as passenger volume returned nearly to normal, J.D. Power found.

Details: The Airport Satisfaction Study looks at six factors: terminal facilities; airport arrival/departure; security check; check-in/baggage check; baggage claim; and food, beverage and retail. Some of this year's key findings include:

Crowds are back to pre-pandemic levels: 58% of airport travelers described the terminal as severely or moderately crowded, nearly in line with 2019.

Inflation hit the airport: 24% of travelers said they did not purchase any food or beverages at the airport due to high costs. That's up from 20% in 2021 and 23% in 2019. 

There's nowhere to park: A shortage of spaces caused a 45-point drop in satisfaction from 2021. Meanwhile, 14% of travelers said parking was more expensive than they expected, up from 12% in 2021 and 11% in 2019. 

How they ranked: Minneapolis-Saint Paul International Airport had the highest passenger satisfaction score among major airports, at 800.

San Francisco International Airport was second, while Detroit Metropolitan Wayne County Airport tied with New York's John F. Kennedy International Airport for third. 

Newark Liberty International Airport, which has been plagued with delays over the past year, ranked last — and well below other major airports. 

The intrigue: Construction has a significant effect on airport satisfaction. 

New York's LaGuardia, which President Biden once maligned as a "Third World" airport, saw a significant bump — almost 100 points — after opening a gleaming new terminal.

What they're saying: "The combination of pent-up demand for air travel, the nationwide labor shortage, and steadily rising prices on everything from jet fuel to a bottle of water has created a scenario in which airports are extremely crowded and passengers are increasingly frustrated," Taylor said. 

"In some ways, this is a return to normal as larger crowds at airports tend to make travelers more frazzled. But in cases where parking lots are over capacity, gates are standing room only, and restaurants and bars are not even open to offer some reprieve, it is clear that increased capacity in airports can't come soon enough."

Everyone hates the airport again

Overcrowding, high prices and other issues are plaguing airports nationwide.

Image of passengers waiting for delayed flights at Newark Liberty International Airport

Travelers wait at Newark Liberty International Airport. Photo: Jeenah Moon/Getty Images

Airports

Transportation

After a record economic expansion, the coronavirus pandemic sent the U.S. economy into a recession as unemployment soared to staggering heights. The country now faces urgent questions about how much stimulus is needed for reeling consumers and businesses, and what a recovery might look like.

Economy & Business

Markets

Axios Markets

Speaking in the Rose Garden on Thursday, President Biden thanked the negotiators who brokered a last-minute deal averting a railroad strike that would have crippled the nation's still recovering supply chains.

Why it matters: Biden's handling of the negotiations between the rail companies and their unions marked a pivotal moment for the administration, which had to balance its pro-labor stance with the need to avoid an economically disastrous strike ahead of the midterms.

"Together we reached an agreement that will keep our critical rail system working and avoid disruptions of our economy."

"Today is a win," he said. "This agreement is validation of what I've always believed — unions and management can work together." 

As he returned to the Oval Office, he answered a shouted question about grocery prices being up more than 13 percent this year. "Rail's moving and it's not going to go up," Biden replied.

Catch up quick: Biden himself got involved in the talks, making a "crucial call" to the negotiating parties last night at around 9 p.m., according to a source familiar with the situation.

Negotiations in Washington went on for 20 straight hours on Wednesday, the president said. "The negotiators here today I don't think they've been to bed yet."

The key sticking point for the holdout unions had been sick leave, something that reportedly struck a nerve with the president, the Washington Post reports.

"Biden had grown animated in recent days about the lack of scheduling flexibility for workers, expressing a mixture of confusion and anger that management was refusing to budge on that point," the paper reports.

What's next: The 12 railroad worker unions need to vote to approve the tentative deal, which includes a provision for some unpaid time off for workers who need routine or preventative medical care, according to a statement from one of the unions. 

The deal sets an important precedent for these unions, which have historically not bargained for leave at this level of negotiations.

Yes, but: The deal does not eliminate a scheduling system put in place by the railroad companies, called Hi-Viz, which workers have said is particularly grueling. And the agreement only provides union members with a single paid sick day.

Biden declares tentative rail agreement a "win"

President Biden shakes hands with Secretary of Labor Marty Walsh after speaking about the railway labor agreement on Sept. 15. Also pictured (left to right): Deputy Secretary of Labor Julie Su, OMB Made in America Director Celeste Drake, and Director of the National Economic Council Brian Deese. Photo: Jim Watson/AFP via Getty Images

Rail transport

President Biden has made the COVID-19 crisis and a post-Trump return to national unity and traditional democratic ideals his top priorities. From vaccinations to stimulus to schools, Biden is seeking bipartisan compromise while showing a willingness to use executive authority and bare Democratic majorities in the U.S. House and Senate to implement his policies. Republican leaders are navigating deep party divisions over if and how to move beyond former President Trump.

Politics & Policy

Rail carriers and union officials on Wednesday met with Labor Secretary Marty Walsh in Washington in an attempt to reach an agreement to avoid a looming freight rail strike.

Why it matters: The first national rail strike in 30 years could occur if the parties don't reach an agreement by Friday when a federally-mandated cooling-off period expires.

A national rail strike could shut down U.S. cargo shipments, cost the economy as much as $2 billion per day and bring transportation to a grinding halt, impacting supply chains in U.S. agriculture, energy, manufacturing and retail sectors, Axios' Emily Peck writes.

The details: The majority of the 12 railroad unions have reached tentative deals with rail companies, per CNBC. Two labor unions representing engineers and conductors — the Brotherhood of Locomotive Engineers and Trainmen (BLET) and SMART Transportation Division —  remain in disagreement in negotiations.  

Outstanding issues include points-based attendance policies for conductors and engineers that penalize them for routine doctor visits or family medical emergencies, the Washington Post reports.

BLET president and top negotiator Dennis Pierce warned that 10% of the workforce could leave if the issues aren’t resolved before the Friday deadline, per CNBC.

A strike could affect about 60,000 workers and idle more than 7,000 trains.

Of note: The International Association of Machinists and Aerospace Workers’ District 19 — one of the first unions to reach an agreement with the railroads — on Wednesday voted to reject the agreement.

In an effort to not disrupt other unions in the ratification process, an extension has been agreed to until Sept. 29 at 12 p.m. ET., IAM District 19 said in a statement.

What they're saying: “Secretary Walsh continues to lead discussions at the Department of Labor between the rail companies and unions. The parties are negotiating in good faith and have committed to staying at the table today,” a Department of Labor spokesperson told Axios on Wednesday. 

Zoom out: As negotiations continue, here's how some rail companies are responding ahead of the deadline:

Amtrak on Wednesday canceled all long-distance trains starting Thursday in anticipation of a rail strike.

BNSF Railway stopped moving refrigerated units into inland facilities on Wednesday, CNBC reports.

Norfolk Southern on Sunday began issuing embargoes for certain types of shipments. 

The big picture: The crisis serves as a test for the pro-labor Biden administration, as it scrambles to avoid a work stoppage and major disruptions to the economy. 

President Biden was in conversations with both rail unions and companies earlier this week, Press Secretary Karine Jean-Pierre said Wednesday during a press briefing.

Go deeper: Possibility of railway and port strikes threaten supply chain recovery

Railroad unions meet with Labor Department in effort to avert national strike

Freight trains travel through Houston on Sept. 14. Photo: Brandon Bell/Getty Images

Economy

Jobs

Amtrak canceled all of its long-distance routes starting Thursday in response to a potential railroad workers strike.

Why it matters: It's the latest disruption stemming from the looming labor strike that could start as soon as Friday, which would lead to a shutdown of most of the country's railway system. It would be the first U.S. railway strike in nearly three decades. 

It is not expected to affect Northeast Corridor, as it is primarily owned by Amtrak.

Amtrak workers are not involved in the labor dispute between the country's largest freight railroad companies and their workers, but most of the passenger railroad's long routes use track owned and maintained by the freight railroads.

The big picture: The labor dispute is between BNSF, Union Pacific and CSX and the majority of the unions representing around 115,000 workers. 

Ongoing talks between the freight companies and the workers have been led by the White House.

The unions have threatened a strike if their requests regarding labor conditions and pay are not heard, and sick time policies have been the primary impasse throughout the talks so far. 

What they're saying: "While we are hopeful that parties will reach a resolution, Amtrak has now begun phased adjustments to our service in preparation for a possible freight rail service interruption later this week," Amtrak said in a statement Wednesday.

"Such an interruption could significantly impact intercity passenger rail service, as Amtrak operates almost all of our 21,000 route miles outside the Northeast Corridor (NEC) on track owned, maintained, and dispatched by freight railroads. These initial adjustments include canceling all Long Distance trains and could be followed by impacts to most State-Supported routes."

Go deeper: With rail strike looming, two unions are holding out

Editor's note: This story has been updated with new details throughout.

Amtrak cancels all long-distance trains ahead of potential railway strike

It uses railway track owned and maintained by freight railroads involved in a labor dispute.

Amtrak trains at a rail in Chicago on Sept. 13.

Amtrak trains at a rail in Chicago on Sept. 13. Photo: Scott Olson/Getty Images

trains

Congress would act to avert a national railway strike, House Majority Leader Steny Hoyer (D-Md.) said Monday on Bloomberg Television.

Why it matters: A shutdown of the nation's rail system threatens to re-tangle supply chains in the U.S. and could cost up to $2 billion a day, according to an industry estimate.

Amtrak announced Monday that it will be halting trains on three long-distance routes starting Tuesday, per the Washington Post.

What they're saying: “There is a role for Congress if in fact they fail to reach an agreement,” Hoyer said on Bloomberg's "Balance of Power" show. “We can pass legislation if needed."

"A shutdown of our freight rail system is an unacceptable outcome for our economy and the American people," a White House official said in a statement to Axios.

"The Administration has been actively engaged, pushing for a resolution. All parties need to stay at the table, resolve outstanding issues and come to an agreement."

Where it stands: Negotiations continued over the weekend between the country's largest freight railroad companies — including Berkshire Hathaway's BNSF, Union Pacific and CSX — and the majority of the unions representing around 115,000 workers.

They have until Friday when a "cooling off period" will run out and workers could strike.

Congress may step in to avert national railway strike

A shutdown of the nation's rail system could cost $2 billion a day.

A Norfolk Southern freight train as seen on Jan. 27, 2021. Photo: Ben Hasty/MediaNews Group/Reading Eagle via Getty Images

Labor

United Airlines announced Thursday it will invest $15 million into electric aircraft company Eve Air Mobility and purchase 200 of its electric air taxis with options to buy 200 more.

Why it matters: The airline is heavily investing in electric vertical take-off and landing vehicles (eVTOLs), which could one day provide a cheaper, faster and cleaner mode of transportation.

The vehicles use electric motors instead of combustion engines, need less space for take-off and landing and could be used to taxi passengers or transport cargo around major cities from rooftop to rooftop.

United said it believes eVTOLs can help it reach its goal of achieving net-zero carbon emissions by 2050 and "have the potential to revolutionize the commuter experience in cities around the world."

The airline said it is expecting the first deliveries from Eve, a Brazilian startup subsidiary of Embraer, as early as 2026.

Thursday's announcement comes after United invested $10 million in Archer Aviation for 100 of its initial production eVTOLs.

What they're saying: "United has made early investments in several cutting-edge technologies at all levels of the supply chain, staking out our position as a leader in aviation sustainability and innovation," Michael Leskinen, president of United Airlines Ventures, said in a statement Thursday.

 "Today, United is making history again, by becoming the first major airline to publicly invest in two eVTOL companies," Leskinen added.

"United's investment in Eve reinforces the trust in our products and services and strengthens our position in the North American market," said Andre Stein, co-CEO of Eve. 

The big picture: eVTOL startups like Eve still face major technical and regulatory hurdles, as many of them still need certification from aviation regulators for their prototype vehicles, Axios' Joann Muller reports.

United said its investment in Eve "was driven in part by confidence in the potential growth opportunities in the [urban air mobility] market" and its relationship to Embraer.

Go deeper: In Las Vegas, your Lyft driver could soon be a robot

United doubles down on electric air taxis

The airline is heavily investing in electric vertical take-off and landing vehicles.

An artist's rendition of a United Airlines flying taxi over a city.

An artist's rendition of a United Airlines flying taxi over a city. Photo illustration: United Airlines

United Airlines

Detroit

Axios Detroit

It can take as little as under a minute to steal some Hyundai and Kia models, and it's happening all across the country. 

Why it matters: The widespread problem is attributed to design flaws in the cars, forcing owners to resort — for now — to an old-fashioned steering wheel lock if they want to keep their vehicles safe.

 Hyundai is telling customers that if they want a specialized security kit to protect their vehicle, they'll need to pay for it. 

The equipment, a "starter interrupt and siren" that "targets the method of entry thieves are using," will be available starting Oct. 1 for Hyundai vehicles at an undisclosed cost, Hyundai said in a statement.  

Kia says it is not offering a security kit at this time.

How it works: Thieves bust a window and remove part of the steering column's cover, exposing the ignition. They break the ignition cylinder off and start the vehicle with a flathead screwdriver or USB plug-in. 

They're "just the perfect size to put in the opening," Sam Hussein, president of Metrotech Automotive Group auto repair in Dearborn, Mich., tells Axios. 

The method works on 2011-2021 Kias and 2016-2021 Hyundais that use a steel key, not a fob and push-button start. They are targeting cars that lack engine immobilizers — devices that don't allow the car to start without the correct smart key present, per the automakers.

Damage can run between $2,000-$3,000, Hussein estimates. And getting the car back may take a while, he says, as some parts are on backorder due to the increased demand.

The intrigue: Officials link some of the thefts to a trend shown in a viral YouTube video in Milwaukee that interviews members of the so-called "Kia Boys." They demonstrate how they purportedly steal the cars so quickly.

State of play: Some areas say Kias and Hyundais are disappearing in greater numbers this summer, including the Midwest, where a Kia spokesperson tells Axios the problem is most prominent. 

Detroit had 111 Kias stolen in July and 22 in the first nine days of August, per its police department. That's up from 23 in June and 11 or fewer in all previous months of 2022.

Charlotte, N.C., police report 156 Kia and Hyundai thefts since June 20, a 346% increase from 35 incidents in the same timeframe last year.

Per the NICB's 2021 Hot Wheels report, seven of the top 10 most stolen vehicles in Wisconsin were Kias or Hyundais. But none of those vehicles made the top 10 in the state in the 2020 report.

Meanwhile, the automakers are getting sued across the country, including a two-plaintiff class-action suit in Iowa, a class-action in Wisconsin and two class-action suits centering Ohio theft victims, per court records and law firms. 

Car owners allege a failure to disclose design defects that make the cars easy to steal. Now, despite admitting the problem, the companies still "refuse to fix them" or "compensate consumers," the Iowa suit reads. 

"Offering [a security kit] and then charging them to install it is not acceptable," Jeffrey Goldenberg, an attorney in a five-plaintiff suit of mostly Ohio residents filed earlier this month, tells Axios.  

What they're saying: Hyundai is aware its cars "have been targeted in a coordinated effort on social media," a statement provided to Axios says. The separate Kia and Hyundai brands share a parent company, Hyundai Motor Group.

Hyundai added that all its vehicles "meet or exceed Federal Motor Vehicle Safety Standards." Cars being produced now all have the immobilizers that make them tougher to steal. 

Worth noting: The "Kia Boys" influence is far from ubiquitous. Officials in Houston, Austin, Salt Lake City and Richmond, Va., tell Axios reporters they aren't seeing this trend. 

Zoom in: Richard Eldredge reported his 2019 Kia Soul stolen from the parking lot of his Midtown Atlanta apartment building on July 7, he tells Axios. The car was discovered the next day, damaged. He's now waiting on parts due to the supply-chain logjam. 

"Who on Earth would have thought that a dad-ride like a Kia Soul would have been targeted by teenagers?" the Atlanta journalist and senior editor at VOX ATL said. 

"It's [because it's] a social media trend and it's easy to do. Lamborghinis are a little tougher to rip off." 

Editor's note: This story was corrected to note that Hyundai Motor Group is the two brands' parent company, not Hyundai Motor Co.

Axios Local's Everett Cook edited this story, and Kim Bojórquez, Joe Guillen, Jay Jordan, Joann Muller, Karri Peifer, Asher Price, Katie Peralta Soloff and Thomas Wheatley contributed. 

Sign up for Axios Local, now publishing daily newsletters in 24 cities across the U.S.

Detroit Alerts

Detroit Members

A daily look at the most significant and interesting stories affecting Detroit.

Axios Detroit Thought Bubble

Thieves across America are stealing Hyundais and Kias in seconds

The widespread problem is attributed to design flaws in the cars.

Illustration of a burglar with a big car in a bag over his back. 

Automakers

Ford confirmed Monday it plans to eliminate roughly 3,000 white-collar and contract positions, primarily in the U.S., Canada and India.

Why it matters: It's the company's latest effort to cut costs as it refocuses on core products and growth opportunities, while making a long-term transition to electric vehicles.

The big picture: Ford first announced the cuts in an email to employees that was reviewed by the Wall Street Journal.

In the email, the company said it would begin notifying affected workers this week.

About 2,000 of the cuts will be salaried jobs at Ford, while the remaining 1,000 will be contract positions with outside agencies, primarily in North America.

What they're saying: “Building this future requires changing and reshaping virtually all aspects of the way we have operated for more than a century,” Ford CEO Jim Farley executive chairman Bill Ford said in the email.

"None of this changes the fact that this is a difficult and emotional time. The people leaving the company this week are friends and coworkers and we want to thank them for all they have contributed to Ford," he added.

"We have a duty to care for and support those affected — and we will live up to this duty — providing not only benefits but significant help to find new career opportunities."

Go deeper: EV prices charge ahead: Ford F-150 Lightning price spike highlights increases

Ford to cut around 3,000 jobs in U.S. and Canada

It's the company's latest effort to cut costs as it refocuses on core products and growth opportunities.

The Ford logo at a dealership in Colma, California, in July 2022.

Photo: David Paul Morris/Bloomberg via Getty Images

Ford Motor Company

More than 9,500 people died in motor vehicle-related traffic crashes in the first quarter of 2022, a roughly 7% increase from the same period in 2021, according to preliminary estimates released by the National Highway Traffic Safety Administration Wednesday.

Why it matters: The new data suggests U.S. roads are becoming increasingly deadly and that the country is on pace to have yet another annual increase in traffic fatalities. 

By the numbers: The 9,560 motor vehicle deaths also represented the highest number of first-quarter fatalities since 2002, the NHTSA said.

The fatality rate for the first quarter of 2022 increased to 1.27 fatalities per 100 million vehicle miles traveled, up from the projected rate of 1.25 fatalities per 100 million vehicle miles in the first quarter of 2021.

Though traffic deaths increased nationwide during the period, 19 states and Puerto Rico saw a decline in such deaths. The NHTSA said it is monitoring whether the decline was a result of actions taken by the states and Puerto Rico.

The country saw its highest number of traffic fatalities since 2005 last year.  The 42,915 traffic fatalities in 2021 was a 10.5% increase from 2020, when 38,824 deaths were reported. 2020's recorded deaths represented a 7.2% increase from 2019.

What they're saying:  “The overall numbers are still moving in the wrong direction," NHTSA administrator Steven Cliff said in a statement Wednesday. "Now is the time for all states to double down on traffic safety."

"Another new report of an increase in lives lost may feel a bit like Groundhog Day, but we must not become desensitized to the tragedy of roadway deaths," Jonathan Adkins, executive director of the Governors Highway Safety Association, also said in a statement.

The big picture: Paradoxically, traffic fatalities increased sharply throughout the coronavirus pandemic, even though fewer people were driving.

The Transportation Department released the federal government’s first-ever National Roadway Safety Strategy in January. It called for better safety standards in vehicles, such as automatic emergency braking and pedestrian automatic emergency braking.

Go deeper: Pedestrian fatalities rose post-pandemic lockdown

Over 9K people died in traffic accidents in 2022's first quarter

The new data suggests the U.S. is on pace to have yet another annual increase in traffic fatalities.

Law enforcement officials investigating a fatal crash at a gas station in Los Angeles on Aug. 4.

Lyft is adding a new fleet of electric, autonomous vehicles (AVs) to its ride-hailing network in Las Vegas, bringing it one step closer to offering a full robotaxi service.

Why it matters: It's the latest milestone in the partnership between Lyft and Motional, one of a half-dozen leading autonomous tech companies. 

Rather than designing its own self-driving cars, Lyft is partnering with others to bring AVs to its network. 

Details: Motional's new AV is based on Hyundai's electric Ioniq 5, customized for driverless ride-hail operation.

It's equipped with more than 30 sensors — cameras, radar and lidar — and an onboard computer system that helps the vehicle see and understand the world around it. 

Riders can unlock the doors via the Lyft app and start the ride using an intuitive passenger display in the rear seat. 

If needed, they can also use the screen to contact remote agents.

Of note: For now, two vehicle operators will be present in the front seat, but passengers can get a feel for what the robotaxi experience will be like. 

What's next: The service is set to become fully driverless in 2023, and will then scale to other cities.

In Las Vegas, your Lyft driver could soon be a robot

The service will eventually expand to other cities

A woman prepares to board an autonomous Lyft robotaxi in Las Vegas

Lyft and Motional are developing robotaxi service in Las Vegas. Photo courtesy of Motional

Autonomous vehicles

Automation and AI

From the Valley to D.C., Big Tech players like Facebook, Google and Amazon are under more scrutiny than ever as new technology develops and privacy and antitrust concerns grow in lockstep with companies’ ambitions.

All Transportation stories