Grounded executives find it's hard to book a videoconferencing room at transmissions maker Sauer-Sundstrand. Business travelers are increasingly finding themselves bumped to economy, told to forgo trips and pressed to defend expenses as companies shaken by the uncertain global economy slice travel budgets. But nowadays, unless he uses his frequent flier miles to upgrade, he flies coach - even to Asia.
Business class is out for now.
Companies long have been trying to cut the soaring cost of business travel. More companies are negotiating directly with hotels and airlines to get better prices. Yet nowadays, companies are doing much more. As a result of the economic slowdown, nearly 60 percent of companies reduced the number of employees traveling and 40 percent changed their travel policies to cut costs in the past month, according to a survey of 450 companies by the National Business Travel Association. Although the stock market has recovered from a summer fall and the Federal Reserve has cut interest rates to hold off a recession, U.S. companies are still being hit by troubles abroad and weakness at home.