May Cost As Many As 264 Jobs
Delta Air Lines has made
good on its promise to shift regional jet operations to more
cost-efficient carriers, even if it means taking away business from
its own low-cost subsidiary. On Tuesday, Delta announced it will
reassign 12 CRJ700 regional jets from Comair, to SkyWest early next
year.
Comair officials would not confirm a report in the Cincinnati
Enquirer the loss of those jets could mean the elimination of as
many as 264 jobs at the bankrupt regional carrier. They did,
however, say each 70-seat jet represents 11 pilot jobs, as well as
employment of 11 flight attendants -- so the math adds up.
St. George, UT-based SkyWest will take over operations of the
CRJ700s that fly dozens of flights out of Cincinnati/Northern
Kentucky International Airport. (In the "adding insult to injury"
category, Comair is based at that airport.)
SkyWest operates its namesake airline, as well as Atlantic
Southeast Airlines -- which it purchased from Delta in September
2005, two weeks before that carrier filed for Chapter 11
bankruptcy.
"SkyWest or ASA will be operating those aircraft and those
routes," said Delta spokeswoman Gina Laughlin. "It will be business
as usual for customers."
As Aero-News reported, Delta
put approximately one-fifth of its regional routes up for bid in
August, in order to trim costs and help the mainline operator exit
bankruptcy. Analysts said the move was meant to put
pressure on Comair to cut its rates.
Comair maintained its prices were as low as they could go --
especially as that airline struggled to win pay concessions from
its pilots. The two sides are scheduled to meet in bankruptcy court
at the end of November, as Comair seeks to impose a new contract on
the pilots.
Whatever the outcome of that meeting, it will happen too late
for 12 of Comair's former planes... and that may be only the
beginning.
"Today's news underscores the importance of completing our
restructuring in all areas of our business," Comair president Don
Bornhorst wrote in a memo to employees. "We cannot retain what we
have or put ourselves in position to grow with Delta or other
mainline carriers without achieving competitive costs across our
business."
Bornhorst added he hopes negotiations with pilots will bear
fruit, so the company can regain a competitive edge -- and not only
retain its remaining routes, but perhaps win back business lost to
other carriers.