Thu, Jun 05, 2008
May Displace Or Furlough Big Part Of Workforce
Spirit Airlines says it may lay off or move up to 60 percent of
its flight attendants and 45 percent of its pilots in an effort to
cut costs to counter high fuel prices.
The Associated Press reports that in legally required
notifications to its unions, the airline -- which is based in
Miramar, FL -- said it plans to close hubs at New York LaGuardia
and San Juan, Puerto Rico, and shrink its main Fort Lauderdale hub
by August 1. Spirit says it's also closing its Detroit hub for
flight attendants.
VP of Flight Operations Jeff Carlson writes the airline may
decide to furlough or displace up to 448 flight attendants and 242
pilots. That doesn't sound like a big number in the airline world,
but Spirit's total pilot workforce is only about 540.
Sean Creed is chairman of the Spirit Airlines pilots union. "To
say I am disappointed would be an understatement," he said. "We are
devastated."
Corey Caldwell, a spokeswoman for the Association of Flight
Attendants, cautions the numbers are worst-case scenarios. "It's
likely the ultimate number will be less, but it kind of popped out
of nowhere."
Spirit CEO Ben Baldanza said the letters were just precautionary
steps, and that an improvement in market conditions could change
things.
"If oil prices move up, you are going to see things move
faster," Baldanza said. "If oil prices move down, things are going
to move slower."
The company says it will watch fuel prices and profits through
the Hurricane season, typically a slow season for its Caribbean
fleet, before making a final decision on the changes.
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