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Thu, Jun 05, 2008

Spirit Latest Airline To Hint At Job Cuts

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.

FMI: www.spiritair.com

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