Southwest Airlines Layoffs: 1,400 In SF, Vegas To Be Laid Off Starting Dec. 15
KEY POINTS
- Southwest Airlines to lay off 384 employees in Las Vegas
- The airline is expected to furlough 1,000 staffers in San Francisco, Oakland and San Jose
- The cuts would offset over $1 billion in overstaffing costs
Southwest Airlines could lay off more than 1,400 employees in San Francisco and Las Vegas as the coronavirus pandemic continues to eat away at air travel.
The layoffs, which would begin Dec. 15, will affect 384 employees of Las Vegas’ McCarran International Airport, and include customer service agents and ramp and freight agents.
Pilots and flight attendants will also be furloughed beginning April 2021, according to the letter the airline submitted to the Nevada Department of Employment, Training, and Rehabilitation. It is unclear how long the furlough will last, 8 News Now reported.
“The COVID-19 pandemic has devastated domestic air travel and tourism. As a result, Southwest Airlines has lost billions of dollars in revenues since the pandemic began,” Julie Weber, Southwest Airlines Chief VP, wrote in the letter.
In San Francisco, Oakland and San Jose airports, Southwest is expected to temporarily furlough 1,000 employees starting March 2021. The furlough would affect 158 employees at San Francisco International Airport and 285 at Norman Y. Mineta San Jose International Airport.
Southwest Airlines’ plan would also be detrimental for at least 739 staffers at Oakland International, including 231 flight attendants, Biz Journals reported.
The cuts aim to offset the company’s anticipated overstaffing costs, which are expected to amount to $1 billion. However, the furloughs could be prevented if the airline can work out an agreement with unions that would give employees lower pays in exchange for immunity from layoffs, or if the U.S. government approved another stimulus bill with aid for the crippled airline industry.
Earlier this month, Southwest Airlines warned that 7,000 employees could be laid off if labor unions failed to accept its concessions. The airline asked unions to agree to 10% pay cuts to prevent furloughs through 2021. However, many unions said there were other cost-saving strategies.
While the airline could not make progress with unions representing flight attendants and pilots, it has reached agreement with unions of staff meteorologists and flight dispatchers.
"We are willing to continue negotiations quickly to preserve jobs if we can achieve the support that allows Southwest to combat the ongoing economic challenges created by the decline in demand for air travel," Russell McCrady, vice president of labor relations at Southwest Airlines said.
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