United Suspends Airport Job Cuts in Bid to Ease Labor Tension

  • Workers cited those moves as biggest concern, airline says
  • Shift follows new CEO's pledge to improve union ties
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United Continental Holdings Inc. told employees Friday that it’s suspending the outsourcing of airport jobs after the practice was cited as workers’ biggest concern.

Following 1,100 such reductions earlier this year to cut costs, United is now holding off on replacing employees with hires from outside the company at least until their union contracts become eligible for negotiation, according to a memo from Jon Roitman, senior vice president for airport operations. The change is effective immediately.