Southwest Air Says Flyer Numbers Need to Triple to Avoid Layoffs
- Move would be carrier’s first involuntary job cuts ever
- We can’t rule them out in ‘really bad environment,’ CEO says
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Southwest Airlines Co. needs passenger numbers to triple by year-end if it’s going to avoid the carrier’s first ever involuntary job cuts, its chief executive officer said, even as rising coronavirus infections prompt some states to restrict travel.
Southwest employees have until Wednesday to apply for voluntary separation or extended time off to help reduce spending on labor, the largest expense for airlines. Although some workers took previous shorter-term options, the carrier remains overstaffed for current operations, CEO Gary Kelly warned employees on Monday.