United Airlines Issues Layoff Notices to 36,000 Workers

By Paul Riegler on 8 July 2020
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United Airlines warned 36,000 employees, approximately 45% of its customer-facing workforce, of impending layoffs that would happen on or after October 1 of this year.

Flight attendants and gate agents account for 26,000 of the 36,000.

“After months of aggressive cost-cutting and proactive capital-raising, today we updated employees about a topic we’ve always dreaded and the action that was always a last resort in the context of this COVID-19 pandemic: involuntary furloughs,” the statement began.

It continued, “The reality is that United simply cannot continue at our current payroll level past October 1 in an environment where travel demand is so depressed. And involuntary furloughs come as a last resort, after months of company-wide cost-cutting and capital-raising.”

The airline had said on Tuesday that it expects an uneven recovery in the travel sector and has warned employees for months that mass layoffs would be necessary.

United is not allowed to lay workers off until October 1 as part of the terms it agreed to to receive a federal bailout.

The notices are being sent to more workers than will likely be laid off  as employees continue to accept voluntary separation agreements.

(Photo: Accura Media Group)

Accura News

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