Southwest to Cut Atlanta Flights Amid Profit Push, Sparking Union Backlash

Caribbean News…
26 September 2024 5:38pm
Southwest Airlines

(AP) — Southwest Airlines has announced plans to reduce approximately one-third of its flights to Atlanta next year as part of a broader effort to cut costs and boost profitability. Under pressure from hedge fund Elliott Investment Management, the airline aims to streamline its operations by cutting unprofitable routes. The move will result in the elimination of more than 300 jobs for pilots and flight attendants, although impacted employees will have the option to relocate.

The airline’s decision comes as it struggles to reverse declining profits and improve its stock performance. Tiffany Laurent, an Atlanta-based Southwest official, stated in a memo that demand for Atlanta flights no longer supports the current level of service. “While we tried everything before making hard decisions like this one, this change is necessary to help drive us back to profitability,” she explained.

The changes will see Southwest reduce its presence at Hartsfield-Jackson Atlanta International Airport from 18 to 11 gates, cutting 58 daily flights. The news has upset the Southwest Airlines Pilots Association, which expressed frustration at the airline’s retreat from a key market. “It’s incredible that an airline with such a strong network is now retreating from Atlanta due to management’s failure to innovate,” the union wrote in a memo to pilots.

Flight attendants are similarly outraged. Bill Bernal, president of the Transport Workers Union local representing flight attendants, accused Southwest of breaking promises to expand in Atlanta. “This is gaslighting at its finest,” Bernal said, criticizing the decision as another instance of poor management.

Despite the retreat in Atlanta, Southwest is expanding elsewhere. The airline’s updated schedule for 2024 includes new routes from Nashville to six cities and five new red-eye flights from Hawaii to Las Vegas and Phoenix, set to begin in April. The company has also signaled a shift in its approach, with plans to introduce seat assignments and premium seating with more legroom.

Southwest's recent cost-cutting efforts have included pulling out of four smaller markets and limiting hiring, driven in part by delays in aircraft deliveries from Boeing. The airline’s executives are expected to unveil further changes during an investor meeting this week.

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