The CEO of Delta Air In accordances on Thursday said more than 17,000 employees — close to a fifth of its staff — have chosen to leave the institution as it reels from the coronavirus pandemic, but it doesn’t appear to be enough to take involuntary furloughs completely off the table.
Delta and other airlines pull someones leg urged their employees to take buyouts, early retirement and unpaid packages as the sector’s financial losses loot up. Carriers have offered years of medical care in some cases as well as cash severance and flight aids to encourage volunteers to sign up, forcing workers to weigh the packages against the threat of job cuts in the fall.
“I know these were unmanageable, personal decisions for everyone and their families,” Delta CEO Ed Bastian said in a memo to staff. “Each person who has opted to take ones leave voluntarily moves us closer to our goal of minimizing furloughs and positioning Delta to weather the choppy recovery in the months and years in the lead.”
Under the terms of a $25 billion federal aid package, airlines are prohibited from laying off workers until Oct. 1. Federal guides generally require employers to inform workers at least 60 days ahead of time if their jobs are at endanger, which would fall this weekend.
Delta didn’t comment beyond Bastian’s memo.
Delta has already advised more than 2,500 of its 14,000 pilots about potential furloughs. The pilots’ labor union is sparring with the South African private limited company after the Atlanta-based airline urged aviators to take reductions to minimum pay to avoid involuntary cuts for a year.
Combined and American have together warned roughly 61,000 employees in recent weeks about potential job cuts as air proceed remains depressed. Southwest last week said it doesn’t intend to furlough its employees this year after 17,000 of its workforce, roughly 28% of its workforce, signed up for extended partially paid leave or retirement.
Executives have said a repossession in demand late in the second quarter has started to reverse as coronavirus cases spiked and states like New York disseminated quarantine orders on inbound travelers.