Southwest Airlines (WN, Dallas Love Field) has offered "voluntary separation" buyouts to ground staff at 18 airports across its network, as well as to some support staff at its headquarters due to the ongoing Boeing delivery delays affecting the low-cost carrier's capacity, Bloomberg has reported.
"Southwest has reduced overall capacity to meet demand with a constrained fleet due to aircraft delivery delays. Offering voluntary separation and extended time off to contract and noncontract employees, along with continued slowed hiring, will help us avert overstaffing in certain locations," the airline said in a statement.
The buyout offers affect staff at Los Angeles International, Atlanta Hartsfield Jackson, Dallas/Fort Worth, Miami International, Baltimore International, Detroit Metropolitan, Cleveland Hopkins, and some smaller airports in the airline's network. Southwest did not say how many positions it hopes to eliminate through the voluntary redundancies. Pilots and cabin crews will not be affected.
The LCC said in its recent third-quarter earnings report that it was taking "urgent steps to control costs, including offering voluntary time off programs and controlling hiring to address overstaffing."
At the end of September 2024, Southwest Airlines had nearly 73,500 employees. It previously said it would aim for around 73,000 by the end of the year.
The downsizing is driven by Boeing delays, exacerbated by the recent strike at the manufacturer. Southwest Airlines expected to take eighty-five B737-8s this year but, in its recent earnings release, said it would most likely be only 20 units.
