A Southwest Airlines aircraft takes off from Hollywood Burbank Airport in Burbank, California on July 25, 2024.
Mario Tama |
Southwest Airlines plans to reduce flights to and from Atlanta next year, cutting more than 300 pilot and flight attendant jobs, according to a company memo seen by CNBC.
The changes come a day before Southwest’s investor day, when executives will outline the company’s plans to cut costs and increase revenue amid increasing pressure from activist investor Elliott Investment Management.
Southwest told employees that it would not close its crew base in Atlanta. Instead, it would lay off up to 200 flight attendants and up to 140 pilots for the application month of April 2025.
Southwest is not laying off workers, but will likely have to compete for contracts from other cities.
According to a separate memo from the pilots’ union, Southwest will reduce its presence in Atlanta from 18 to 11 gates next year.
“While we try everything we can before making difficult decisions like this, we simply cannot afford continued losses and must make this change to restore our profitability,” Southwest said in its memo. “This decision in no way reflects on the performance of our employees and we are proud of the hospitality and efforts they have and will continue to provide for our customers in ATL.”
The airline’s COO told employees last week that “difficult decisions” had to be made to increase profits.
The reduction in Atlanta, the world’s busiest airport and Delta Air Lines The most recent change at the airline is its home airport. In July, Southwest announced it would eliminate open seat selection and introduce more legroom on its planes, the biggest changes in the airline’s more than 50-year history.
