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Sat, Jan 17, 2009

Airline Employment Continues To Fall

Worker Ranks Down 6.5 Percent From November 2007

On Thursday, the US Department of Transportation's Bureau of Transportation Statistics reported passenger airline traffic continued to drop through 2008.. so it's not surprising to hear airline employment numbers are falling, too.

Scheduled US passenger airlines employed 6.5 percent fewer workers in November 2008 than in November 2007, the fifth consecutive decrease in full-time equivalent employee (FTE) levels for the scheduled passenger carriers from the same month of the previous year and the largest year-to-year decrease since November 2005.

The November FTE total of 392,185 for the scheduled passenger carriers was the lowest total since 1993. FTE calculations count two part-time employees as one full-time employee.

All the network airlines decreased employment from November 2007 to November 2008, as did low-cost carriers AirTran Airways, Spirit Airlines and Frontier Airlines. Regional carriers American Eagle Airlines, SkyWest Airlines, ExpressJet Airlines, Comair, Horizon Air, Mesa Airlines, Executive Airlines, and PSA Airlines also reported reduced employment levels compared to last year.

American Airlines employed the most FTEs in November among the network carriers, Southwest Airlines employed the most among low-cost carriers, and American Eagle employed the most among regional carriers. Seven of the top 10 employers in the industry are network carriers.

Within the group, all network carriers decreased FTEs from November 2007 to November 2008: United Airlines, 10.7 percent; Delta Air Lines; 7.2 percent, Northwest Airlines, 5.9 percent; US Airways, 5.0 percent; American, 4.3 percent; Continental Airlines, 4.3 percent; and Alaska Airlines, 2.3 percent (Table 9).

Low-cost carrier FTEs declined 2.8 percent in November from November 2007. Four low-cost carriers reported year-to-year increases: Virgin America, 74.9 percent; Allegiant Airlines, 17.2 percent; Southwest, 4.6 percent; and JetBlue Airways, 2.8 percent. AirTran, Spirit and Frontier reported year-to-year FTE decreases.

Regional carrier FTEs were down 6.0 percent in November 2008 compared to November 2007. ExpressJet, down 31.6 percent, and PSA, down 28.3 percent, reported the largest decreases in the regional group. Mesaba Airlines and Air Wisconsin reported sizable increases in the group.

FMI: Read The Full Report

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