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Tue, Apr 15, 2008

BTS: Airline Employment Rose For 13th Straight Month In February

But That Trend Might Not Last Much Longer

Given recent airline announcements of declining profits, bankruptcies, and mergers... this may be the last we see of such promising airline employment numbers for awhile.

On Tuesday, the US Department of Transportation’s Bureau of Transportation Statistics (BTS) reported US scheduled passenger airlines employed 3.0 percent more workers in February 2008 than in February 2007, the 13th consecutive increase in full-time equivalent employee (FTE) levels for the scheduled passenger carriers from the same month of the previous year.

The six network carriers all added FTEs from February 2007 to February 2008. All low-cost carriers except ATA Airlines, and regional carriers American Eagle Airlines, SkyWest Airlines, ExpressJet Airlines, Horizon Air, Pinnacle Airlines, Mesaba Airlines, Executive Airlines, Trans States Airlines, Shuttle America and GoJet Airlines increased their FTEs compared to last year.

Scheduled passenger airlines include network, low-cost, regional and other airlines. BTS notes many regional carriers were not required to report employment numbers before 2003, so year-to-year comparisons involving regional carriers, or the total industry, are not available for the years before 2003.

The six network carriers employed 249,800 FTEs in February, 59.7 percent of the passenger airline total, while low-cost carriers employed 22.9 percent and regional carriers employed 14.5 percent.

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

All the network carriers increased FTEs from February 2007 to February 2008. The year-to-year increases were Delta Air Lines 7.8 percent, Alaska Airlines 6.4 percent, Continental Airlines 4.1 percent, United Airlines 1.0 percent, American 0.9 percent, and Northwest Airlines 0.8 percent.

Among regional airlines, SkyWest and Mesaba reported the largest increases in the group. SkyWest employed 9.4 percent more FTEs in February 2008 than February 2007, while Mesaba employed 18.0 percent more. Regional carrier FTEs rose from 55,900 in February 2005 to 60,500 in February 2008, an increase of 8.3 percent.

Overall, the 12 regional carriers reporting employment data in both 2004 and 2008 employed 15.5 percent more FTEs in February 2008 than in February 2004. Of that group, Pinnacle reported the biggest gain, 80.6 percent, followed by SkyWest at 72.2 percent and ExpressJet at 29.2 percent. Atlantic Southeast Airlines, Air Wisconsin Airlines, Mesa Airlines and Executive Airlines reported fewer FTEs in February 2008 than February 2004.

Airlines that operate at least one aircraft with the capacity to carry combined passengers, cargo and fuel of 18,000 pounds -- the payload factor -- must report monthly employment statistics. Data are compiled from monthly reports filed with BTS by commercial air carriers as of April 9.

FMI: www.bts.gov

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