Bankrupt Carrier to Furlough Almost 400 More Pilots to Kick Off 2026

Spirit Airlines is at it again, announcing further cuts to its workforce as its long-running bankruptcy restructuring drags toward another year. The Fort Lauderdale-based carrier announced on October 16 that it will furlough 365 pilots in early 2026, marking another blow to a company already in survival mode after filing for Chapter 11 protection for the second time.

The move follows multiple earlier rounds of cuts, including the furlough of 330 pilots this past summer and another 270 planned for November. Spirit also confirmed that up to 170 pilots will be downgraded to lower ranks as part of what it calls “staff alignment” with its operations, which are also shrinking drastically. Spirit’s downsizing plan includes slashing nearly half of its Airbus fleet and closing several bases across the United States.

Despite the carrier’s optimism, many industry players see the chop as a desperate attempt to stay afloat after years of thin margins, fleet issues, and harsh competition. Spirit’s latest filing came after a short-lived rebound attempt earlier in 2025, when it emerged from its first bankruptcy with new management and a so-called “revitalized” business plan. The setup quickly bowed to the bigger and more stable airlines with better reputations in the same markets, forcing Spirit back to square 1.

When Spirit returned to bankruptcy court, it emerged with a $475 million debtor-in-possession financing package and a settlement with its largest lessor, AerCap. The deal gave the airline $200 million in immediate operating cash and allowed it to walk away from 27 leased aircraft. It also provided a one-time $150 million payment from AerCap.

The low-cost carrier may be better positioned for restructuring this time around, but that doesn’t make its savings efforts any less significant. Spirit plans to lay off 1,800 flight attendants by December and has already exited a dozen airport leases. Roughly a third of its 214-aircraft fleet remains grounded, and even with financial lifelines in place, the company’s long-term stability looks uncertain.

FMI: www.spirit.com