The Hammer Falls: Delta To Cut Up To 7,000 Jobs | Aero-News Network
Aero-News Network
RSS icon RSS feed
podcast icon MP3 podcast
Subscribe Aero-News e-mail Newsletter Subscribe

Airborne Unlimited -- Most Recent Daily Episodes

Episode Date

Airborne-Monday

Airborne-Tuesday

Airborne-Wednesday Airborne-Thursday

Airborne-Friday

Airborne On YouTube

Airborne-Unlimited-02.10.25

Airborne-NextGen-02.11.25

Airborne-Unlimited-02.12.25

Airborne-AffordableFlyers-02.13.25

Airborne-Unlimited-02.07.25

Thu, Sep 09, 2004

The Hammer Falls: Delta To Cut Up To 7,000 Jobs

Move Should Save $5 Billion By 2006

Delta Airlines CEO Gerald Grinstein tipped his hand Wednesday, announcing the company will lay off as many as 7,000 workers in hopes of saving $5 billion within the next two years.

"As we are today we cannot compete effectively and succeed long-term in the marketplace," Grinstein said in a webcast on Wednesday.

Grinstein (right) called bankruptcy "a real possibility," saying Delta will eliminate most flights at its hub in Dallas, while beefing up service to Atlanta, Cincinnati and Salt Lake City. Song, Delta's low-cost subsidiary, would increase its fleet by about a third.

The airline is also cutting down on the types of aircraft it flies. Grinstein told the webcast he's retiring four of the 12 aircraft types now in service. Workers will have to pay for a bigger share of their health care.

"He's made the very tough decisions," said airline management professor Darryl Jenkins at Embry-Riddle Aeronautical University in Daytona Beach (FL). His comments came in an interview with Bloomberg. "Now that the plan is on the table everything will move faster" in contract talks with pilots.

Delta pilots have been very reluctant to jump on the contract concessions bandwagon. Where the airline has asked for 30-percent pay cuts, the pilots have offered no more than nine-percent. Grinstein says Delta needs to get $1 billion/year concessions out of its pilots. The union says Grinstein is trying to "gouge" its members.

"If all the pieces don't come together in the near term, we will have to restructure through the courts," Grinstein said in a prepared statement.

FMI: www.delta.com

Advertisement

More News

ANN's Daily Aero-Term (02.11.25): Handoff

Handoff An action taken to transfer the radar identification of an aircraft from one controller to another if the aircraft will enter the receiving controller's airspace and radio >[...]

ANN's Daily Aero-Linx (02.11.25)

Aero Linx: P-47 Thunderbolt Pilot's Association The P47Pilots.com website is dedicated to preserving the memories of the men and women who flew the P-47 Thunderbolt "Jug" in World >[...]

ANN FAQ: Q&A 101

A Few Questions AND Answers To Help You Get MORE Out of ANN! 1) I forgot my password. How do I find it? 1) Easy... click here and give us your e-mail address--we'll send it to you >[...]

NTSB Final Report: SlipStream International Genesis

Airplane Veered Left Of The Runway And Struck Trees Before It Came To Rest In A Grass Area Analysis: The student pilot was conducting a solo flight when he was unable to keep the a>[...]

Airborne 02.05.25: No Outs 4 ATC, Sporty's Acquires, 'Black' Boxes

Also: NOTAM System Restored, Textron Mil Trainers, Axiom Space, Police Rescues Cirrus Pax The Trump administration’s attempt at downsizing the federal workforce has run into >[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

© 2007 - 2025 Web Development & Design by Pauli Systems, LC