Southwest Airlines to cut 15% of corporate jobs as part of cost-saving plan

[Pelican Press 0]

This is the hidden content, please

• Sign In
• or
• Sign Up

Southwest Airlines to cut 15% of corporate jobs as part of cost-saving plan

(Reuters) – Southwest Airlines said on Monday it would cut about 15% of corporate jobs, or about 1,750 roles, as the U.S. budget carrier looks to reduce costs and streamline its organizational structure.

The reduction also includes leadership positions, Southwest said, adding it would eliminate 11 senior leadership roles – which represents 15% of the company’s senior management committee.

“This decision is unprecedented in our 53-year history … We are at a pivotal moment as we transform Southwest Airlines into a leaner, faster, and more agile organization,” said CEO Bob Jordan.

The layoffs, which the company expects to complete substantially by the end of the second quarter, are estimated to net $210 million in savings this year and full-year savings of $300 million in 2026.

The savings exclude an expected one-time charge in the first quarter of 2025 in the range of $60 million to $80 million, Southwest added.

The job cuts are part of Southwest’s previously announced plan to shore up sagging profits and improve its balance sheet. The company in September announced a three-year business plan including partnerships, vacation packages and aircraft *****-leasebacks.

The Dallas-based carrier last week named industry veteran Tom Doxey as its new chief financial officer, replacing Tammy Romo, who announced plans to retire in January.

Southwest last month reported fourth-quarter profits that surpassed Wall Street estimates, on the back of improved airfares and strong holiday travel demand.

Southwest’s shares have fallen about 10% so far this year, while peers Delta Air Lines and United Airlines have climbed more than 7%.

(Reporting by Deborah Sophia in Bengaluru; Editing by Lisa Shumaker and Nick Zieminski)

This is the hidden content, please

• Sign In
• or
• Sign Up

#Southwest #Airlines #cut #corporate #jobs #part #costsaving #plan

This is the hidden content, please

• Sign In
• or
• Sign Up

This is the hidden content, please

• Sign In
• or
• Sign Up

For verified travel tips and real support, visit: https://hopzone.eu/