Florida-based low-cost carrier Spirit Airlines has cut a deal with its pilots’ union to save around 600 pilot positions, when US federal aid expires in October.
Under the agreement, around half of the airline’s 2,500 pilots will work fewer hours, a cost-cutting measure that will save Spirit being forced to hand out involuntary redundancies, according to the Air Line Pilots Association.
Prior to cutting the deal, Spirit said it could furlough up to 2,500 employees, including through a number of voluntary redundancies.
Spirit had been receiving federal aid through the CARES Act, which specified that airlines must not enforce involuntary redundancies throughout the funding period, due to end of September.
The low-cost carrier is not alone in working with employees and unions in order to save jobs, through voluntary redundancies and leaves of absence.
JetBlue and Southwest have both struck similar deals that will delay any involuntary job cuts until at least 2021.
Meanwhile, American Airlines and Delta continue to negotiate with unions over potential job losses.
In Europe, Lufthansa recently cut a similar short-term deal to also save the jobs of 600 pilots, through reduced allowances and pension contributions.
