Southwest offers buyouts to quarter of workers

[HockleyPilot]

Southwest offers buyouts to quarter of workers

By BILL HENSEL JR.
Copyright 2007 Houston Chronicle
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Southwest Airlines is offering a buyout package to more than a quarter of its employees as it strives to cut costs.
About 8,700 employees are eligible for the package, which includes a $25,000 payout, medical and dental benefits and travel privileges in some cases, Southwest spokeswoman Paula Berg said today.
Dallas-based Southwest, which said last month it was slowing its growth in capacity by adding fewer planes this year, has 2,866 employees in Houston and 33,000 total.
Southwest carries more than 80 percent of the passengers that move through Houston's Hobby Airport.
Among those eligible for the buyout are flight attendants, ramp agents, customer service agents and their supervisors.
The airline offered its only other employee buyout in 2004, Berg said, as the airline industry was still feeling the effects of the Sept. 11, 2001 terrorist attacks.
The airline has not had furloughs or layoffs, Berg said. "We have no plans for that," she said.
[email protected]

 

[atpcliff]

Hi!

Hopefully, most of them will take the buyout, and then there won't be any furloughs or paycuts for those who are left.

cliff
YIP

 

[CHQ Pilot]

Hopefully, most of them will take the buyout, and then there won't be any furloughs or paycuts for those who are left.

I don't think this is to avoid furloughs or paycuts. They're just trying to offer some incentive to eliminate some of the highest paid among their respective employee groups. They are still hiring and running new classes for FA, Ramp, and Customer Service Agents. Pilots aren't even eligible for the buyout. This isn't the first time they had this kind of offer either, so it's just another way SWA has found they can reduce long term costs.

 

[SWA GUY]

Hi!

Hopefully, most of them will take the buyout, and then there won't be any furloughs or paycuts for those who are left.

cliff
YIP

What a moron...

 

[atpcliff]

Hi!

I've never heard of a company offering buyouts unless they needed to improve their financial position, which meant that they weren't do as well as they'd like.

Is this somehow different?

For example, neither Toyota, Hyunday, or Honda is offering their employees buyouts, and they're doing very well financially.

The Big 3 are struggling, and they are offering plenty of buyouts.

cliff
YIP

 

[cfm56-7b]

Quote:
Originally Posted by atpcliff
Hi!

Hopefully, most of them will take the buyout, and then there won't be any furloughs or paycuts for those who are left.

cliff
YIP

What a moron...
__________________
Mongo merely pawn in game of life.

Has a good point, SWA's money is not any different then any one else.

 

[m80drvr]

No kidding

It surprises me that many at SWA feel that they are immune to what the rest of the industry has gone through.

I do agree that SWA's management is great to their employees BUT it's the shareholders that drive the boat in the long run, and as good as SWA's mgt is the stock has been rather flat lately

 

[SWA/FO]

For example, neither Toyota, Hyunday, or Honda is offering their employees buyouts, and they're doing very well financially.

All the above are NON-Union. Buyouts are not needed.

stock has been rather flat lately

8 years............flat line.

It surprises me that many at SWA feel that they are immune to what the rest of the industry has gone through.

Don't know many that think or feel this way. Don't believe all you hear on flightinfo.com.

the SWA/FO rules!!

 

[xanderman]

What a moron...

Um, yeah, I'm gonna need you to take the tourniquet off and remove the needle... Yeah, thanks...

 

[ferlo]

What a moron...

25% of the staff?!! and you're calling him the moron? pull your head out of that canyon blue sand and receive the reality check.