Northwest to eliminate Atlanta operation
By Karren Mills
Associated Press
MINNEAPOLIS — Northwest Airlines said yesterday that it will close its Atlanta maintenance center and transfer the work done there to Minnesota, resulting in the layoffs or transfers of 1,450 Atlanta employees.
Northwest, based in Eagan, Minn., also said it will close its reservations center in Long Beach, Calif., and city ticket offices in New York City's Rockefeller Plaza; at the Mall of America in Bloomington, Minn.; and San Jose, Calif.
The approximately 250 reservation agents who work in Long Beach will be eligible for transfer to other Northwest reservations centers. Northwest has reservations centers in Minneapolis and Chisholm, Minn.; Baltimore; Detroit; Seattle; and Tampa, Fla.
An additional 100 management positions also will be eliminated in Atlanta and Long Beach, Northwest said. Airline spokeswoman Mary Beth Schubert said only "a small number" of employees would be affected by the ticket office closings.
Northwest now performs most of the maintenance on its 168 Douglas DC-9 aircraft in Atlanta. The facility also performs engine maintenance and repair for the carrier's DC-9s and its 13 Boeing 727-200s. Northwest said the DC-9 maintenance can be done at its facility in Minneapolis and the engine work can be done in Minneapolis and Duluth, Minn. The Duluth center now primarily maintains Airbus A319 and A320 aircraft.
The move from Atlanta will come during the next three months, with the first round of layoffs scheduled for Dec. 17. The Long Beach center will close in December.
"It is very difficult to close the Atlanta and Long Beach facilities, and ask our employees in those locations to relocate," chief executive Richard Anderson said. "However, it is another necessary step to ensure that our operation is as efficient as possible and that the future of Northwest Airlines is secure."
Steve Lanier, AMFA's national secretary, said the union's contract requires Northwest to provide jobs for every member who is willing to move. The contract also requires Northwest to pay moving expenses for those employees. He said AMFA members who choose not to move will be eligible for up to 26 weeks of severance pay, depending on their years of service.
The announcement came less than two weeks after Northwest said it would cut up to 1,600 flight attendants because of the continuing slump in the airline industry. It left Northwest employees wondering what's next.
Meanwhile, Delta Air Lines, the third-largest carrier, became the first of the major carriers to report third-quarter results, posting a loss of $326 million yesterday.
Although Northwest, the fourth-largest carrier, is in better financial condition than most of its competitors, it also has been losing money. For the first six months of the year, Northwest lost $264 million. The company reports its third-quarter results tomorrow.
