State notified of layoffs at United

By Andrew Gomes
Advertiser Staff Writer

Some United Airlines employees in Hawai'i could begin receiving layoff notices as early as Jan. 19, according to a letter that state labor officials received from the airline yesterday.

United, which employs about 1,350 people in the state, said the number of jobs or specific positions to be cut have not been identified, but the company must lower costs quickly to meet requirements for financing in bankruptcy.

The airline said in the filing with the state Department of Labor & Industrial Relations that it expects to trim a "significant" number of jobs in Hawai'i, and that layoffs will likely occur in the next few months.

United said the cuts could affect any of its positions on O'ahu and the Neighbor Islands, including pilots, flight attendants, ground crews and managers.

Joe Hopkins, a United spokesman in Chicago, said yesterday employees will be notified if they are to be affected by the planned layoffs. The state also will be notified.

Mike Navares, general manager for United in Hawai'i, also said yesterday that it was premature to know which and how many positions could be affected.

United, which has about 81,000 employees companywide, earlier this week informed employees about the job cuts to come. Since the Sept. 11 terrorist attacks, the airline has laid off 20,000 workers. It filed for Chapter 11 bankruptcy protection early last month.

The airline recently disclosed that it expects to lose $3.4 billion in 2002, and it has told at least one union representing workers that its goal is to cut labor costs by $2.4 billion a year. The cuts would come from both layoffs and wage concessions being sought.

Cuts to the carrier's flight schedules also are anticipated, though United has not said whether route reductions are planned for Hawai'i, which relies on the airline for about 20 percent of all service from the Mainland.

Reach Andrew Gomes at agomes@honoluluadvertiser.com or 525-8065.