Posted on: Saturday, December 4, 2004

United Airlines cutting 825 more airport jobs

Associated Press

DENVER — United Airlines said it is laying off about 825 customer service employees, ramp workers and other airport staffers as it tries to slash costs and get out of bankruptcy.

United spokeswoman Jean Medina said the cuts are part of the company's bankruptcy plan and an attempt to make its head count better match "the needs of the business as we move into a slower travel season."

Some furloughed workers might be recalled in busier travel periods, she said. The job cuts affect workers at 18 airports in the United States, including 210 in Denver.

"Some full-time employees may move to part time as we continue to match staff levels to workloads by time of day," she said.

The Honolulu chapter of the International Association of Machinists & Aerospace Workers District Lodge 141 hasn't heard anything about these layoffs affecting local workers, said Randy Kauhane, assistant general chairman.

Workers at Denver International Airport, United's second-largest hub after Chicago, received notice of the job cuts Thursday. The furloughs will take effect next month.

The Chicago-based carrier is negotiating with its unions to reduce wages and benefits and make productivity improvements to get $725 million in annual savings.

The company also is expected to terminate its four employee pension plans, a move that would provide more than $600 million in annual savings from 2005 through 2010.

National machinists union spokesman Joe Tiberi said the union had not been given final layoff numbers from the company and would not comment until then.

As of Thursday, United employed about 61,800 people worldwide. It has pared about 40,000 jobs since the 2001 terrorist attacks.

The company filed for bankruptcy two years ago and has racked up more than $9 billion in net losses since the end of 2000. The airline's goal is to emerge from bankruptcy as soon as July.