Southwest Airlines’ workforce is unhappy after the carrier announced plans to significantly reduce its presence in Atlanta while expanding operations in other markets. This decision will take effect next year as the airline faces mounting pressure from hedge fund Elliott Investment Management to boost profits and improve its stock performance.
The Dallas-based airline intends to eliminate approximately one-third of its flights to Atlanta, a market where it has struggled to compete with Delta Air Lines’ dominant presence. This reduction will result in the closure of seven gates at Hartsfield-Jackson Atlanta International Airport, bringing Southwest’s total gate count down from 18 to 11.
In a memo to employees, Tiffany Laurent, an Atlanta-based Southwest official, explained the rationale behind the decision: “Demand for Atlanta doesn’t support our level of flying.” She emphasized that while the airline’s planners “try everything they can before making hard decisions like this one,” the change is necessary to “help drive us back to profitability.”
What Southwest Airlines’ Employees Think
The impact of this move extends beyond flight schedules. It will eliminate over 300 jobs for pilots and flight attendants based in Atlanta. However, the company has stated that affected employees will have the opportunity to relocate. This announcement has not been well-received by Southwest’s unions.
The Southwest Airlines Pilots Association expressed dismay. The association called the decision “painful” for Atlanta-based employees. In a strongly worded memo to pilots, the union criticized the airline’s management, stating, “It is simply amazing that the airline with the strongest network in the history of our industry is now retreating in a major market because this management group has failed to evolve and innovate.”
Similarly, Bill Bernal, president of the Transport Workers Union local representing Southwest flight attendants, voiced his outrage. He accused the company of “gaslighting,” claiming that Southwest had previously assured the union of growth in Atlanta. Bernal lamented, “Yet again, flight attendants are paying the price for poor management decisions.”
In response to these criticisms, a Southwest spokesperson emphasized the company’s commitment to its employees, stating, “Decisions like these are difficult for our company because of the effects on our people, but we have a history of more than 53 years of ensuring they are taken care of.”
While scaling back in Atlanta, Southwest is not retreating entirely. The airline has unveiled plans to introduce new routes connecting Nashville with six other cities and launch five new red-eye flights from Hawaii to Las Vegas and Phoenix, starting in April.