United Airlines told its employees to expect layoffs as early as yesterday as it and other carriers prepared to reduce flying schedules and staffing as a result of the US war with Iraq.
While no cutbacks were announced publicly Thursday, the Machinists' union said more than 1,100 mechanics at United's Indianapolis maintenance center were being put on temporary leave.
Other war-related cutbacks are almost certain. United chief executive officer Glenn Tilton said last week the bankrupt airline expected to trim its schedule by an initial 10 percent to 12 percent and reduce its work force accordingly in the event of war.
"With the initiation of military action between the United States and Iraq, United is taking action to reduce its schedule and work force systemwide," the company said in a taped message to employees.
Scotty Ford, president of Machinists' District 141-M representing 10,300 mechanics and related employees, said in a posting on the union Website that United intends to put 468 Indianapolis mechanics on leave effective Tuesday. All remaining mechanics there would be put on temporary leave as of April 15.
United spokesman Joe Hopkins declined to comment on the extent of cuts and said no details would be released Thursday.
Chicago-based United, the world's second-largest airline, operates about 1,700 flights daily and has about 76,000 employees -- all but 4,000 based in the US.
"We have absolutely no intention whatsoever of failing, and we have every intention of doing a lot more than simply surviving," Hopkins said in a recorded message to employees.
Other airlines also have been hit hard by both the soft economy and the war-related dropoff in bookings.
Already this week, Continental Airlines announced it will cut its work force by about 1,200 people by the end of the year to save US$500 million. More layoffs are planned if war with Iraq is prolonged and air travel remains soft.
American Airlines, the world's No. 1 carrier, said Thursday it will cut international flights by 6 percent in April to meet a downturn in travel bookings due to the war in Iraq and could make additional reductions if traffic remains slow.
Northwest Airlines on Thursday suspended its daily nonstop service from Amsterdam to India through tomorrow.
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