Frontier Announces Layoffs, Flight Reductions
Analyst Says Federal Help Needed Quickly
POSTED: 3:59 p.m. MDT September 18, 2001
UPDATED: 6:48 p.m. MDT September 18, 2001
Frontier Airlines announced Tuesday that the company is furloughing 440 employees and reducing its flight schedule by 20 percent.
The Denver-based airline said that under the cuts, one flight each from nine of its 22 markets will be eliminated, and service to Washington National Airport will be discontinued.
The new flight schedule becomes effective Oct. 1. The airline said that it will still begin new service from Denver to Reno, Nev., and Austin, Texas, on Oct. 1.
"These are painful steps during a very difficult time for our country and our industry," CEO Sam Addoms said in a statement.
Frontier flights will be reduced from 127 per day to 103 per day.
The company said that it hasn't determined what methodology it will use to determine which employees are furloughed.
Frontier officers' salaries will also be cut by 20 to 40 percent.
Frontier is the second largest jet service carrier out of Denver International Airport, serving 22 cities coast to coast with a fleet of Boeing 737 and Airbus 319 aircraft.
It employs approximately 2,500 people.
Some Frontier employees told 7NEWS that they knew cutbacks were coming, but the big question is how long the furloughs will last.
Previous Stories:
The Denver-based airline said that under the cuts, one flight each from nine of its 22 markets will be eliminated, and service to Washington National Airport will be discontinued.
The new flight schedule becomes effective Oct. 1. The airline said that it will still begin new service from Denver to Reno, Nev., and Austin, Texas, on Oct. 1.
"These are painful steps during a very difficult time for our country and our industry," CEO Sam Addoms said in a statement.
Frontier flights will be reduced from 127 per day to 103 per day.
The company said that it hasn't determined what methodology it will use to determine which employees are furloughed.
Frontier officers' salaries will also be cut by 20 to 40 percent.
Frontier is the second largest jet service carrier out of Denver International Airport, serving 22 cities coast to coast with a fleet of Boeing 737 and Airbus 319 aircraft.
It employs approximately 2,500 people.
Some Frontier employees told 7NEWS that they knew cutbacks were coming, but the big question is how long the furloughs will last.
Analyst Says Federal Help Needed
Frontier lost $3 million last week after the terrorist attack, and one analyst said that United Airlines lost far more. "You can't have your capacity cut by 20 percent by stupid FAA procedures, and not have to lay people off. They have to (have layoffs) to stay alive," airline analyst Mike Boyd said. Boyd expects that every airline will be forced to layoff employees. When United cuts its workforce, it will have a huge impact, he said. "The expansion at DIA? Put a big red line through it. It's not going to happen now," he said. "I'm concerned about my job -- I haven't been with United long enough, but I think that it's being felt all over," DIA United employee Jennifer Baldivid said. "For my business, I need to travel," traveler Ron Smith said. "So if there's a cutback on times, I might be leaving a day earlier than I had planned or come back a day later just to accommodate the new schedules if they do indeed cut back." With many airlines in dire financial straits, many experts say that the federal government needs to step in and help quickly. "To those people who say, 'Let the airlines dig out for themselves,' I'll say to those people, 'Flap your wings and fly to Chicago the next time you need to go, because you're not going to have an airline to take you there,'" Boyd said. United Airlines said that reports about massive layoffs within their company are false, but they are still trying to figure out how to deal with the losses caused by the terrorist attacks in New York.- September 3, 2001: Frontier Airlines Announces Labor Day Sale
- August 16, 2001: Another Child Stranded At DIA Flying Alone
- April 10, 2001: April 10, 2001: Frontier Air Specials
- March 16, 2001: Frontier Offers $99 Flights To Houston
- February 28, 2001: Frontier Airlines Stock Plunges
Copyright 2002 by TheDenverChannel.com. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.





