Southwest Avoids Involuntary Furloughs in 2020

Southwest has announced that they will avoid a single employee involuntary furlough “in 2020.”

About 16,900 employees, or 27% of the airline’s total workforce, have volunteered for early exits, reduced hours or temporary extended leave, which will relieve the company of about $400 million in salary, wage and benefit expenses during the fourth quarter 2020 alone. Leaves vary in length can some are reported to be almost two years. As a result, the airline says at this time the company is not planning involuntary furloughs.

But, he adds, Southwest remains “laser-focused on returning to break-even cash flow, and we will continue exploring opportunities for further cost efficiencies”.

He describes the airline as “like a patient in intensive care”. And though cost-cutting is an effective way to keep the company afloat, “you can’t cut your way to break even. Ultimately you will need more passengers.”

Bobby Laurie

His background in the travel industry dates back to November 2005 when he was initially hired as a flight attendant. After initially flying for six months for US Airways (now American Airlines) Laurie had started his move up the corporate ladder and held various positions within the industry before ultimately landing as an Analyst specializing in InFlight Policies & Procedures. Read More