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Delta Air Plans Job Cuts, Hiring Freeze

Posted on: Wednesday, 5 December 2007, 00:00 CST

Delta Air Lines Inc. plans job cuts and a hiring freeze in the face of rising oil costs and falling U.S. demand, airline President Ed Bastian said Tuesday.

The targeted job cuts, part of $400 million the airline plans to save next year, will mostly come through attribution, Bastian said without offering details, The Atlanta Journal-Constitution reported.

A Delta spokesman later told the newspaper some positions could be eliminated through realigning administrative functions, but those affected may be able to transfer to other functions.

The spokesman did not say what portion of the cost savings were expected to come from job cuts.

In updated guidance to investors, Bastian also said planned cost-cutting measures included a hiring freeze in non-public-facing job categories -- jobs that don't deal directly with customers.

Delta has 50,000 employees.

The Atlanta airline, which emerged from bankruptcy protection April 25, said it would also park aircraft, reduce its marketing budget and cut capacity as much as 5 percent next year.

But even as it takes measures to trim overhead costs and cut domestic operations, Delta said it would hire pilots, ticket agents and other airport workers, and planned to boost international capacity by 15 percent next year.

Source: United Press International

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