July 3, 2008

Canada’s Jazz Air Lays Off 270

Canada's second largest airline, Jazz Air, announced a layoff of 270 employees Thursday directly linked to soaring fuel prices.

In a release from its head office in Halifax, Nova Scotia, the carrier said its principal customer, Air Canada, was cutting back domestic and international travel based on fuel prices, so Jazz had no choice but to follow suit.

These are difficult times for our industry and the decision to reduce our workforce was not reached lightly. It is with sadness that we'll see some of our employees leave our company, said Jazz President Joseph Randell. Every effort is being made to mitigate these job losses, and we hope this downturn in our industry's cycle ends soon.

Air Canada announced June 17 it would trim domestic services by 2 percent in the fourth quarter along with a 13 percent cut in international flights.

Crude oil prices broke the $145 mark Thursday morning on the New York Mercantile Exchange.