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Delta to axe up to 7,000 jobs
Giant US carrier Delta Air Lines is reportedly planning to make as many as 7,000 of its workers redundant over the nest 18 months, in a desperate effort to keep the airline afloat.
The carrier, which has admitted that bankruptcy is a “real possibility”, is also to overhaul its route structure including dropping Dallas/Forth Worth as a hub airport and developing Cincinnati, Salt Lake City and Atlanta.
The carrier’s chief executive officer Gerald Grinstein has described the overhaul as a “comprehensive, 360-degree plan that reinvents Delta”.
Mr Grinstein said the restructuring has been brought about by “low yields, high fuel prices, uncompetitive labour costs, and its high debt burden, coupled with a possible operational disruption from anticipated pilot early retirements”.
While admitting bankruptcy was possible, he added: “We are working hard and fast to avoid it but if the pilot early retirement issue is not resolved before the end of the month, or if all the pieces don’t come together in the near term, we will have to restructure through the courts.”
Report by Tim Gillett, News From Abroad Ltd
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