Delta asks more workers to take leave as travel slump widens
ATLANTA >> Delta Air Lines has managed to avoid furloughs but is now asking more employees to take unpaid leaves of absence, a sign of the deepening slump in air travel as coronavirus cases increase across the United States.
CEO Ed Bastian said Wednesday that Delta will need takers for its unpaid-leave program “for the foreseeable future.”
“I ask everyone to consider whether a voluntary leave makes sense for you and your family,” he said in a memo to employees.
With revenue down sharply, Delta expects to lose up to $12 million a day on average during the fourth quarter.
Unlike American Airlines and United Airlines, which furloughed a combined 32,000 workers in October, Atlanta-based Delta avoided furloughs by convincing thousands of workers to retire early or take unpaid leave.
Southwest Airlines also has avoided furloughs, but last week the Dallas-based carrier warned nearly 7,000 workers that they could lose their jobs if unions don’t accept pay cuts.
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Passenger traffic rose over Thanksgiving week, although numbers were down more than half from a year earlier. Traffic has dropped since the holiday.
Only 501,513 people passed through U.S. airports on Tuesday — 74% lower than the same Tuesday a year ago, the sharpest percentage decline since Sept. 15. The seven-day rolling average of passengers has been falling for nearly two weeks.