The slow recovery for U.S. airlines continues, but employment is still down from pre-Great recession levels.
U.S. scheduled passenger airlines employed 1.4% more workers in June 2012 than they did in June 2011 but airline employment still remain below pre-Great Recession levels, the U.S. Department of Transportation’s Bureau of Transportation Statistics (BTS) reported today.
So called Full Time Equivalent employees in June were 390,923 for scheduled passenger carriers an increase of 5,540 more than June 2011. Nevertheless, the 1.4% year-over-year growth rate was down from the growth rates achieved in the last half of 2011 as the U.S. economy languishes. Total employment still reflects a gradual increase following large declines that began in July 2008.
The five big airlines as a group increased employment by 1.4% from June 2011 to June 2012, but two of the five reported fewer employees. Delta Air Lines, firing workers following its merger with Northwest Airlines, reduced employees by 1%. American Airlines, filing for bankruptcy last November, reduced employees by 2.9%. United Airlines reported 82,565 employees in June 2012 in a joint report with Continental Airlines following the merger of the two airlines. This was 5,753 or 7.5% more than the 76,812 employees the two airlines reported separately in June 2011
Overall, the five year airline employment trend shows that big airlines employed 18,498 fewer potential taxpayers in June 2012 than in June 2008. American reported the biggest decline from 2008 to 2012 at -11.7%, followed by Alaska Airlines, down 8.9%. June 2012 numbers for United and Delta are not directly comparable to 2008 because of mergers. United reported 6.5% fewer FTEs in June 2012 than United and Continental reported separately in June 2008; Delta reported 1.1% fewer FTEs in June 2012 than Delta and Northwest reported separately in June 2008.
Among the six low-cost carriers, Allegiant Airlines, Virgin America Airlines, Spirit Airlines and JetBlue Airways reported an increase in employees. Frontier Airlines was the only low-cost carrier reporting fewer. Southwest Airlines reported 46,128 workers in June 2012 in a joint report following its merger with AirTran Airways. The combined report was 1,729 more full time employees or 3.9% more than the 44,399 employees the two airlines reported separately in June 2011.
