BTS Releases May Passenger Airline Employment Data;

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BTS Releases May Passenger Airline Employment Data;
May 2012 Employment Rose 1.6 Percent from May 2011

U.S. scheduled passenger airlines employed 1.6 percent more workers in May 2012 than they did in May 2011, the U.S. Department of Transportation’s Bureau of Transportation Statistics (BTS) reported today. This is the 18th consecutive month that full-time equivalent employee (FTE) levels for the scheduled passenger carriers have been higher than the same month of the previous year. FTE calculations count two part-time employees as one full-time employee.
BTS, a part of the Research and Innovative Technology Administration, reported that the May FTE total of 390,957 for the scheduled passenger carriers was 5,983 more than that of May 2011. The 1.6 percent year-to-year growth rate, although down from the growth rate in the last half of 2011, still reflects the gradual improvement in the industry’s employment following declines that began in July 2008. Historical employment data can be found on the BTS web site.
The five network airlines increased employment by 1.3 percent from May 2011 to May 2012 but two of the five reported fewer FTEs. Delta Air Lines, eliminating redundant positions following its merger with Northwest Airlines, reduced FTEs by 1.6 percent. American Airlines, which filed for bankruptcy in November, reduced FTEs by 2.1 percent. United Airlines reported 82,488 FTEs in May 2012 in a joint report following the merger with Continental Airlines. The combined report was 5,352 more FTEs or 6.9 percent more than the 77,136 FTEs the two airlines reported separately in May 2011. Network airlines operate a significant portion of flights using at least one hub where connections are made for flights to down-line destinations or spoke cities.
Among the six low-cost carriers, Allegiant Airlines, Virgin America Airlines, Spirit Airlines and JetBlue Airways reported an increase in FTEs. Frontier Airlines was the only low-cost carrier reporting fewer FTEs. Southwest Airlines reported 46,176 FTEs in May 2012 in a joint report following its merger with AirTran Airways. The combined report was 2,221 more FTEs or 5.1 percent more than the 43,955 FTEs the two airlines reported separately in May 2011. Low-cost airlines are those that the industry recognizes as operating under a low-cost business model, with lower infrastructure and aircraft operating costs.
Among the 15 regional carriers, the six carriers reporting reduced employment levels compared to last year were Colgan Airlines, Mesa Airlines, Horizon Airlines, Republic Airlines, Comair and Executive Airlines. Pinnacle Airlines, after its merger with Mesaba Airlines, also reduced FTEs from the levels of the two airlines prior to the merger.