Spirit Airlines unions warn members of more pain amid second bankruptcy

By Doyinsola Oladipo and Allison Lampert

NEW YORK (GWN) – Unions for flight attendants and pilots working for Spirit Airlines are warning members of additional pain during the finances provider’s second bankruptcy in a 12 months, as it steps up cost-cutting efforts, according to memos seen by GWN.

The Florida-based ultra-low-cost airline filed for bankruptcy safety in August for the second time in a 12 months after a earlier restructuring didn’t resolve the provider’s challenges, the company said.

“This bankruptcy will be much more difficult than the last one and we must be prepared to act to protect our interests,” the Association of Flight Attendants said in a Wednesday memo seen by GWN.

That adopted an earlier memo to aviators that said Spirit desires to cut $100 million in annual spending on pilots to preserve money after beforehand saying it might furlough about 300 pilots by early November. The provider plans to cut November flight capability by 25%, including that efforts to scale back its money burn would “inevitably affect” the dimensions of its workforce.

Spirit has requested to meet with the Air Line Pilots Association (ALPA) union management to determine value financial savings, a spokesperson said in a assertion, with a deal anticipated by Oct. 1.

Spirit faces mounting stress from collectors, including jetmaker Airbus, which said Spirit owes more than $1 million for components acquired, according to filings. Spirit is also in a dispute with plane lessor AerCap Holdings over a deal masking 36 Airbus planes due for supply between 2027 and 2028.

Jason Ambrosi, president of ALPA, which represents the Spirit pilots, said just lately he expects more pilots to be furloughed at a time when the post-COVID journey increase has waned.

“We now find ourselves in a bit of an oversupply in the U.S., so it’s going to be kind of tough to find a landing spot for each one,” Ambrosi said.

The 12 major U.S. carriers employed 4,834 pilots last 12 months, down from 13,357 in 2022, according to advisor Kit Darby.

(Doyinsola Oladipo in New York and Allison Lampert in Montreal; Editing by Aurora Ellis)