*
Air Line Pilots Association President expects further
furloughs
*
Spirit's flight attendants' union says 2nd bankruptcy will
be
"more difficult"
*
Spirit Airlines seeks $100 million annual cost reduction
from
pilots
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Carrier plans to cut November capacity by 25% amid
restructuring
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By Doyinsola Oladipo and Allison Lampert
NEW YORK, Sept 19 (Reuters) - Unions for flight
attendants and pilots working for Spirit Airlines are warning
members of further pain during the budget carrier's second
bankruptcy in a year, as it steps up cost-cutting efforts,
according to memos seen by Reuters.
The Florida-based ultra-low-cost airline filed for
bankruptcy protection in August for the second time in a year
after a previous restructuring did not resolve the carrier'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 Reuters.
That followed an earlier memo to aviators that said Spirit
wants to cut $100 million in annual spending on pilots to
conserve cash after previously saying it would furlough about
300 pilots by early November. The carrier plans to cut November
flight capacity by 25%, adding that efforts to reduce its cash
burn would "inevitably affect" the size of its workforce.
Spirit has asked to meet with the Air Line Pilots
Association (ALPA) union leadership to identify cost savings, a
spokesperson said in a statement, with a deal expected by Oct.
1.
Spirit faces mounting pressure from creditors, including
jetmaker Airbus, which said Spirit owes more than $1
million for parts received, according to filings. Spirit is also
in a dispute with aircraft lessor AerCap Holdings ( AER ) over a
deal covering 36 Airbus planes due for delivery between 2027 and
2028.
Jason Ambrosi, president of ALPA, which represents the
Spirit pilots, said recently he expects more pilots to be
furloughed at a time when the post-COVID travel boom 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 hired 4,834 pilots last year,
down from 13,357 in 2022, according to consultant Kit Darby.
(Doyinsola Oladipo in New York and Allison Lampert in Montreal;
Editing by Aurora Ellis)