The battle against terrorism
hit home Wednesday as Delta Air Lines announced that more than 13,000
positions have to be cut by the end of the year.
Delta CEO Leo Mullins said
the layoffs will cut 16 percent from the company's work force, which nearly
matches the company's cutting of 15 percent of its routes.
Locally, Mullin predicted that
about 16 percent, or about 4,800 jobs, would be eliminated in Atlanta.
He said the recently passed
federal bailout program of $15 billion will help the airlines in the short
term, but ultimately the airlines will have to get the passengers' confidence
back before the industry achieves solid financial footing.
Delta will first ask for voluntary
leave from its employees, and then reevaluate the situation Nov. 1 to
determine how many involuntary cuts the company will have to make.
"We can't take any chances
on the survival of Delta," he said, and announced that in addition
to the layoffs, he will forego his own salary for the remainder of this
year. Mullin's salary is $795,000 a year, and company officials also have
revoked high-level bonuses for this year. Mullin's bonus last
All of the cuts are supposed
to be completed by Dec. 31, Mullin said, and the employees who are separated
will have a chance to rejoin the airline at a later date if the fiscal
situation improves.
Mullin said the cuts in jobs
will go across the board from pilots to customer service representatives.
In response to a question about
the pilots' new contract that does not allow furloughs, Mullin said there
is a contingency in the contract that allows furloughs in extraordinary
circumstances.
Employees who lose their jobs
will receive a generous severance package, and Mullin said this is the
company's last resort and he does not relish the task.
"Delta's people are Delta
Air Lines," he said.
Mullins also said he favors
looking at the issue of arming pilots for extra security, and said the
company will announce a program in the next few days to encourage people
to fly to New York City.
Mullins was encouraged by Sunday's
activity, which saw more than 200,000 fly Delta. Normally, 300,000 people
a day fly on the airline.
The CEO did say the airline
plans to cut nearly 50 percent of its routes at New York's JFK Airport,
and would announce other routes at a later date.
Locally, many Delta employees
call the south side home, and the Fayette Chamber of Commerce established
Team Fayette to help residents deal with the layoffs.
The chamber has established
a hotline at 770-461-9983 for residents to obtain information on everything
ranging from state programs to child care and consumer credit assistance.
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