Hawaiian Airlines Announces Workforce Reduction
HONOLULU, September 28, 2001 -- Hawaiian Airlines, Inc. (AMEX and PCX: HA) announced today that it will furlough approximately 430 employees, or approximately 12 percent of its total workforce of 3,524, in response to the decrease in travel demand that has occurred following the terrorist attacks of September 11, 2001. The work force reduction takes effect September 30, 2001.
Last week, the company announced a reduction in its system wide flight schedule of approximately 20 percent, effective October 1, 2001.
“Furloughing employees is the last thing we want to do, but we've exhausted all other options,” said Paul J. Casey, Hawaiian's vice chairman and chief executive officer. “Under the circumstances, we have no choice but to take this step to protect the company's financial position going forward. Although the Federal assistance and the State of Hawaii's landing fee waiver will help to defray the losses we've incurred since September 11, these added measures will be necessary as we try to balance substantially diminished revenues for the foreseeable future.”
Hawaiian is providing eligible furloughed employees with full severance pay and continued healthcare benefits as well as job placement and counseling assistance.