September 2009 Passenger Airline Employment Down 4.4 Percent from September 2008
Tuesday, November 17, 2009 - U.S. scheduled passenger airlines employed 4.4 percent fewer workers in September 2009 than in September 2008, the 15th consecutive decrease in full-time equivalent employee (FTE) levels for the scheduled passenger carriers from the same month of the previous year, the U.S. Department of Transportation's Bureau of Transportation Statistics (BTS) reported today (Table 2).
(Media-Newswire.com) - Tuesday, November 17, 2009 - U.S. scheduled passenger airlines employed 4.4 percent fewer workers in September 2009 than in September 2008, the 15th consecutive decrease in full-time equivalent employee ( FTE ) levels for the scheduled passenger carriers from the same month of the previous year, the U.S. Department of Transportation's Bureau of Transportation Statistics ( BTS ) reported today ( Table 2 ). 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 September FTE total of 380,014 for the scheduled passenger carriers was 17,380 below September 2008 and the lowest total for any month since 1993 ( Table 3 ). Historical employment data can be found on the BTS web site at http://www.bts.gov/airline_employment/src/index.xml.
All the network airlines decreased employment from September 2008 to September 2009 ( Table 9 ) as did low-cost carriers Southwest Airlines, Spirit Airlines and Frontier Airlines ( Table 12 ). Regional carriers American Eagle Airlines, SkyWest Airlines, ExpressJet Airlines, Comair, Atlantic Southeast Airlines, Pinnacle Airlines, Horizon Air, Mesa Airlines, Air Wisconsin Airlines, and Colgan Airlines also reported reduced employment levels compared to last year ( Table 15 ).
Scheduled passenger airline categories include network, low-cost, regional and other airlines.
The seven network airlines employed 254,866 FTEs in September, 67.1 percent of the passenger airline total, while low-cost carriers employed 16.4 percent and regional carriers employed 14.7 percent ( Table 4 ).
American Airlines employed the most FTEs in September among the network airlines, Southwest Airlines employed the most FTEs among low-cost airlines, and American Eagle employed the most FTEs among regional airlines. Seven of the top 10 employers in the industry are network airlines ( Table 6 ).
Beginning with October 2007 data, US Airways' numbers are combined with numbers for America West Airlines in the network category. For previous months, America West's numbers were included with the low-cost airlines.
Network Airlines FTEs at the group of seven network airlines decreased 5.0 percent in September 2009 compared to September 2008, the 13th consecutive monthly decrease from the same month of the previous year. The network airlines employed 13,550 fewer FTEs in September 2009 than in September 2008 ( Table 8 ).
Within the group, all network carriers decreased FTEs from September 2008 to September 2009: Northwest Airlines, 11.8 percent; United Airlines, 7.1 percent; Alaska Airlines, 4.9 percent; Continental Airlines, 4.2 percent; American, 4.1 percent; US Airways, 3.6 percent; and Delta Air Lines, 2.0 percent ( Table 9 ).
FTEs at four network carriers declined during the four years from September 2005 to September 2009. The network airlines employed 20,522 fewer FTEs in September 2009 than in September 2005 even though America West's numbers were not combined with US Airways in the network category until October 2007 ( Table 8 ).
The biggest percentage decline in FTE employment was at Northwest, down 25.6 percent, a reduction of 8,442 FTEs, followed by United at 17.7 percent. The other 2005 to 2009 FTE decreases were Delta, down 10.7 percent, and American, down 10.3 percent. The increases were at Continental, 2.4 percent; Alaska, 3.4 percent; and the combined US Airways, 46.2 percent ( Table 9 ).
Network airlines operate a significant portion of their flights using at least one hub where connections are made for flights to down-line destinations or spoke cities.
Low-Cost Airlines Low-cost airline FTEs decreased 0.1 percent in September from September 2008. This was the second monthly decrease following five months of monthly employment increases ( Tables 10, 11 ).
The six low-cost carriers reporting employment data in both 2005 and 2009 employed 16.9 percent more FTEs in September 2009 than in September 2005. Allegiant reported the largest percentage increase, up 221.1 percent. Spirit reported the only four-year decrease within the low-cost group, down 7.6 percent ( Table 12 ).
Low-cost airlines are those that the industry recognizes as operating under a low-cost business model, with lower infrastructure and aircraft operating costs.
Regional Airlines Regional airline FTEs were down 5.7 percent in September 2009 compared to September 2008, the 13th consecutive month with a decline from the same month of the previous year ( Table 13 ).
Atlantic Southeast, down 18.3 percent, and ExpressJet, down 18.0 percent, reported the largest decreases in the regional group. GoJet Airlines, up 33.6 percent, Republic Airlines and Shuttle America , both up 28.5 percent, reported the largest increases in the group ( Table 15 ).
Regional carrier FTEs declined 2.8 percent from September 2005 to September 2009 ( Table 14 ).
The 15 regional carriers reporting employment data in both 2005 and 2009 employed 0.3 percent fewer FTEs in September 2009 than in September 2005. PSA reported the largest percentage decline, down 39.9 percent, followed by Atlantic Southeast, down 34.3 percent, and Comair, down 22.1 percent ( Table 15 ).
Republic Airlines reported the biggest four-year gain, 1510.6 percent, followed by Shuttle America Airlines at 98.0 percent and Pinnacle Airlines at 8.9 percent ( Table 15 ).
Regional carriers typically provide service from small cities, using primarily regional jets to support the network carriers' hub and spoke systems.
Reporting Notes Airlines that operate at least one aircraft with the capacity to carry combined passengers, cargo and fuel of 18,000 pounds – the payload factor – must report monthly employment statistics.
The Other Carrier category generally reflects those airlines that operate within specific niche markets, such as Continental Micronesia and Hawaiian Airlines serving the Hawaiian Islands.
Data are compiled from monthly reports filed with BTS by commercial air carriers as of Nov. 10 Additional airline employment data can be found on the BTS website at http://www.bts.gov/programs/airline_information/number_of_employees/. BTS has scheduled release of October airline employment data for Dec. 15.
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