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Delta to cut jobs in management, salaried ranks


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October 2, 2015

Atlanta-based Delta Air Lines plans to cut jobs from its administrative workforce, saying it must improve productivity.
The cuts in positions will come from its roughly 10,000 employees in management or salaried positions. The cuts will affect employees at Delta’s headquarters in Atlanta near Hartsfield-Jackson International Airport.
Overall, Delta has nearly 80,000 employees, and the company said it will continue to hire flight attendants, pilots, reservations agents and other “frontline employees.”
Delta said in a written statement that it “must continue to look for ways to improve productivity and stay nimble particularly given that revenue has declined this year.”
The airline said it will reduce salaried positions over the next few months.
The move comes after record profits. Two weeks ago, Delta announced it will increase many of its employees’ base pay by 14.5 percent, albeit while reducing profit sharing.
But on Friday, Delta reported a 5 percent decline in unit revenue for the month of September, less than two weeks before it is due to report quarterly results Oct. 14.


Delta’s Plan to Fill Planes by Limiting Capacity Is Working

Associated Press - Oct 02, 2015 2:12 pm

Delta’s slowing growth is leading to flights with fewer empty seats.

Delta Air Lines said Friday that traffic rose 2.4 percent in September while its capacity, measured in seats times miles flown, grew less than one percent. That is the smallest increase in capacity since Delta shrunk slightly in February 2014, according to company statements.

With the slower growth in tickets for sale, the average flight last month was 85 percent full, compared with 83.7 percent in September 2014. The figures include Delta Connection flights that use smaller planes. Capacity on those regional flights declined 5.6 percent.
For several years airlines clamped down on capacity growth, helping to boost average fares. But prices have fallen in recent months as the carriers added more flights and bigger planes. Investors have grumbled about the lower fares, and many airline stocks have drifted lower this year after huge gains in 2014.
Delta said that a key measure, revenue for every seat flown one mile, dropped by 5 percent last month compared with September 2014. It blamed lower average U.S. fares, the strong dollar hurting foreign revenue, and lower fuel surcharges on international flights.
The Atlanta airline said the revenue ratio would sink by between 4.5 percent and 5.5 percent for the entire third quarter, which ended Wednesday. That was slightly better than the decline of 4.5 percent to 6.5 percent that the airline had predicted.





É a ganância! :lol:

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Delta: ‘Up-selling’ is working


July 16, 2015


Is there some kind of stigma attached to the phrase “basic economy”? Delta uses that designation for the lowest level of the new branded fare categories it introduced last winter, and officials said this week the airline has been successful in moving customers into the higher fare categories.

Those include Main Cabin economy, Delta Comfort+ (extra-legroom economy), First Class and Delta One (international business class). The Basic Economy fare does not allow for changes, refunds or advance seat selection. The new designations took effect in March.

According to the Atlanta Journal-Constitution, Delta executives said in an earnings conference call this week that almost two-thirds of ticket buyers opt for Main Cabin economy over Basic Economy, and overall, the new fare categories have brought an extra $56 million into the company’s coffers during the second quarter.

More travelers are also buying first class seats rather than using SkyMiles upgrades, they noted, with paying customers now accounting for 57 percent of front-cabin seats, up 13 percent. (The bad news for frequent flyers: fewer spaces available for upgrades.)

Meanwhile, Delta also said that because pilots have rejected a new labor contract, it will cancel orders for 60 new planes, including 20 Embraer E190s and 40 737-900ERs.


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