Airlines were supposed to rake in record profits in 2025. Instead, another company is cutting hundreds of staffers.
Spirit Airlines said on Monday it will furlough about 270 pilots while demoting another 140.
It’s the latest major move from the cash-strapped budget carrier, as it looks to scale down its workforce, downsized schedule, and return to profitability.
The furloughs will go into effect on November 1, while designation downgrades for captains will take place on October 1, right before popular end-of-year holiday travel.
‘We are taking necessary steps to ensure we operate as efficiently as possible as part of our efforts to return to profitability,’ the airline said.
The announcement, first reported by Bloomberg News, comes as Spirit tries to overhaul its business to move away from its no-frills image and rebrand as a premium airline.
The Florida-based carrier had filed for bankruptcy protection last November, following years of losses, heavy debt, and failed merger attempts.
It emerged from bankruptcy in March.
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In May, the company decided to slash 25 percent of its scheduled flights during the summer travel season.
Last year, Spirit flew 80,003 airplanes during the vacation-heavy season. This year, the airline has 59,304 scheduled flights from June through August.
The company needs fewer pilots to operate the reduced schedule, but that has caused internal tensions.
‘Spirit continues to shrink, and with it, the value of pilot seniority and Spirit careers continues to erode,’ Captain Ryan Muller, chairman of the Spirit unit of the Air Line Pilots Association, said.
Captain Muller added that this marks the third round of pilot furloughs and downgrades since September 2024.
Spirit is not alone. Dozens of airlines have culled parts of their schedules, announced major layoffs, and cut back on financial expectations for 2025.
The cuts have been particularly brutal for budget-friendly airlines.
In February, Southwest Airlines said it was cutting 15 percent of its staff after 53 years without any mass layoffs.
Spirit Airlines has struggled in the past year, including a bankruptcy in the latter half of 2024
Holiday travelers will see fewer options this year after massive cuts to flight schedules
Dave Davis, Spirit’s new CEO, has taken over the cash-strapped company
United also announced it was dropping some of its popular flights from its schedule in April.
Avelo Airlines, the Texas-based company known for its $30 flights, nixed its West Coast operations.
All of the airlines have reported that price-sensitive travelers are avoiding airports. Delta, for example, reported a five percent dip in domestic budget travel during its latest earnings call.
Weak demand for low-cost flights has crushed this year’s profit expectations. Coming into 2025, top bosses were bullish about potential record-level sales.
But only one class has remained consistent buyers: high-end luxury travelers.
Delta and United Airlines’ numbers recently impressed Wall Street after seeing huge spikes in top-end travel.
