October 2009 Passenger Airline Employment Down 3.7 Percent from October 2008

PDF

Contact BTS 60-09 Dave Smallen 202-366-5568

Tuesday, December 15, 2010 - U.S. scheduled passenger airlines employed 3.7 percent fewer workers in October 2009 than in October 2008, the 16th 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 October FTE total of 379,800 for the scheduled passenger carriers was 14,400 below October 2008 and the lowest total for any month since 1993 (Table 3). Historic employment data can be found on the BTS web site.

Six of the seven network airlines decreased employment from October 2008 to October 2009.  Delta Air Lines was the lone network carrier to increase employment (Table 9). Low-cost carriers Southwest Airlines, Spirit Airlines and Frontier Airlines also reported decreases from October 2008 (Table 12). Regional carriers American Eagle Airlines, SkyWest Airlines, ExpressJet Airlines, Comair, Atlantic Southeast Airlines, Pinnacle Airlines, Horizon Air, Mesa Airlines, Air Wisconsin Airlines, Mesaba Airlines, PSA 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 259,000 FTEs in October, 68.2 percent of the passenger airline total, while low-cost carriers employed 16.4 percent and regional carriers employed 13.7 percent (Table 4). 

American Airlines employed the most FTEs in October among the network airlines, Southwest 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 2.8 percent in October 2009 compared to October 2008, the 14th consecutive monthly decrease from the same month of the previous year.  The network airlines employed almost 7,600 fewer FTEs in October 2009 than in October 2008 (Table 8).

Within the group, all network carriers except for Delta decreased FTEs from October 2008 to October 2009: United Airlines, 6.6 percent; Alaska Airlines, 5.7 percent; American, 5.0 percent; Northwest Airlines, 4.4 percent; US Airways, 4.0 percent; and Continental Airlines, 3.7 percent. Delta increased FTEs by 7.3 percent (Table 9).

FTEs at four network carriers declined during the four years from October 2005 to October 2009. The network airlines employed 15,000 fewer FTEs in October 2009 than in October 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 19.3 percent, a reduction of 6,300 FTEs, followed by United at 17.9 percent.  The other 2005 to 2009 FTE decreases were American, down 10.9 percent; and Delta, down 2.6 percent. The increases were at Alaska, 3.0 percent; Continental, 1.9 percent; and the combined US Airways, 46.7 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 0.4 percent in October from October 2008. The decrease was the third following five months of increases (Tables 10, 11).

Four low-cost airlines reported year-to-year increases: Virgin America, 16.6

 percent; Allegiant Airlines, 15.9 percent; AirTran Airways, 5.6 percent; and JetBlue Airways, 4.3 percent.  Southwest, Spirit and Frontier reported year-to-year FTE decreases (Table 12).

The six low-cost carriers reporting employment data in both 2005 and 2009 employed 16.2 percent more FTEs in October 2009 than in October 2005.  Allegiant reported the largest percentage increase, up 198.8 percent.  Spirit reported the only four-year decrease within the low-cost group, down 8.5 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 10.1 percent in October 2009 compared to October 2008, the 14th consecutive month with a decline from the same month of the previous year (Table 13).

Comair, down 50.8 percent, and Mesaba, down 33.3 percent, reported the largest decreases in the regional group. Republic Airlines, up 35.0 percent; and GoJet Airlines, up 31.9 percent, reported the largest increases in the group (Table 15).

Regional carrier FTEs declined 9.1 percent from October 2005 to October 2009 (Table 14).  

The 15 regional carriers reporting employment data in both 2005 and 2009 employed 0.8 percent fewer FTEs in October 2009 than in October 2005.  Comair reported the largest percentage decline, down 58.8 percent, followed by PSA, down 41.1 percent, and Atlantic Southeast, down 34.4 percent (Table 15).

Republic Airlines reported the biggest four-year gain, 1136.9 percent, followed by GoJet at 144.1 percent and Shuttle America at 72.4 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 Dec. 7. 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 November airline employment data for Jan. 20, 2010.

Table 1: Change from Previous Month in Passenger Airline Full-time Equivalent Employees* by Airline Group

Most recent 13 months - percent change compared to same month of the previous year

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** Includes network, low-cost, regional and other carriers.  Other Carriers generally operate within specific niche markets.  They are: Casino Express Airlines, Continental Micronesia, Hawaiian Airlines, Midwest Airlines, Sun Country Airlines and USA3000 Airlines.

Note: Percent changes based on numbers prior to rounding.

Table 2: Change from Previous Year in Total Passenger Airline* Full-time Equivalent Employees**

Percent change compared to same month the previous year

Excel | CSV

Source: Bureau of Transportation Statistics

* Includes network, low-cost, regional and other carriers.

** Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

Note: Percent changes based on numbers prior to rounding.

Table 3: Total Passenger Airline* Full-time Equivalent Employees** by Month

Numbers in thousands (000's)

Excel | CSV

Source: Bureau of Transportation Statistics

* Includes network, low-cost, regional and other carriers.

** Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

Note: Percent changes and averages based on numbers prior to rounding.

Table 4: Airline Group Full-time Equivalent Employees*, October 2005-2009

FTE numbers in thousands (000's)

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** America West's employment numbers were included with the low-cost airlines prior to October 2007.  Beginning with October 2007, America West's numbers are combined with US Airways numbers in the network category.

*** Includes network, low-cost, regional and other carriers.

Note: Percent changes based on numbers prior to rounding.

Table 5: Year-to-Year Change in Airline Group Full-time Equivalent Employees*, October 2005-2009

Percent change in FTEs from the same month of the previous year

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** America West's employment numbers were included with the low-cost airlines prior to October 2007.  Beginning with October 2007, America West's numbers are combined with US Airways numbers in the network category.

*** Includes network, low-cost, regional and other carriers.

Note: Percent changes based on numbers prior to rounding.

Table 6: Top 10 Airlines, October 2009

Ranked by Number of Full-Time Equivalent Employees*

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

Table 7: Network Airlines - Year-to-Year Change in Full-time Equivalent Employees* from the Previous Year**

Percent change compared to same month the previous year

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** US Airways' employment numbers were included with the network airlines prior to October 2007 while America West's numbers were included with the low-cost airlines.  Beginning with October 2007, US Airways' numbers are combined with America West's numbers in the network category.

Note: Percent changes based on numbers prior to rounding.

Table 8: Network Airlines Full-time Equivalent Employees* by Month**

Numbers in thousands (000's)

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** US Airways' employment numbers were included with the network airlines prior to October 2007 while America West's numbers were included with the low-cost airlines.  Beginning with October 2007, US Airways' numbers are combined with America West's numbers in the network category.

Note: Percent changes and averages based on numbers prior to rounding.

Table 9: By Network Airline: Full-time Equivalent Employees*, October 2005-2009**

(FTEs for October of each year.  Ranked by October 2009 FTEs)

Numbers in thousands (000's)

Excel | CSV

Source: Bureau of Transportation Statistics

Note: Detail may not add to total due to rounding

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** Beginning with October 2007, US Airways' numbers are combined with America West Airlines' numbers in the network category.  For America West's previous year numbers in the low-cost category, see Table 12.

Note: Percent changes based on numbers prior to rounding.

Table 10: Low-Cost Airlines - Year-to-Year Change in Full-time Equivalent Employees* from the Previous Year**

Percent change compared to same month the previous year

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** US Airways' employment numbers were included with the network airlines prior to October 2007 while America West's numbers were included with the low-cost airlines.  Beginning with October 2007, US Airways' numbers are combined with America West's numbers in the network category. 

*** ATA Airlines ceased operating on April 3, 2008 and stopped reporting employment data effective in March.

Note: Percent changes based on numbers prior to rounding.

Table 11: Low-Cost Airlines Full-time Equivalent Employees* by Month**

Numbers in thousands (000's)

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** US Airways' employment numbers were included with the network airlines prior to October 2007 while America West's numbers were included with the low-cost airlines.  Beginning with October 2007, US Airways' numbers are combined with America West Airlines' numbers in the network category. 

*** Employment numbers in 2005 for Independence Air, which changed its business model from a regional to low-cost carrier in mid-2004, are included with low-cost carriers. The airline discontinued flights on Jan. 5, 2006.

**** Virgin America and SkyBus began reporting employment data in August 2007. SkyBus stopped reporting employment data effective in April 2008 resulting from its bankruptcy filing.

***** ATA Airlines ceased operating on April 3, 2008 and stopped reporting employment data effective in March.

Note: Percent changes and averages based on numbers prior to rounding.

Note: Detail may not add to total due to rounding.

Table 12: By Low-Cost Carrier: Full-time Equivalent Employees,* October 2005-2009**

(FTEs for October of each year.  Ranked by October 2009 FTEs)

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** Beginning with October 2007, US Airways' numbers are combined with America West Airlines' numbers in the network category.  For US Airways previous year numbers and for the combined number in the network category, see Table 9.

*** Employment numbers in 2005 for Independence Air, which changed its business model from a regional to low-cost carrier in mid-2004, are included with low-cost carriers. The airline discontinued flights on Jan. 5, 2006.

**** Virgin America and SkyBus began reporting employment data in August 2007. SkyBus stopped reporting employment data effective in April 2008 resulting from its bankruptcy filing.

***** ATA Airlines ceased operating on April 3, 2008 and stopped reporting employment data effective in March.

N/A: Carrier did not meet the standard for filing, was no longer operating, merged with another operating carrier or failed to file.  See previous notes.

Note: Percent changes based on numbers prior to rounding.

Note: Detail may not add to total due to rounding.

Table 13: Regional Airlines - Year-to-Year Change in Full-time Equivalent Employees* from the Previous Year

Percent change compared to same month the previous year

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** Compass began reporting employment numbers in November 2007.

*** Lynx Airlines began reporting in February 2008. Colgan Airlines began reporting in April 2008. TransStates Airlines no longer met reporting requirements beginning in April 2008.

Note: Percent changes based on numbers prior to rounding.

Table 14: Regional Airlines Full-time Equivalent Employees* by Month

Numbers in thousands (000's)

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** Republic, Shuttle America and GoJet reported for part of 2005.

*** Compass began reporting employment numbers in November 2007.

**** Lynx Airlines began reporting in February 2008. Colgan Airlines began reporting in April 2008. Trans States Airlines no longer met reporting requirements beginning in April 2008.

Note: Percent changes based on numbers prior to rounding.

Table 15: By Regional Airline: Full-time Equivalent Employees*, October 2005-2009

(FTEs for October of each year.  Ranked by October 2009 FTEs)

Excel | CSV

Source: Bureau of Transportation Statistics

* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.

** The Percent Change 2005-2009 is based on the 12 carriers reporting in both years.

*** Effective with April 2008 reporting, Trans States Airlines no longer met the reporting requirements for filing monthly airline employment data.

N/A: Not applicable because carriers did not meet the standard for filing.

Note: Detail may not add to total due to rounding.