February 2009 Passenger Airline Employment Down 6.6 Percent from February 2008

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Contact BTS 18-09 Dave Smallen 202-366-5568

Tuesday, April 21, 2009 - U.S. scheduled passenger airlines employed 6.6 percent fewer workers in February 2009 than in February 2008, the eighth 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 1).  The February FTE total of 391,682 for the scheduled passenger carriers was an increase of 1,025 from January but still was second lowest total since 1993. FTE calculations count two part-time employees as one full-time employee.

All the network airlines decreased employment from February 2008 to February 2009 (Table 9) as did low-cost carriers AirTran Airways, Frontier Airlines and Spirit Airlines (Table 12). Regional carriers American Eagle Airlines, SkyWestAirlines, ExpressJet Airlines, Comair, Atlantic Southeast Airlines, Horizon Air, Mesa Airlines, Executive Airlines, and PSA 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 carriers employed 264,561 FTEs in February, 67.5 percent of the passenger airline total, while low-cost carriers employed 16.1 percent and regional carriers employed 14.7 percent (Table 4). 

American Airlines employed the most FTEs in February among the network carriers, Southwest Airlines employed the most FTEs among low-cost carriers, and American Eagle employed the most FTEs among regional carriers. Seven of the top 10 employers in the industry are network carriers (Table 6).

America West Airlines and US Airways now operate under a single certificate.  Joint reporting began with October 2007 data.  Before October 2007, US Airways' employment numbers were included with the network airlines, while America West's numbers were included with the low-cost airlines.  Beginning with October 2007 data, US Airways' numbers are combined with America West's numbers in the network airlines category. 

Network Airlines

FTEs at the group of seven network carriers decreased 6.4 percent in February 2009 compared to February 2008, the sixth monthly decrease from the same month of the previous year after 16 consecutive months of year-over-year growth.  Prior to an increase in May 2007, the network group had reduced FTEs from the previous year every month since September 2001 (Table 7).

Within the group, all network carriers decreased FTEs from February 2008 to February 2009: United Airlines, 12.7 percent; Delta Air Lines, 6.6 percent; Northwest Airlines, 5.4 percent; US Airways, 5.0 percent; American, 4.4 percent; Alaska Airlines, 4.5 percent; and Continental Airlines, 3.6 percent (Table 9).

FTEs at four network carriers declined during the four years from February 2005 to February 2009. The biggest percentage decline was at Northwest, down 27.5 percent, a reduction of 10,572 FTEs, followed by United at 19.6 percent.  The other FTE decreases during that time were Delta, down 16.9 percent, and American, down 8.0 percent. The increases were at Continental, 10.0 percent; Alaska, 3.3 percent; and the recently combined US Airways, 30.3 percent (Table 9). 

Network carriers 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 carrier FTEs declined 3.0 percent in February from February 2008, the fifth consecutive monthly decline in the group's FTEs not influenced by the US Airways-America West post-merger reporting.  Since the America West and US Airways reports were combined in October 2007, low-cost carrier FTEs decreased each month for 12 consecutive months through September compared to the same month of the previous year, but the previous year numbers included America West while the recent data did not (Tables 10, 11).

Four low-cost carriers reported year-to-year increases: Virgin America, 62.3 percent; Allegiant Airlines, 14.6 percent; Southwest, 4.3 percent and JetBlue Airways, 0.9 percent.  AirTran, Spirit and Frontier reported year-to-year FTE decreases. ATA Airlines, which reported 2,189 FTEs in February 2008, stopped operating on April 3, 2008 and ceased reporting employment data effective in April 2008. SkyBus also stopped reporting in April 2008 but employed 448 FTEs in February 2008 (Table 12).

Low-cost carriers are those that the industry recognizes as operating under a low-cost business model, with lower infrastructure costs and higher productivity.

Regional Airlines

Regional carrier FTEs were down 4.9 percent in February 2009 compared to February 2008 (Table 13).

ExpressJet, down 30.9 percent, and PSA, down 16.5 percent, reported the largest decreases in the regional group. Compass Airlines, up 95.6 percent, and Republic Airlines, up 114.1 percent, reported the largest increases in the group (Table 15).

Regional carrier FTEs rose from 55,931 in February 2005 to 57,581 in February 2009, an increase of 3.0 percent (Table 14).  

The 12 regional carriers reporting employment data in both 2005 and 2009 employed 4.8 percent fewer FTEs in February 2009 than in February 2005.  PSA reported the largest percentage decline, down 44.3 percent, followed by Air Wisconsin, down 29.1 percent, and Atlantic Southeast, down 22.3 percent.  American Eagle, ExpressJet, Comair, Mesa and Executive also reported fewer FTEs in February 2009 than February 2005 (Table 15).

Pinnacle Airlines reported the biggest four-year gain, 31.1 percent, followed by SkyWest Airlines at 23.0 percent and Mesaba Airlines at 17.0 percent. Horizon also reported more FTEs in February 2009 than February 2005 (Table 15).

Effective with April 2008 reporting, Trans States Airlines no longer met the reporting requirements for filing monthly airline employment data. Trans States reported 1,314 FTEs in February 2008.

Regional carrier Colgan Airlines began reporting employment data in April 2008. Colgan reported 1,273 FTEs in February (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 April 15. 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 March airline employment data for May 19.

Table 1: Change in Passenger Airline Full-time Equivalent Employees* by Carrier Group

Percent change compared to same month the previous year for the most recent 13 months

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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. 

*** 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 in Total Passenger Airline* Full-time Equivalent Employees** from the Previous Year

Percent change compared to same month the previous year

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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)

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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: Total Number of Full-time Equivalent Employees* (FTEs) by Carrier Group, February 2005-2009

FTE Numbers in thousands (000's)

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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: Full-time Equivalent Employees* by Carrier Group, Year-to-Year Change, February 2005-2009

Percent Change from the previous year

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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, February 2009

Ranked by Number of Full-Time Equivalent Employees*

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Source: Bureau of Transportation Statistics

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

Table 7: Network Airline Full-time Equivalent Employees* Change from the Previous Year**

Percent change compared to same month the previous year

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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 Carrier Full-time Equivalent Employees* by Month**

Numbers in thousands (000's)

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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: Network Carrier Full-time Equivalent Employees*, February 2005-2009**

(Ranked by February 2009 FTEs)

Numbers in thousands (000's)

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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: Change in Low-Cost Airline Full-time Equivalent Employees* from the Previous Year**

Percent change compared to same month the previous year

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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 Carrier Full-time Equivalent Employees* by Month**

Numbers in thousands (000's)

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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: Low-Cost Carrier Full-time Equivalent Employees,* February 2005-2009**

(Ranked by February 2009 FTEs)

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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: Change in Regional Airline Full-time Equivalent Employees* from the Previous Year

Percent change compared to same month the previous year

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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 Carrier Full-time Equivalent Employees* by Month

Numbers in thousands (000's)

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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: Regional Carrier Full-time Equivalent Employees*, February 2005-2009

(Ranked by February 2009 FTEs)

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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.