After dismal earnings report, Hawaiian Airlines expected to move ahead with layoffs
HONOLULU, Hawaii (HawaiiNewsNow) - It’s a bleak economic outlook for Hawaiian Airlines.
Like many other companies, they’ve been hit hard by the economic downturn brought on by the pandemic.
The company says it must move forward with layoffs after losing more than $100 million in its 2nd quarter earnings report.
During a call with investors on Tuesday, the airline’s president Peter Ingram wouldn’t reveal an exact number of potential layoffs, but says employees will be notified soon.
“Having to shrink the company that our team has worked so painstakingly to build is heartbreaking, but it is essential to preserve the viability, competitiveness, and success of our business over the long-term,” he said.
Ingram says he expects the airline will be 15 to 25-percent smaller by next summer.
“Our goal is to reduce the workforce through voluntary means through the extent feasible, but we acknowledge that it is likely that we will need to proceed with involuntary separations as well,” Ingram added.
Traveler quarantines have resulted in the significant drop in Hawaii travel.
Since inter-islands restrictions have lifted, however, the state reported roughly 14,000 trips between islands last week alone.
This story may be updated.
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