Now Frontier is doing their own part to ruin the economy:
Denver-based Frontier Airlines on Friday said it will lay off 140 Milwaukee reservation employees as part of its plan to transition management of its reservation department to a business partner, Nashville-based Sitel.We have seen this type of vulture capitalism too many times.
Frontier also will lay off 1,160 airport employees in Denver as part of the outsourcing efforts.
Many of the employees laid off in both locations will be rehired by the business partners, a Frontier spokesperson said. In addition, the airline is offering “significant” severance that employees will receive even if they are rehired.
“Today’s announcement is by no means a reflection of the service or level of work provided by our team members,” Frontier said in a statement. “The business partners we have selected are high-quality organizations and employees will be given priority in interviewing.
“These changes continue to be part of a comprehensive companywide strategy that is crucial for Frontier to successfully compete in the marketplace as an ultra-low cost carrier, allowing it to offer customers much needed relief from high airfares nationwide. Low fares are only achieved through low costs.”
The workers that are lucky enough to get jobs with the new company will surely see a big cut in pay and benefits. Meanwhile, consumers won't see any significant savings - and maybe no savings at all. However, it's also safe to say that the CEO and board of directors will see huge bonuses and pay raises.
One of Frontier Airlines' gimmicks is to have pictures of animals on the tails of their planes. They should switch those pictures of vultures to honor the vulture capitalism they continue to practice.