Delta Seeks to Cut Jobs; United Aims to Trim Fleet

Delta Seeks to Cut Jobs; United Aims to Trim Fleet

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Delta Air Lines said Tuesday that it would offer voluntary severance payouts to roughly 30,000 employees - more than half its work force - and cut domestic capacity by an extra 5 percent this year as part of a plan to deal with soaring fuel prices.

A rival, United Airlines, said it would ground as many as 20 airplanes, or 4 percent of its fleet, in the face of soaring oil prices.

Delta executives said in a memorandum to employees that the airline's goal was to cut 2,000 jobs in administration, management and frontline positions like flight attendants and gate and ticket agents.

A Delta spokeswoman, Betsy Talton, said that if more than that number agreed to take the voluntary severance, more departures would be allowed. The severance program will not affect Delta pilots, who have a union contract with the company, or employees at the Delta regional carrier Comair.

One part of the program is for employees who are already eligible for retirement or for those whose age and years of service add up to at least 60 with 10 or more years of service. The other part of the program is an "early-out" offer for frontline employees with 10 or more years of service and for administrative and management employees with one or more years of service.

Delta had 55,044 total full-time employees as of the end of last year.

United Airlines said it would ground and sell back to lessors 15 to 20 older narrow-body Boeing 737s that are less fuel-efficient than others in its 460-plane fleet. It did not immediately specify which domestic routes or flights could be trimmed.

The UAL Corporation, United's parent, has been increasingly aggressive in trying to pass on higher fuel costs to its customers. It raised round-trip ticket prices by as much as $50 last week - an increase matched by other carriers - and is adding fees, like $25 for checking a second bag.