Southwest Airlines announced on February 17, 2025, its decision to cut approximately 15% of its corporate jobs, affecting about 1,750 roles. This marks the first company-wide layoff in its nearly 54-year history, a move CEO Bob Jordan called 'unprecedented.'
The job cuts are part of a comprehensive cost-saving plan, expected to generate $210 million in savings in 2025 and approximately $300 million in 2026. The majority of these layoffs are anticipated to be completed by the end of the second quarter and include some senior leadership positions.
Jordan stated that the decision is crucial for transforming Southwest Airlines into a 'leaner, faster, and more agile organization.' This strategic restructuring follows a settlement with activist investor Elliott Investment Management, which had pushed for significant changes to improve profitability.
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