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Page last updated at 09:53 GMT, Tuesday, 24 June 2008 10:53 UK

United Airlines sheds 950 pilots

United Airlines
United Airlines plans to ground 100 of its older aircraft

US carrier United Airlines has said 950 - about 14% - of its pilots will lose their jobs as spiralling fuel costs and weak consumer spending hit earnings.

The job cuts are in addition to existing plans to eliminate 1,600 positions from the firm's workforce.

Staff numbers must be scaled back as United Airlines reduces the number of services it offers, the firm said.

Since oil prices passed $135 a barrel, jet fuel costs have sent the whole airline industry reeling.

Many airlines have made a series of radical moves to survive, including charging passengers to check in their first piece of luggage and raising the price of air fare tickets.

A number have already collapsed, including UK airline Silverjet and budget carrier Oasis Hong Kong.

Earlier this month, United said it would ground 100 planes, leading to a 17%-18% cut in domestic capacity and a 4-5% reduction in international capacity.

"As we take actions to enable United to compete in an environment of record fuel prices, we must take the difficult but necessary step to reduce the number of people we have to run our business," the Chicago-based carrier said in a statement.


SEE ALSO
US carriers shelve merger talks
30 May 08 |  Business
Sky-high fuel hurts US airlines
23 Apr 08 |  Business
United grounds Boeing 777 fleet
02 Apr 08 |  Business
US airline deal talk intensifies
11 Feb 08 |  Business
US airline payout angers workers
07 Dec 07 |  Business

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