Delta moving hundreds of jobs from Minnesota 10/06/2011
Delta Air Lines' decision to move several hundred jobs from Minnesota to its headquarters in Atlanta has come under immediate fire from politicians on both sides of the aisle. The carrier announced that positions in the Twin Cities involved with the training of pilots, flight attendants as well as flight simulator operations will be shipped south where Delta already maintains similar training facilities. Additionally, some engineering and technical jobs now based at the Minneapolis/St. Paul International Airport will be moved to Georgia. Delta purchased Twin Cities-based Northwest Airlines in 2008 but made a commitment to keep at least 10,000 jobs in Minnesota after the acquisition was completed. CEO Richard Andersen said in an employee memo that the airline would still employ 12,000 Minnesotans after the jobs move and that the airline remains "firmly committed" to the hub at MSP. However, Republican Congressman John Kline and Democratic Congressman Keith Ellison both blasted the company for its actions. In response to the criticism Delta responded that the move was made necessary by rising fuel costs that have placed even further pressure on being efficient. Advertisement Delta has also offered positions in Atlanta to every employee that is being displaced should they be willing to relocate. According to Representative Ellison whose district encompasses the airport, Minnesota had already lost 1,500 jobs due to the Northwest merger prior to this week's announcement. The airline, because of its decision to close the training centers which are located adjacent to the former Northwest headquarters in Eagan, will now be required to pay the Metropolitan Airports Commission for a $175 million loan obtained by Northwest in 1992. The post-merger agreement with the MAC required Delta to keep the training facilities open or re-pay the loan. Another part of the airport lease agreement between Delta and the airports commission requires the airline to fly a minimum of 360 daily flights from MSP. The summer schedule has 480 daily Delta flights so does not appear to be in any near-term jeopardy of default. While the carrier earlier this year announced a planned reduction in flying overall, the Twin Cities hub is expected to be one of the least affected by the cutbacks and remain Delta's second largest operation after Atlanta. Other Delta hubs include Detroit, Salt Lake City, Memphis, Cincinnati, New York-JFK and Tokyo-Narita. Marc Friedman Story By:- Marc Friedman, Minneapolis Airlines/Airport Examiner Comments Your comment will be posted after it is approved. Leave a Reply |