Airlines scaling back

I just heard Continental is putting a halt to hiring right now too. With the high cost of fuel prices I think many airlines are re-assessing their work force. United announced the lay offs of 1100 jobs due to their loss this last quarter.

Here is what the NY Times is saying:

Of the planned employee cuts, 500 would be managers and 600 union-represented workers, Glenn Tilton, United’s chief executive, said in a recorded message to his workers. “In this extraordinary environment, we recognize the pace of change needs to accelerate,” he said.

United hopes to merge with another airline — Continental Airlines and US Airways are leading candidates — in order to compete against the proposed combination of Delta Air Lines and Northwest Airlines. Tuesday, in his message to workers, Mr. Tilton called industry consolidation “one of the changes required to address the gap between where we stand today and profitability and sustainability.”

The airlines that are hiring still, will have a very competitive nature since the airlines that are hiring are starting to lessen.