Yesterday, Southwest Airlines reported a 4.1 percent increase in traffic for the month of April, a nice increase considering the condition of the economy. The airline flew 6.5 billion revenue passenger miles (RPMs) for the month of April 2009. In 2008, the carrier flew 6.3 billion RPMs. However Southwest did report a 1.9 percent decline in available seat miles to 8.5 billion, from 8.6 billion a year earlier. The carrier saw the number of trips flown drop 3.8 percent for April 2009.
Southwest’s load factor, for the month of April, was 77 percent – indicating that planes are getting fuller. A year earlier, Southwest saw a load factor of 72.6 percent.
Out of all the carriers I’ve seen, I think it’s fair to say that Southwest Airlines is among the top airlines for performance in this week economy. They recently reached a tentative contract agreement with their 5,300 customer-service employees. The four year deal will include raises, but it is unknown how large the increase in salary will be. Last month, ground workers ratified a contract that includes 3 percent annual raises. Pilots will vote on a five-year deal that includes increased pay and retirement benefits, and flight attendants will vote on a contract soon. Te union said included pay raises, better / larger 401(k) contributions and incrased job security.
From what I see, Southwest is clearly one of those airlines that will continue to succeed. I’ve always admired how well they treat their employees, and based on recent news and their 37+ year history, I think they are still on the right path.
Feel free to share comments / viewpoints.
