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BTS 59-07
Contact: Dave Smallen, Tel.: (202) 366-5568
Tuesday, December 18, 2007
U.S. scheduled passenger airlines employed 3.5 percent more workers in October 2007 than in October 2006, the ninth consecutive increase in full-time equivalent employee (FTE) levels for the scheduled passenger carriers from the same month of the previous year, the U.S. Department of Transportation’s Bureau of Transportation Statistics (BTS) reported today (Table 2). FTE calculations count two part-time employees as one full-time employee.
America West Airlines and US Airways are now operating under a single certificate and are reporting jointly for the first time. The combined airline’s employment numbers are included with the low-cost carriers while US Airways’ previous numbers remain with network carriers and America West’s previous numbers are listed separately as a low-cost carrier.
The merged airline, which is listed in the low-cost category, reported 32,880 FTEs for October 2007. In October 2006, US Airways reported 19,247 FTEs in the network category and America West reported 12,427 FTEs in the low-cost category for a total of 31,674. In October 2005, when the two airlines were at the start of merging operations, US Airways reported 20,434 FTEs in the network category and America West reported 11,645 FTEs in the low-cost category for a total of 32,079.
Adding FTEs from October 2006 to October 2007 were network carriers Continental Airlines, Alaska Airlines, Delta Air Lines, American Airlines and, for the first time since September 2001, United Airlines (Table 9). In addition, all of the low-cost carriers except ATA Airlines (Table 12), and regional carriers American Eagle Airlines, SkyWest Airlines, ExpressJet Airlines, Comair, Horizon Air, Pinnacle Airlines, Mesaba Airlines, Mesa Airlines, Executive Airlines, PSA Airlines, Republic Airlines and GoJet Airlines (Table 15) increased their FTEs compared to last year.
Scheduled passenger airlines include network, low-cost, regional and other airlines. Many regional carriers were not required to report employment numbers before 2003, so year-to-year comparisons involving regional carriers, or the total industry, are not available for the years before 2003.
The 417,554 FTEs employed by the industry in October was the most in any month since July 2005 (Table 3). The six network carriers employed 249,014 FTEs in October, 59.6 percent of the passenger airline total, while low-cost carriers employed 22.9 percent and regional carriers employed 14.6 percent (Table 4).
American employed the most FTEs in October among the network carriers, Southwest Airlines employed the most among low-cost carriers, and SkyWest employed the most among regional carriers. Six of the top 10 employers in the industry are network carriers (Table 6).
Network Airlines
FTEs at the six remaining network carriers, not including US Airways in previous years, increased 2.1 percent in October 2007 compared to October 2006, the sixth consecutive monthly gain from the same month of the previous year. Prior to the May increase, the network group had reduced FTEs from the previous year every month since September 2001 (Table 7).
Five network carriers increased FTEs from October 2006 to October 2007. They were: Delta up 8.8 percent, Continental up 3.9 percent, Alaska up 4.5 percent, American up 0.7 percent and United up less than one-tenth of 1 percent. The only FTE decrease was reported by Northwest Airlines, down 3.4 percent (Table 9).
FTEs at five network carriers declined in October 2007 from October 2003. The exception was Continental with a 4.8 percent increase over October 2003 (Table 8). The biggest percentage decline was at Northwest, down 23.1 percent, a reduction of 8,743 FTEs, followed by Delta at 17.4 percent. The other FTE decreases during that time were United, down 10.8 percent; American, down 7.7 percent; and Alaska, down 1.2 percent (Table 9).
Low-Cost Airlines
Low-cost carrier FTEs in October continued the 13-month trend of increasing from the same month of the previous year (Tables 10, 11). The trend continued even without combining US Airways’ numbers, which were listed in previous months in the network airline category, with America West’s numbers for October.
All the low-cost carriers had FTE increases from October 2006 to October 2007 except ATA, down 4.1 percent. Frontier Airlines reported an increase of more than 15.0 percent (Table 12).
Employment data for Independence Air, which changed its business model from a regional to low-cost carrier in mid-2004, have been included with low-cost carriers for 2004 and 2005 for consistency.
Low-cost carriers are those that the industry recognizes as operating under a low-cost business model, with lower infrastructure costs and higher productivity. Two new low-cost carriers, SkyBus and Virgin America, began reporting employment data in August. SkyBus reported 316 FTEs in October and Virgin America reported 674 FTEs (Table 12).
Regional Airlines
Regional carrier FTEs were up 5.5 percent in October 2007 compared to October 2006 (Table 13).
SkyWest and GoJet reported the largest increases in the group. SkyWest, with 10,106 FTEs, the most of any regional carrier, employed 16.6 percent more FTEs in October 2007 than October 2006, while GoJet employed 15.3 percent more (Table 15).
Regional carrier FTEs rose from 55,826 in October 2004 to 60,843 in October 2007, an increase of 9.0 percent (Table 14).
The 10 regional carriers reporting employment data in both 2003 and 2007 employed 20.1 percent more FTEs in October 2007 than in October 2003. Of that group, SkyWest reported the biggest gain, 87.0 percent, followed by ExpressJet at 38.6 percent and American Eagle at 27.5 percent. Atlantic Southeast Airlines, Air Wisconsin, and Mesaba Airlines reported fewer FTEs in October 2007 than October 2003 (Table 15).
Regional carriers typically provide service from small cities, using primarily regional jets to support the network carriers’ hub and spoke systems.
Reporting Notes
Airlines that operate at least one aircraft with the capacity to carry combined passengers, cargo and fuel of 18,000 pounds – the payload factor – must report monthly employment statistics.
The Other Carrier category generally reflects those airlines that operate within specific niche markets, such as Aloha Airlines and Hawaiian Airlines in serving the Hawaiian Islands.
Data are compiled from monthly reports filed with BTS by commercial air carriers as of Dec. 12.
Additional airline employment data can be found on the BTS website at
http://www.bts.gov/programs/airline_information/number_of_employees/. BTS has scheduled release of November airline employment data for Jan. 15, 2008.
Table 1: Change in Passenger Airline Full-time Equivalent Employees* by
Carrier Group
Percent change compared to same month the previous year for the most recent 13
months
|
Month |
Network Carriers** (Pct. Change) From Table 7 |
Low-Cost Carriers*** (Pct. Change) From Table 10 |
Regional Carriers (Pct. Change) From Table13 |
All Passenger Airlines**** (Pct. Change) From Table 2 |
|
Oct. 2005-Oct. 2006 |
-4.0 |
0.8 |
0.6 |
-2.3 |
|
Nov. 2005-Nov. 2006 |
-3.4 |
0.9 |
2.4 |
-1.6 |
|
Dec. 2005-Dec. 2006 |
-2.9 |
1.4 |
3.4 |
-0.9 |
|
Jan. 2006-Jan. 2007 |
-2.6 |
4.5 |
3.0 |
-0.4 |
|
Feb. 2006-Feb. 2007 |
-2.2 |
5.0 |
5.9 |
0.4 |
|
Mar 2006-Mar 2007 |
-1.4 |
4.4 |
5.6 |
0.7 |
|
Apr. 2006-Apr. 2007 |
-0.7 |
5.7 |
5.6 |
1.4 |
|
May 2006-May 2007 |
0.3 |
5.3 |
7.2 |
2.2 |
|
June 2006-June 2007 |
1.3 |
5.3 |
5.1 |
2.5 |
|
July 2006-July 2007 |
1.5 |
5.9 |
4.8 |
2.8 |
|
Aug. 2006-Aug. 2007 |
1.5 |
5.3 |
4.9 |
2.6 |
|
Sept. 2006-Sept. 2007 |
1.8 |
6.0 |
5.2 |
3.0 |
|
Oct. 2006-Oct. 2007 |
-5.3 |
34.6 |
5.5 |
3.5 |
Source: Bureau of Transportation Statistics
* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.
** US Airways’ employment numbers were included with the network airlines prior to October 2007. Beginning with October 2007, US Airways’ numbers are combined with America West Airlines’ numbers in the low-cost category.
***Employment numbers in 2005 for Independence Air, which changed its business model from a regional to low-cost carrier in mid-2004, are included with low-cost carriers. The airline discontinued flights on Jan. 5, 2006.
**** Includes network, low-cost, regional and other carriers. Other Carriers generally operate within specific niche markets. They are: Allegiant Air, Aloha Airlines, Boston-Maine Airways, Casino Express Airlines, Continental Micronesia, Eos Airlines, Hawaiian Airlines, Midwest Airlines, Sun Country Airlines and USA3000 Airlines.
Note: Percent changes based on numbers prior to rounding.
Table 2: Change in Total
Passenger Airline* Full-time Equivalent Employees** from the Previous Year
Percent change compared to same month the previous year
|
Month |
2004 |
2005 |
2006 |
2007 |
|
January |
-5.6 |
-0.8 |
-6.0 |
-0.4 |
|
February |
-5.3 |
-1.4 |
-5.8 |
0.4 |
|
March |
-4.1 |
-1.9 |
-5.4 |
0.7 |
|
April |
-2.3 |
-3.1 |
-4.6 |
1.4 |
|
May |
-0.8 |
-3.5 |
-5.0 |
2.2 |
|
June |
0.5 |
-3.8 |
-4.8 |
2.5 |
|
July |
2.5 |
-3.5 |
-5.9 |
2.8 |
|
August |
2.2 |
-5.8 |
-3.1 |
2.6 |
|
September |
2.4 |
-5.8 |
-2.6 |
3.0 |
|
October |
2.5 |
-6.0 |
-2.2 |
3.5 |
|
November |
2.2 |
-6.5 |
-1.6 |
|
|
December |
0.9 |
-5.9 |
-0.9 |
|
Source: Bureau of Transportation Statistics
* Includes network, low-cost, regional and other carriers.
** Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.
Note: Percent changes based on numbers prior to rounding.
Table 3: Total Passenger
Airline* Full-time Equivalent Employees** by Month
Numbers in thousands (000’s)
|
Month |
2003 |
2004 |
2005 |
2006 |
2007 |
Percent Change |
|
|
2003-2007 |
2006-2007 |
||||||
|
January |
465.7 |
435.0 |
431.5 |
405.7 |
404.3 |
-13.2% |
-0.4% |
|
February |
459.4 |
435.0 |
428.9 |
404.5 |
406.0 |
-11.6% |
0.4% |
|
March |
454.3 |
435.9 |
427.7 |
405.1 |
408.0 |
-10.2% |
0.7% |
|
April |
448.2 |
437.8 |
424.1 |
404.5 |
410.2 |
-8.5% |
1.4% |
|
May |
443.2 |
439.6 |
424.4 |
403.6 |
412.4 |
-6.9% |
2.2% |
|
June |
438.9 |
440.9 |
424.3 |
403.8 |
414.0 |
-5.7% |
2.5% |
|
July |
433.2 |
444.1 |
428.5 |
403.3 |
414.6 |
-4.3% |
2.8% |
|
August |
433.3 |
443.0 |
417.5 |
404.7 |
415.2 |
-4.2% |
2.6% |
|
September |
429.6 |
440.0 |
414.5 |
403.7 |
416.0 |
-3.1% |
3.1% |
|
October |
428.3 |
439.1 |
412.7 |
403.6 |
417.6 |
-2.5% |
3.5% |
|
November |
429.9 |
439.5 |
411.0 |
404.5 |
|
|
|
|
December |
430.2 |
434.0 |
408.8 |
405.0 |
|
|
|
Source: Bureau of Transportation Statistics
* Includes network, low-cost, regional and other carriers.
** Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.
Note: Percent changes and averages based on numbers prior to rounding.
Table 4: Total Number of
Full-time Equivalent Employees* (FTEs) by Carrier Group, October
2003-2007
FTE Numbers in thousands (000’s)
|
|
Network** |
Low-Cost |
Regional |
All Passenger Airlines*** |
|
2003 |
305.3 |
71.3 |
42.0 |
428.3 |
|
2004 |
300.9 |
71.2 |
55.8 |
439.1 |
|
2005 |
274.1 |
70.4 |
57.4 |
412.7 |
|
2006 |
263.0 |
70.9 |
57.7 |
403.6 |
|
2007 |
249.0 |
95.4 |
60.8 |
417.6 |
|
Pct. Change 2003-2007**** |
-18.4% |
33.8% |
9.0% |
-4.9% |
|
Percent of Total Passenger Airline Employees in 2007 |
59.6% |
22.9% |
14.6% |
|
Source: Bureau of Transportation Statistics
* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.
** US Airways’ employment numbers were included with the network airlines prior to October 2007. Beginning with October 2007, US Airways’ numbers are combined with America West Airlines’ numbers in the low-cost category.
*** Includes network, low-cost, regional and other carriers.
**** Percent change comparison for regional airlines and for all passenger airlines is for 2004 to 2007 because of the number of airlines in these categories that did not meet the standard for reporting monthly employment numbers.
Note: Percent changes based on numbers prior to rounding.
Table 5: Full-time
Equivalent Employees* by Carrier Group, Year-to-Year Change, October
2003-2007
Percent Change from the previous year
|
|
Network** |
Low-Cost |
Regional*** |
All Passenger Airlines**** |
|
2003 |
-16.8 |
8.5 |
39.4 |
-9.4 |
|
2004 |
-1.4 |
-0.2 |
33.0 |
2.5 |
|
2005 |
-8.9 |
-1.2 |
2.7 |
-6.0 |
|
2006 |
-4.0 |
0.8 |
0.6 |
-2.2 |
|
2007 |
-5.3 |
34.6 |
5.5 |
3.5 |
Source: Bureau of Transportation Statistics
* Full-time Equivalent Employee (FTE) calculations count two part-time employees as one full-time employee.
** US Airways’ employment numbers were included with the network airlines prior to October 2007. Beginning with October 2007, US Airways’ numbers are combined with America West Airlines’ numbers in the low-cost category.
*** Many regional carriers were not required to report employment numbers before 2003, so year-to-year comparisons involving regional carriers, or the total industry, are not appropriate for the years before 2003.
**** Includes network, low-cost, regional and other carriers.
Note: Percent changes based on numbers prior to rounding.
Table 6: Top 10 Airlines,
October
2007
Ranked by Number of Full-Time Equivalent Employees*
|
Rank |
Airline* |
Total FTE Employees (000) |
Carrier Group |
|
Top 10 Airlines October 2006 |
|
1 |
American |
73,259 |
Network |
|
American |
|
2 |
United |
52,373 |
Network |
|
United |
|
3 |
Delta |
48,416 |
Network |
|
Delta |
|
4 |
Continental |
35,972 |
Network |
|
Continental |
|
5 |
Southwest |
33,876 |
Low Cost |
|
Southwest |
|
6 |
US Airways |