Southwest offers buyout packages, temporary leaves to 'ensure survival'

Southwest Monday extended buyout packages and temporary paid leaves to employees in what its chief executive said was an effort to “ensure survival” as the carrier braces for a slow recovery from the coronavirus pandemic, according to documents detailing the packages that were seen by Reuters. Southwest, which has not imposed any layoffs or furloughs in its 49-year history, said its flying capacity would probably be down about 30% in the fall. “While overstaffing isn’t tied 100% to capacity levels, it would be fair to assume that we are overstaffed in many areas by a similar percentage,” Southwest said. Southwest is offering leaves of a minimum of six months with benefits and 50% pay for most employees, excluding pilots, who would receive about 61% pay. The maximum leave period varies, and the airline said it “may return employees to work earlier if needed for operational needs.” Buyouts are being offered to employees depending on their time with the company. <br/>