Spirit Airlines says 20 to 30% of workers at risk of furloughs: CEO's memo

Spirit Airlines is preparing to inform unions on Friday that 20-30% of workers may be furloughed in October, an internal memo shows, becoming the first low-cost US carrier to detail potential job cuts due to the coronavirus pandemic. Workers at risk of being furloughed include pilots and flight attendants, according to the memo seen by Reuters. Spirit Airlines confirmed the memo was sent to employees on Tuesday but said it has no further comment. "It's now clear that the demand increase we saw in June was an outlier, and the downward trend will continue," CEO Ted Christie says in the memo. The airline's expected daily cash burn of more than US$100m each month, over the next several months, "is not sustainable," he added. On a conference call last week, Christie said the company was still looking at ways to mitigate the need for involuntary action after Sept. 30. "I think we're still reading the game film, to be honest, because the summer has been up and down both sides, and we want to make sure that we digest all the information before we make a call," Christie told investors after posting a wider-than-expected quarterly loss.<br/>