Now in bankruptcy, Delta will be cutting 9000 jobs. The move is an attempt to save an average of 3 billion dollars. There are many drastic cuts from the top executives down to the rank and file. No one will survive these cuts and in the end it maybe the airline itself which does not make the cut. Twenty-five percent of executives will get pink slips in their Atlanta Office. Delta is planning on also getting rid of nearly 80 aircraft and not renewing 40, which are on lease. Delta is also working with their employees on a profit sharing plan as an incentive for the employees to keep their chins up and offer additional cost savings at every level. Meanwhile Delta continues to have a strong following of travelers and is still viewed by customers as one of the best airlines to fly. Delta has maintained for years one of the best satisfaction ratings of any airlines and proimises to keep it that way even with the addtional cost cuts. Delta is changing its strategy to become a point-to-point type operation like their successful and smaller rivals rather than a giant Spoke-and-Hub type airline? Will it work? Hard to say, everything is still up in the air. Delta although deluged in debt is determined to delete costs and decisively compete as a cost efficient and dominating airline that it has been for decades. Will this dedication to develop a new direction prove decisive for Deltas destiny? |
