Continental to Furlough 12,000 Employees
Just the first of many such announcements expected this weekend...
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Continental making major cuts in wake of attacks
September 15, 2001 Posted: 11:39 AM EDT (1539 GMT)
HOUSTON, Texas (CNN) -- The effects on the airline industry from Tuesday's terrorist attacks became more evident Saturday, as Continental Airlines announced major reductions in its flight schedule and staffing.
Continental, in a press release, said it will immediately reduce its long-term flight schedule by approximately 20 percent, and will be forced to furlough some 12,000 employees.
The airline said these cutbacks "are a direct result of the current and anticipated adverse effects on the demand for air travel caused by this weeks terrorist attacks on the United States, and the operational and financial costs of dramatically increased security requirements."
The airline scheduled a 2 p.m. EDT press conference.
"The U.S. airline industry is in an unprecedented financial crisis. We call on the President and members of Congress to take immediate action to restore the stability of this vital industry, on which our nation's economy heavily depends," said Gordon Bethune, Continental chairman and chief executive officer. "Our industry needs immediate Congressional action if the nation's air transportation system is to survive."