Guam – A number of United Airlines employees on Guam may soon be without a job. The company Wednesday confirmed that it is reorganizing its Guam hub to increase efficiency and sustainability.
In the process, they acknowledge that some employees will be laid off, but it’s still not clear exactly how many.
The changes here, are part United worldwide reorganization, and comes as no suprise in the wake of the Continental-United merger which was finalized in November of last year.
Sources close to PNC said over 40 employees will be laid off by November 9.
The company, according to sources, just informed their employees yesterday in a meeting, but United employees already saw it coming. Sources also said that those who will be laid off are employees with less seniority and were hired after 2005. Customers seeking reservations will be re-routed to United’s 800 number and Reservations employees at the ticket office at the Century Plaza in Tamuning will be moved to the airport.
In an emailed statement, United’s Director of Asia-Pacific Communications, Koji Nagata said that the company is reorganizing its Contact Center, Cargo and Airport Operations functions on Guam. The Guam Contact Center will be closed down, its Cargo functions will be outsourced and they will reduce the number of local Airport Operations employees.
Nagata said the company is in discussions with affected employees and is providing them with assistance and support. United remains committed to its Guam hub, he said.
PNC asked United how many employees will be affected but we did not get a response as of news time.
Since the United Continental merger, threats of pay cuts and layoffs have been reported within the company. In August last year over 300 Guam based Continental flight attendants were in jeopardy of pay cuts as a result of the merger, however, just last month a contract extension was ratified by Continental Micronesia flight attendants with United Airlines. It was not clear whether yesterday’s announcement of layoffs was as result of the merger. The company in July announced a loss in profits in its 2nd quarter earnings compared to the same period last year, going from $538 million in profits in 2011 to $339 million this year, or a loss of nearly $200 million.
United Airline Union representatives told PNC today that they will be preparing a comment on the announcement in cuts by tomorrow.
United Airlines has confirmed that it is reorganizing its Contact Center, Cargo and Airport Operation functions on Guam.
READ the statement from United’s Director of Asia/Pacific Communications Koji Nagata in FULL below:
United confirms that it is reorganizing its Contact Center, Cargo and Airport Operations functions on Guam as part of company-wide initiatives to increase efficiency and achieve sustained profitability. The company will close its Guam Contact Center, outsource its local Cargo functions and reduce the number of local Airport Operations employees. The company is in discussions with the employees affected by this decision, providing them with appropriate support and assistance. United remains committed to its Guam hub.