Southwest Plans To Cut Pay To Avoid Layoffs, Furloughs

The airline industry is seeking assistance from Congress to cope with the pandemic. CEO Gary Kelly announced pay cuts for nonunion workers starting in January and urged union workers to accept reduced pay to prevent layoffs. Without government funding, Southwest Airlines plans significant spending cuts until a COVID-19 vaccine is available. Kelly will forgo his salary through next year, while senior executives and nonunion workers face pay reductions.

What action is Southwest Airlines taking to avoid layoffs and furloughs?

• Pay cuts for workers

• Hiring more staff

• Expanding flight routes

• Increasing ticket prices

What condition did Gary Kelly mention for avoiding significant spending cuts?

• Government funding

• New flight routes

• Increased ticket sales

• Union agreement

What personal financial decision did Gary Kelly make in response to the pandemic?

• Investing in new aircraft

• Foregoing his salary

• Buying company shares

• Donating to charity

What percentage pay cut are senior executives at Southwest Airlines taking?

• 20%

• 15%

• 10%

• 25%

What is the pay cut percentage for nonunion workers at Southwest Airlines?

• 15%

• 10%

• 5%

• 20%