Denver-based Frontier Airlines on Friday said it will lay off 140 Milwaukee reservation employees as part of its plan to transition management of its reservation department to a business partner, Nashville-based Sitel.
Frontier also will lay off 1,160 airport employees in Denver as part of the outsourcing efforts.
Many of the employees laid off in both locations will be rehired by the business partners, a Frontier spokesperson said. In addition, the airline is offering “significant” severance that employees will receive even if they are rehired.
“Today’s announcement is by no means a reflection of the service or level of work provided by our team members,” Frontier said in a statement. “The business partners we have selected are high-quality organizations and employees will be given priority in interviewing.
“These changes continue to be part of a comprehensive companywide strategy that is crucial for Frontier to successfully compete in the marketplace as an ultra-low cost carrier, allowing it to offer customers much needed relief from high airfares nationwide. Low fares are only achieved through low costs.”
Frontier already uses the business partner model at 60 field stations in the U.S., Mexico, Costa Rica, Jamaica and the Dominican Republic.
