Northwest Airlines Will Trim 2,500 Jobs

Minneapolis, MN (AHN) - Northwest Airlines Corp announced Wednesday they will cut 2,500 jobs, or roughly 8 percent of their total staff as the airline looks to reduce capacity in order to cut costs.

The move comes on the heels of similar cuts previously announced by other major airlines as the industry continues to struggle with ever rising fuel expenses.

The company said the job cuts will begin with leaving open positions unfilled and accepting voluntary departures before moving to layoffs in order to reach the reduction target.

Northwest also said they will start charging $15 to check a piece of luggage and charge up to $100 to redeem a frequent flier award ticket.

The airline said the new fees and job cuts would generate about $250 million to $300 million a year.

"These reductions are the direct result of our extraordinary fuel costs and the necessary actions we must take to right-size our airline and eliminate unprofitable flying," President and Chief Executive Doug Steenland said in a written statement, according to the Associated Press.

Northwest employees roughly 30,000 people.