Court Gives Frontier Go-Ahead To Furlough Workers

November 2, 2008 1:30 p.m. EST

Denver, CO (AHN) - A bankruptcy court granted Frontier Airlines its request to allow the company to temporarily layoff its heavy maintenance workers during times when they aren't needed.

The request was granted as relief in the airline's collective bargaining agreement with the International Brotherhood of Teamsters (IBT).

"The concessions will help us achieve a competitive cost structure," Sean Menke, Frontier's chief executive officer said in a statement. "The heavy maintenance plan allows us to address our reduced heavy maintenance requirements resulting from reductions in our aircraft fleet."

Allowing the airline to lay off the workers when they're not needed could save the company several million dollars a year, according to a Frontier press release.

The airline filed the motion for relief after months of failed negotiations with the IBT, Chris Collins, Frontier's chief operating officer said.

Collins said the ruling gives the airline the option of outsourcing its heavy maintenance staff, but the company will continue to use its own staff for the time being, "furloughing and recalling the mechanics as needed," the press release states.

Frontier Airlines is the second largest airline flying out of the Denver Airport. It employs 5,000 people.