(Reuters) – Southwest Airways (NYSE:) has warned staff that it’s going to quickly make powerful choices as a part of a technique to revive income and counter calls for from activist investor Elliott Funding Administration, Bloomberg Information reported on Saturday.
The airline is contemplating making adjustments to its flight routes and schedules to extend income, the report added, citing the transcript of a video message to staff by Chief Working Officer Andrew Watterson.
“I apologize upfront if you happen to as a person are affected by it,” Watterson mentioned, in keeping with the report, including that he did not provide any particulars on the pending strikes.
Southwest didn’t instantly reply to a Reuters request for remark.
The airline has been struggling to search out its footing after the COVID-19 pandemic, partly resulting from Boeing (NYSE:)’s plane supply delays and industry-wide overcapacity within the home market.
It plans to supply assigned and extra-legroom seats to draw premium vacationers and begin in a single day flights. It can current the small print to buyers on Sept. 26.
Earlier this week, Reuters reported that Elliott, which owns 10% of Southwest’s widespread shares, advised one of many firm’s high unions it nonetheless desires to interchange CEO Robert Jordan, even after the service pledged to shake up its board.
