Southwest Airlines to Cut 1,750 Corporate Jobs in Cost-Saving Move

Southwest Airlines is slashing its corporate workforce as part of a cost-cutting effort to become a “more agile organization.”

The airline said the cuts will affect about 1,750 employees, primarily in corporate overhead and leadership roles, including some senior leadership and director positions. Of those, 11 are vice president level or higher. In total, the cuts represent approximately 15% of all corporate positions.

The reductions are expected to be completed by the end of the second quarter of 2025, Southwest said. It expects the job cuts to save about $210 million this calendar year and $300 million next year, not including severance pay for employees.

“This decision is unprecedented in our 53-year history, and change requires that we make difficult decisions. We are at a pivotal moment as we transform Southwest Airlines into a leaner, faster, and more agile organization,” said Bob Jordan, Southwest’s president, CEO, and vice chairman.

“I arrived at this decision thoughtfully and carefully, knowing how hard it will be to say goodbye to colleagues who have been a significant part of our Southwest culture and accomplishments. I’m grateful to all Southwest employees who have shared in our legendary history and to those who will guide us into the next era of Southwest Airlines.”

Ongoing Transformation

The job cuts come as Southwest continues a broader transformation, one accelerated by last year’s activist investor battle with Elliott Management. While the fight ended in the fall, it brought significant changes to the airline.

Southwest announced in July 2024 that it would drop one of its signature policies, open seating. It also introduced a premium ticket option with extra legroom and launched new redeye domestic flights, which began last week on Valentine’s Day.

Despite pressure from Elliott, Jordan remained CEO, while Executive Chairman Gary Kelly was forced to step down. He now holds the title of chairman emeritus.