Spirit Airlines laid off more than 950 employees across Texas after a $500 million federal bailout of the budget airline fell through.
The airline told the Texas Workforce Commission it would immediately lay off 444 employees at Dallas-Fort Worth International Airport and 515 people at George Bush Intercontinental Airport in Houston on May 2.
The layoffs will affect about 17,000 employees internationally.
United Airlines and Fort Worth-based American Airlines have both set up dedicated websites for Spirit employees looking for new jobs. Boeing also scheduled a virtual career event for May 11.
The airline shutdown led to cancelations for thousands of customers. In response, United set up a website to provide one-way flights until May 16 to destinations impacted by the cancelations. The tickets are capped at $199 for most non-stop flights and $299 for longer, connecting flights. Spirit has also set up a website for customers to receive refunds on cancelled flights.
Spirit ticketholders can also contact their credit card company, file a travel insurance claim or file a bankruptcy claim if they don't receive a refund, the U.S. Department of Transportation said.
The 34-year-old airline announced its closure on May 2 amid soaring jet fuel prices and its second round of bankruptcy proceedings in less than two years.
Transportation Secretary Sean Duffy blamed President Joe Biden for blocking a proposed merger between JetBlue and Spirit in 2024. The Biden administration's Justice Department at the time argued the merger would have resulted in higher prices and less choice for flyers.
Texas Sen. Ted Cruz told Bloomberg this week he was against a proposed plan for the federal government to buy a 90% share in Spirit for $500 million.
"If we pour it into the airline, we'll lose the money," Cruz said. "And the federal government has zero expertise — who thinks the federal government knows how to schedule flight attendants?"
Dylan Duke is KERA's Breaking News Reporter. Got a tip? Email Dylan Duke at dduke@kera.org.
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