United Airlines is eliminating 13 officer positions among its management team as part of an organizational restructuring that will begin later this month.
The restructuring aims to cut management and administrative staff by 30 percent as of Oct. 1, the carrier said in an organizational update. While it plans to increase capacity in July to about 25 percent of its normal schedule, compared with about 10 percent that it is operating now, "travel demand is still a very long way from where it was at the end of last year, and the financial impact on our business remains severe," United said in the note.
Leaders leaving United as of Oct. 1 include United Group Express VP Lynda Coffman, network operations VP Jim DeYoung, VP and chief community engagement officer Sharon Grant, Denver hub VP Steve Jaquith, New York/New Jersey president and SVP Jill Kaplan, VP of marketing Mark Krolick, VP of digital products and analytics Praveen Sharma and VP of line maintenance Don Wright. Five other officer positions vacated under the reorganization also will not be refilled, according to United.
Among the organizational changes, which take effect June 15, SVP of alliances John Gebo will move to a new "chief transformation officer" role, and the alliance team will be combined with the international network team under VP of international network and alliances Patrick Quayle. United's business-to-business marketing and product teams will be combined with its Mileage Plus team under VP of Mileage Plus and marketing Luc Bondar. Commercial CFO Michelle Brown will take on a new role as VP of digital product and analytics, and her former role will be consolidated into the CFO of operations position.
United expects to announce another round of reorganization by the end of this month and to complete the process by August.