Spirit Airlines Announces Plan to Restructure, Files Bankruptcy

November 19, 2024

Sisters and Brothers,

Yesterday, Spirit Airlines announced that it has filed for Chapter 11 bankruptcy protection as part of a comprehensive restructuring plan. While this news may cause concern among our members, I want to be clear: this development does not mean Spirit Airlines is ceasing operations or reducing wages for our front-line Union Members. Rather, it represents a strategic move to reorganize and address its financial challenges while maintaining business operations.

This filing begins a legal process that requires court approval to proceed with the proposed restructuring plan. As of now, there is no public information indicating that the bankruptcy court has approved Spirit’s filing. The airline has stated that it expects to continue normal operations during the proceedings and aims to emerge from bankruptcy sometime between January and March of 2025.

Spirit has made public assurances that Team Member wages and benefits will continue to be paid and honored.

Furthermore, existing labor contracts, including those between the Machinists Union and Spirit, remain intact unless otherwise modified by the bankruptcy court – a possibility we will monitor closely.

The Machinists Union has significant experience navigating airline bankruptcies. Although this situation is not new to us, we approach it with a steadfast commitment to ensuring fair treatment for all our members at Spirit Airlines. We trust that Spirit will honor its public pledge that this restructuring will not impact employee compensation and benefits.

We are prepared to stand by our members and provide the necessary support throughout this process. Rest assured, the Machinists Union will keep all Union Members informed and up to date with any developments related to Spirit’s bankruptcy proceedings.

Thank you for your continued trust and dedication. Together, we will navigate these challenging times with the strength and unity that define our Union.

The Press Release from Spirit Airlines can be found here, or at Spirit.com under the “Press Releases” tab.

In Solidarity,