Register | Forgot Your Password? | Close
pollack_elliott2012.JPG
Elliott Pollack, left, expects job losses from a potential merger between US Airways and American Airlines will hurt the Valley. US Air headquarters are in Tempe. (Photo: Jim Cross/KTAR)

PHOENIX -- Valley economist Elliott Pollack said a merger between US Airways and American Airlines will lead to job reductions in the Valley but the extent of those losses isn't known yet.

US Air employs just over 9,200, making it the ninth-largest private employer in the state. Jobs connected to the airline brings the total employment impact to 24,515.

Pollack said the airline has approximately 2,000 jobs at its Tempe corporate headquarters. If the state loses those jobs the total impact would be 5,300 jobs when including jobs created by businesses that provide goods and services to US Airways, said the economic consultant.

"State revenues would drop by $11.4 million. County and local revenues would drop by a combined $9.5 million," he said.

Pollack made it clear that numbers surrounding a possible reduction in flight operations, i.e. moving the hub out of Sky Harbor, are speculative but he offered one scenario.

"If flight activity is reduced about 4,600 jobs (includes indirect jobs serving the airline) would be lost and state, county and local tax revenues would drop by almost $18.5 million."

Liz Landau, a spokeswoman with US Air, said the company cannot comment on any potential merger, but she said the airline recently signed a five-year lease on corporate headquarters in Tempe. A hub will be maintained in the Valley.

The Tempe headquarters have 750 corporate employees.

Jim Cross, Reporter

share this story:
Attention KTAR.com Comment Users: We have recently changed our comments boards.
We would like you to be part of the conversation and The Voice of Arizona by logging in with your Facebook, Twitter, Google+ or Disqus account. Existing KTAR (Arizona Sports) account members will need to create a Disqus account or use one of the aforementioned social media logins. Thank you.
comments powered by Disqus

World Class Arizona

  • Dignity Health

    World Class People. World Class Company. Excellent care, delivered with compassion, for all in need.
  • CopperPoint Mutual Insurance Company

    SCF Arizona has a new name. They are now CopperPoint Mutual Insurance Company.
  • Taylor Morrison

    World Class People. World Class Company. We are a national home builder committed to building homes inspired by you.
  • Go Daddy

    World Class People. World Class Company. Go Daddy is a Fortune 100 "Best Companies to Work For."
  • Avnet

    World Class People. World Class Company. Here's information on a Fortune 500 company from Arizona.

Voice For A Better Arizona

  • Working For Arizona

    The business and economics of Arizona at the start of 2014 and looking forward.
  • Arizonans In Need

    Putting a focus on charities and organizations who provide help and/or need your help to fulfill their missions.
close

Share: