Is This Any Way to Run an Airline?

New layoffs at Texas Air threaten to worsen flagging morale

Outside the Eastern Airlines compound that sits along the northeast perimeter of Miami International Airport, the temperature was a pleasant 75 degrees and palm trees swayed in a gentle breeze. But inside a first-floor conference room in Eastern's boxlike concrete-and-glass headquarters, the scene was stormy. Under the harsh glare of a battery of television lights, executives of the 60- year-old airline last week announced the layoff of more than 3,500 employees, or 9% of the work force, sparing only pilots and flight attendants. Said Luz Gomez, 26, a laid-off clerical worker: "I don't know how they are going to do without...

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