In a significant turn of events, Southwest Airlines has disclosed plans to initiate its first-ever mass layoffs, affecting 15% of its corporate staff. This decision aims to sever nearly 2,000 jobs from its workforce. As reported by FOX 4, the Dallas-based carrier is to focus these job reductions mainly on corporate overhead and leadership positions, which will include cutting 11 senior leadership roles.

Southwest CEO Bob Jordan announced the workforce reduction, which will commence in late April. The plan is part of a broader strategic plan and is anticipated to save the airline approximately $210 million this year and upwards of $300 million by 2026. According to details from an internal note detailed by ABC7NY, Jordan described the layoffs as "a very difficult and monumental shift. "

This move by Southwest follows a previous year's activist investor battle with Elliott Investment Management. Elliott once gained significant influence over Southwest after building an 11% stake and securing several seats on the airline's board. Following pressure from Elliott, the airline strived to improve its financial performance. Southwest Airlines stated, as per FOX 4, that the "growth of our leadership and noncontract functions have outpaced our operation's growth for many years."