Employee Retention of Southwest Airlines : Southwest Airlines Co. (NYSE: LUV) is an American airline based in Dallas, Texas. Southwest is the largest airline in the United States, based on domestic passengers carried, as of June 30, 2010.[2] Southwest operates more than 3,400 flights a day, as of March 2011, utilizing a fleet of 547 Boeing 737 aircraft.[3]
Southwest is known throughout the aviation industry as a "low-cost carrier" because of its unique business model. The model includes flying one aircraft type, the Boeing 737, on high-density routes throughout the United States. Southwest's "low-cost" business model is further defined by the airline not offering many services, which are a standard offering on most traditional American carriers, such as a First Class cabin, airport lounges, reserved seat assignments, and video/audio programing. By not offering these services, Southwest claims that it can offer lower fares and produce a higher return on invested capital than other airline companies.[3]
On September 27, 2010, Southwest Airlines announced it would acquire AirTran Airways.
The success of Southwest Airlines Co. in becoming a respected leader and high performer in the airline industry can be traced to the company's innovative work and human resource strategies. Southwest deemphasizes the creation of a formal organizational structure. Instead, the company has a rather informal work structure that encourages employee participation. This strategy has provided Southwest with a dedicated workforce committed to quality and customer service. One other component of the airline's success is management emphasis on human resource development. Management makes sure that employees are properly trained in every major work area. In addition, employees receive special courses on employee relations, stress management, decision-making, safety and career development.
Through its University for People, Southwest Airlines provides professional and personal development for its entire workforce. But the University for People is the umbrella department of a highly decentralized training structure—there are eight other training departments within Southwest, according to Fritz Petree, senior manager, Career Development Services and Virtual University at Southwest Airlines’ University for People. Steve Thomas, president and CEO of Pathlore Software Corp states that the strategy translates into Southwest’s success as a business. “They haven’t had any layoffs. They have high employee retention rates,” “They’ve got a very happy employee staff, and there’s a great ability to move around and grow within the company, and they do this deliberately. …They’re still profitable, and a lot of it has to do with their culture, and a lot of their culture is driven not only by making sure that the employees are happy, but by making sure that they have the skills to do their jobs the best they can.”
Companies can learn from best practices followed at Southwest Airlines to provide assessment and coaching to enhance employees’ personal and professional growth. An online component to help assign and align people’s personal development needs as well as enhancing their strengths in order for them to grow more effectively and a skills assessment and skills management system to help judge each employee’s degree of fit with a particular job role and the company.
While this type of cooperation may be unusual, it is not so unusual for Southwest Airlines, which has a company culture that places a heavy emphasis on collaboration and teamwork. Thomas said that Southwest�s company culture translates easily into learning, as the company works closely with its employees to help them achieve career goals. �If somebody wants to go somewhere or become something, they try to provide them the source of training and education to let them achieve their personal goals,� he said. �They are putting together, and they have put together, the infrastructure to make sure that these people can achieve their dreams.�
Petree said that Southwest does this through its Career Development Services group, which provides assessment and coaching to enhance employees� personal and professional growth. He explained that there are two components his organization is working on: an online component to help �assign and align people�s personal development needs as well as enhancing their strengths in order for them to grow more effectively� and a skills assessment and skills management system to help judge each employee�s degree of fit with a particular job role and the company.
�Our purpose is employee fulfillment,� said Petree. �That�s just the number one goal that I have in my department for Career Development Services is to help people be more fulfilled in their jobs.� He added that the way to be sure people are fulfilled in their jobs is to use skills assessments to align them to their jobs and skills management to further develop strengths. �We want to enhance people�s natural capacity and capability,� Petree said. �So those two things�the online training for personal development and the skills management program for career fulfillment to improve that fit�is really what my passion is right now.�
Thomas said that this translates into Southwest�s success as a business, particularly during the economic downturn. �They haven�t had any layoffs. They have high employee retention rates,� he explained. �They�ve got a very happy employee staff, and there�s a great ability to move around and grow within the company, and they do this deliberately. �They�re still profitable, and a lot of it has to do with their culture, and a lot of their culture is driven not only by making sure that the employees are happy, but by making sure that they have the skills to do their jobs the best they can.�
The Freedom to Travel
"You are now free to move about the country"...and so are Southwest Employees. Our Employees enjoy many great travel perks:
Free Flights on Southwest Airlines
Employees, spouses, eligible dependent children, and parents fly Southwest for free. Committed/Registered Partners also enjoy travel privileges on Southwest. Space-available travel is unlimited and starts on day one of employment.
Discounted Flights
Discounted, space-available travel with participating carriers is available through the Southwest Airlines Pass Bureau, subject to eligibility and other restrictions.
Buddy Passes
Our Buddy Pass Program provides a way for Employees to share the Freedom to Travel with friends and family not covered under dependent flight privileges. Employees can earn up to four passes per quarter based on hours worked. The Employee is responsible for applicable taxes.
Additional Discounts
Many companies including hotels, theme parks, and rental car companies offer discounts to Southwest Airlines Employees.
Southwest Airlines is an equal opportunity employer.
Our BenefitsView All Benefits
Free flights on Southwest
Employees, spouses, eligible dependant children, and parents fly Southwest for free.
401K/Profit Sharing Plan
Each year Southwest rewards our People with a portion of the Company’s profit to Employee ProfitSharing accounts.
Medical & Dental Benefits
Southwest has you covered! Our competitive health package makes staying healthy affordable, currently for as little as $15 per month.
Federal Holidays
SWACU observes the following holidays each year:
New Year's Day
President's Day
Good Friday
Memorial Day
Independence Day
Labor Day
Columbus Day
Thanksgiving
Day after Thanksgiving
Christmas
Southwest is known throughout the aviation industry as a "low-cost carrier" because of its unique business model. The model includes flying one aircraft type, the Boeing 737, on high-density routes throughout the United States. Southwest's "low-cost" business model is further defined by the airline not offering many services, which are a standard offering on most traditional American carriers, such as a First Class cabin, airport lounges, reserved seat assignments, and video/audio programing. By not offering these services, Southwest claims that it can offer lower fares and produce a higher return on invested capital than other airline companies.[3]
On September 27, 2010, Southwest Airlines announced it would acquire AirTran Airways.
The success of Southwest Airlines Co. in becoming a respected leader and high performer in the airline industry can be traced to the company's innovative work and human resource strategies. Southwest deemphasizes the creation of a formal organizational structure. Instead, the company has a rather informal work structure that encourages employee participation. This strategy has provided Southwest with a dedicated workforce committed to quality and customer service. One other component of the airline's success is management emphasis on human resource development. Management makes sure that employees are properly trained in every major work area. In addition, employees receive special courses on employee relations, stress management, decision-making, safety and career development.
Through its University for People, Southwest Airlines provides professional and personal development for its entire workforce. But the University for People is the umbrella department of a highly decentralized training structure—there are eight other training departments within Southwest, according to Fritz Petree, senior manager, Career Development Services and Virtual University at Southwest Airlines’ University for People. Steve Thomas, president and CEO of Pathlore Software Corp states that the strategy translates into Southwest’s success as a business. “They haven’t had any layoffs. They have high employee retention rates,” “They’ve got a very happy employee staff, and there’s a great ability to move around and grow within the company, and they do this deliberately. …They’re still profitable, and a lot of it has to do with their culture, and a lot of their culture is driven not only by making sure that the employees are happy, but by making sure that they have the skills to do their jobs the best they can.”
Companies can learn from best practices followed at Southwest Airlines to provide assessment and coaching to enhance employees’ personal and professional growth. An online component to help assign and align people’s personal development needs as well as enhancing their strengths in order for them to grow more effectively and a skills assessment and skills management system to help judge each employee’s degree of fit with a particular job role and the company.
While this type of cooperation may be unusual, it is not so unusual for Southwest Airlines, which has a company culture that places a heavy emphasis on collaboration and teamwork. Thomas said that Southwest�s company culture translates easily into learning, as the company works closely with its employees to help them achieve career goals. �If somebody wants to go somewhere or become something, they try to provide them the source of training and education to let them achieve their personal goals,� he said. �They are putting together, and they have put together, the infrastructure to make sure that these people can achieve their dreams.�
Petree said that Southwest does this through its Career Development Services group, which provides assessment and coaching to enhance employees� personal and professional growth. He explained that there are two components his organization is working on: an online component to help �assign and align people�s personal development needs as well as enhancing their strengths in order for them to grow more effectively� and a skills assessment and skills management system to help judge each employee�s degree of fit with a particular job role and the company.
�Our purpose is employee fulfillment,� said Petree. �That�s just the number one goal that I have in my department for Career Development Services is to help people be more fulfilled in their jobs.� He added that the way to be sure people are fulfilled in their jobs is to use skills assessments to align them to their jobs and skills management to further develop strengths. �We want to enhance people�s natural capacity and capability,� Petree said. �So those two things�the online training for personal development and the skills management program for career fulfillment to improve that fit�is really what my passion is right now.�
Thomas said that this translates into Southwest�s success as a business, particularly during the economic downturn. �They haven�t had any layoffs. They have high employee retention rates,� he explained. �They�ve got a very happy employee staff, and there�s a great ability to move around and grow within the company, and they do this deliberately. �They�re still profitable, and a lot of it has to do with their culture, and a lot of their culture is driven not only by making sure that the employees are happy, but by making sure that they have the skills to do their jobs the best they can.�
The Freedom to Travel
"You are now free to move about the country"...and so are Southwest Employees. Our Employees enjoy many great travel perks:
Free Flights on Southwest Airlines
Employees, spouses, eligible dependent children, and parents fly Southwest for free. Committed/Registered Partners also enjoy travel privileges on Southwest. Space-available travel is unlimited and starts on day one of employment.
Discounted Flights
Discounted, space-available travel with participating carriers is available through the Southwest Airlines Pass Bureau, subject to eligibility and other restrictions.
Buddy Passes
Our Buddy Pass Program provides a way for Employees to share the Freedom to Travel with friends and family not covered under dependent flight privileges. Employees can earn up to four passes per quarter based on hours worked. The Employee is responsible for applicable taxes.
Additional Discounts
Many companies including hotels, theme parks, and rental car companies offer discounts to Southwest Airlines Employees.
Southwest Airlines is an equal opportunity employer.
Our BenefitsView All Benefits
Free flights on Southwest
Employees, spouses, eligible dependant children, and parents fly Southwest for free.
401K/Profit Sharing Plan
Each year Southwest rewards our People with a portion of the Company’s profit to Employee ProfitSharing accounts.
Medical & Dental Benefits
Southwest has you covered! Our competitive health package makes staying healthy affordable, currently for as little as $15 per month.
Federal Holidays
SWACU observes the following holidays each year:
New Year's Day
President's Day
Good Friday
Memorial Day
Independence Day
Labor Day
Columbus Day
Thanksgiving
Day after Thanksgiving
Christmas
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