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United Airlines outsourcing at Sioux Falls Airport

Sioux Falls Regional Airport
Sioux Falls Regional Airport
Exec. Dir. Dan Letellier SFRA (Download MP3)

SIOUX FALLS, S.D (KELO AM) - United Airlines is outsourcing more than 600 jobs at 12 airports, including Sioux Falls Regional, to cut costs.

Airport Executive Director Dan Letellier says a contracted company will pay lower wages for ticket and gate agents and baggage handlers as early as October.  A union spokesman says a firm will pay $12 an hour instead of the $24 United pays union employees.

Letellier says current United employees can be transferred to larger airports, or take a layoff or furlough, or leave United and work for the outsourcing company at much lower wages.

Letellier says United has not yet selected a vendor.