United Airlines has tightened its belt, laying off some high-ranking managers as it progresses deeper into its corporate makeover.
The U.S.’s third largest airline said it laid off some managing directors and disbanded, for example, its fuel hedging group, reassigning staff to other areas within the company.
“Our structure has to follow our strategy,” Oscar Munoz, United’s chief executive, said Wednesday.
Since Munoz returned from a medical leave in March following a 2015 heart attack and a January 2016 heart transplant, United has restructured its products and management ranks.
In August, the company revamped its financial officer positions, added a chief commercial officer and recruited American Airlines executive Scott Kirby to be United’s new president.
Munoz acknowledged Wednesday that there have been layoffs among the management ranks after internal reviews “found some bureaucracy and redundancy in some areas,” but noted that the re-structuring meant promotions for some staff.
United declined to say how many staff had departed, but Munoz called the exits a “relatively small number.”
The company stresses that it is adding jobs to its front line employees like flight attendants and pilots.
United under Munoz’s leadership has been working to move the airline beyond the tumultuous half-decade of merger integration woes with Continental Airlines. The company hemorrhaged elite fliers, saw fresh labor strife and lackluster operational performance.
The Chicago-based airline is retiring older jets and recently introduced a complete overhaul of its business class, introducing new in-flight and airport amenities for its highest-yield passengers and will soon be selling no-frills basic economy fares.
Munoz, formerly a United board member and president of railroad CSX, took over the reins of the airline in September 2015.