DENVER - The governor of Wisconsin says several hundred Frontier Airlines jobs will be leaving Colorado and heading to the Milwaukee area.
“It’s a sad day when our hometown airline is no longer our hometown airline,” Don Elliman, Colorado’s Chief Operating Officer, said.
Wisconsin Governor Jim Doyle announced Tuesday Republic Airways is establishing a hub in Milwaukee, preserving 800 jobs already there and adding another 800 jobs.
Of those 800 jobs, at least 300 will come from Frontier Airlines, according to Steve Snyder, a spokesman with Frontier Airlines, but not all of those jobs will come from Colorado.
"We're talking about 200, 220 heavy maintenance jobs which are currently based here in Denver that will be moving to Milwaukee. And then another 100 or so positions at our reservations center which we announced we were closing down in Las Cruces, New Mexico will also be moving to Milwaukee," Snyder said.
Snyder says the Las Cruces center is scheduled to close in December.
"We've got a little over 4,000 employees here in Denver and even taking away the 200 or so maintenance jobs that are based here in Denver you still see that the predominant number of our employees are based here in Denver," Snyder added.
Eric Brown, a spokesman with Denver Mayor John Hickenlooper's office, told 9NEWS Republic Airways, which now owns Frontier Airlines, already planned to move the 400 flight operation jobs.
"We wanted these jobs as badly as they did," Denver Mayor John Hickenlooper said. "I think we uncovered every stone, and looked around every corner. Whatever savings we could find, we tried to find."
Brown says Denver made a competitive offer to keep the 300 maintenance and support jobs here, but the offer was rejected.
"You're asking your citizens, many have lost their jobs or are underemployed. Probably 25 or 35 percent of our workforce is underemployed or unemployed right now. It's crazy to go out and say, 'We're going to lavish these extravagant benefits upon a business just for 200 or 220 jobs," Hickenlooper said.
Gov. Bill Ritter issued the following statement Tuesday regarding Republic Airways' decision to relocate jobs to Milwaukee:
"The City of Denver and State of Colorado worked closely with Republic over the past few months in an effort to keep as many jobs as possible here locally. However, as competitive as our package was, Milwaukee offered incentives we simply didn't have available to us," Ritter stated. "While we respect Republic's business decision, it's still disappointing. But we shouldn't lose sight of the fact that Frontier Airlines remains Colorado's homegrown, low-fare airline and is helping to keep our economy strong."
Officials in Wisconsin confirmed the jobs were heading there on Tuesday.
"We are pleased that Republic Airlines chose to expand in Milwaukee County. This is a big win for the Milwaukee 7 and for General Mitchell International Airport. I gave Republic CEO Bryan Bedford my personal commitment to run a quality and cost effective airport. Our rates are much lower than the national average and our passenger levels are growing," Milwaukee County Executive Scott Walker said in response to the announcement by Republic Airways.
"It's a sad day when our hometown airline is no longer our hometown airline," Don Elliman, Colorado's Chief Operating Officer, said. "It was a very competitive bid we made but frankly, (Milwaukee) had an inherent advantage."
"It's not surprising at all," Aviation consultant Mike Boyd said. "Airlines have to make money, and they're going to move jobs to where they can make money. Colorado is just not a business friendly state, as far as that goes.
"The airline made it clear, taxes on parts and other issues. Fix that, and we can keep those jobs here. The city couldn't do it," Boyd added.
Boyd also said consumers will likely not notice a change once the jobs are moved.
"The consumer doesn't need to worry. It's just the state needs to worry about losing these jobs, simply because they don't know how to deal with business," he said.
Snyder agreed air travelers will not be impacted.
"So, to talk about consolidating operations, you're talking about a lot of behind-the-scenes things. From the traveling public's perspective we're still going to have a very robust presence here in Denver and that's not going to change," Snyder said.
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