Alaska Airlines to lay off 200 back-office employees amid 2026 loss forecast

Alaska Airlines announced it will lay off 200 employees in back-office roles as the airline faces significant financial challenges, Skift reported. The layoffs will affect 148 employees in Washington state and 48 in Hawaii, with front-line operational staff such as pilots and flight attendants not impacted.

The airline has reported a loss of $416 million over the past nine months, including a $147 million net loss in the third quarter, despite a 14% revenue increase to $14.3 billion, according to Skift.

High jet fuel prices have been a major factor in the airline's financial difficulties. Alaska Airlines expects fourth-quarter jet fuel costs to range between $4.65 and $4.85 per gallon, with costs higher on the West Coast due to limited pipeline access.

Looking ahead to 2026, the airline forecasts an adjusted loss per share of $5 to $5.50, reflecting ongoing pressures from fuel costs and operational expenses, Skift noted.