The Appleton-based Air Wisconsin is strategically realigning itself to focus on Essential Air Service Program (EAS) markets, expand its charter operations and transition its relationship with American Airlines to a codeshare and interline relationship, from that of a subsidiary carrier. As a result of this announcement, more than 500 employees are being let go by the airline.
In January, the airline filed a layoff notice with the state. The notice says the airline expects to have temporary layoffs for unionized employees and permanent layoffs for management and salaried employees beginning on March 31 or in the two weeks after. The partnership with American Airlines is slated to end on April 3.
An estimated 713 employees are affected, which includes 219 management or salaried employees and 294 union employees. This includes employees at both Milwaukee’s General Mitchell International Airport and Appleton International Airport. An additional 200 employees are affected at both Dayton International Airport and Chicago-O’Hare International Airport.
“At this point, the company is unable to assess the extent of those reductions,” said Tina Vos, vice president of human resources for Air Wisconsin in the termination notice. “The duration of the reduction is unknown and will be dependent on alternative flying opportunities.”
Air Wisconsin has been flying under the American Eagle brand of American Airlines most recently, since 2023, after flying for United Express (United Airlines) starting in 2018. The company previously flew under American Airlines from 2015-2018, after American merged with US Airways.
According to Air Wisconsin’s press release, the change allows the airline to focus on federally subsidized EAS routes that deliver vital air connectivity to rural and underserved communities, which provide critical transportation links for communities that might otherwise lack access to air travel. The airline also noted that the current fleet-type, the 50-seat CRJ-200 aircraft, is perfect for the EAS flying, as it typically demands a ‘smaller, efficient aircraft’, which the CRJ is well equipped for the flying that the airline will be performing.
According to data from the Department of Transportation, which subsidizes the routes, 115 cities across the 48 contiguous states receive EAS services. This includes Eau Claire and Rhinelander in Wisconsin.
“Since that announcement [moving away from American Airlines in January], the company has been working to develop alternative flying opportunities, which it expects to announce in the coming weeks,” Vos wrote in the layoff notice Thursday. “It is likely that the company’s strategy will involve some level of company-wide workforce reductions.”
According to Vos, affected employees had been notified in advance and Air Wisconsin would ensure they are paid all earned wages and benefits at the time of separation.
“This strategic shift underscores our adaptability and commitment to delivering reliable, customized air travel solutions where they are most needed,” said Robert Binns, President and CEO of Air Wisconsin. “As we diversify into EAS and grow our charter operations, we remain committed to delivering safe, efficient, and quality service to every community and customer we serve.”
According to the company website, the airline serves 53 destinations with nearly 350 flights per day, transporting nearly six million passengers on an annual basis.
Air Wisconsin began operations at its Appleton base in 1965, employing turboprop aircraft. The company pioneered the concept of code sharing with United Airlines in 1985.
