After its contract with American Airlines ended this week, Air Wisconsin’s future remains up in the air. Its last batch of scheduled flights left Chicago O’Hare Thursday evening.
In January, American and Air Wisconsin announced that they would end their regional capacity agreement on April 3. The regional carrier had been operating American Eagle-branded flights since 2022 under a five-year contract.
Sixty CRJ-200s owned by Air Wisconsin were included in this deal. During its short tenure under the American Eagle banner, the carrier operated flights from American’s Chicago and Philadelphia hubs.
‘Strategic Shift’
In a January news release, Air Wisconsin President and CEO Robert Binns said the airline is making a “strategic shift.” The carrier’s focus will now shift to government-subsidized Essential Air Service flying and charter operations.
Air Wisconsin has already bid for a handful of Essential Air Service markets, including Burlington, Iowa, and Quincy, Illinois.
Despite support from the Air Line Pilots Association, the city of Burlington ultimately opted for Contour Airlines’ proposal. The Department of Transportation will now award the contract.
Along the same lines, Quincy has also opted for Contour, which is a public charter operator and not a scheduled Part 121 carrier like Air Wisconsin. Air Wisconsin also proposed service to Watertown, South Dakota, but the DOT opted for service on SkyWest.
Had Air Wisconsin won these contracts, it would have received around $20 million in annual subsidies from the federal government.
Job Losses
A reduction in Air Wisconsin’s workforce is also on the horizon. Over 500 jobs could be cut, the airline told state regulators in February.
Roughly 513 employees may face layoffs, the airline said in the notice. This figure includes 219 management employees and 294 who are union-represented.
“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 viewed by The Advance-Titan. “The duration of the reduction is unknown and will be dependent on alternative flying opportunities.”
According to Planespotters.net, the carrier maintains a fleet of 62 CRJ-200 aircraft. With Air Wisconsin leaving American’s regional network, so does the CRJ-200.
Later this year, American plans to operate only two-class aircraft from its Chicago O’Hare hub. Its 50-seat Embraer E145s will continue to service its Charlotte, North Carolina, and Philadelphia hubs.
