JetBlue Cutting Flights, Delaying Upgrades As Travel Demand Slumps: Report
JetBlue Airways is cutting more flights and scaling back investments as the airline industry struggles with declining demand, according to a report.
A JetBlue plane mid-flight.
Two JetBlue planes parked at Boston Logan International Airport.
JetBlue will reduce off-peak flying and trim unprofitable routes, according to an internal memo from CEO Joanna Geraghty obtained by
CNBC
on Tuesday, June 17. The New York City-based carrier will park four Airbus A320 jets it originally planned to update with new interiors, while upgrades for six others remain on track for 2026.
The airline is also reevaluating hiring plans, may consolidate leadership roles, and could limit corporate travel.
“We’re hopeful demand and bookings will rebound, but even a recovery won’t fully offset the ground we’ve lost this year and our path back to profitability will take longer than we’d hoped,” Geraghty wrote. “That means we’re still relying on borrowed cash to keep the airline running.”
JetBlue still plans to continue with key long-term investments, including new plane deliveries, airport lounges, and its first-ever domestic first-class product.
“These are the building blocks of a stronger JetBlue, and they remain in motion,” Geraghty wrote.
JetBlue is one of several U.S. airlines adjusting plans in response to a soft domestic market, fueled by concerns over President Donald Trump’s trade and immigration policies. New federal inflation data showed average airfare prices fell 7.3% in May compared to May 2024.
The memo comes less than three weeks after JetBlue unveiled
a new alliance
with United Airlines, allowing travelers to book flights across both carriers and earn or use loyalty rewards with either airline. The deal aims to significantly increase JetBlue’s international travel options through United’s network.
JetBlue hasn’t posted an annual profit since 2019. The company warned that it’s not likely to break even in 2025 without a major rebound in bookings.
The airline also had to scale back its Northeast expansion plans when it canceled
two Boston routes
in April.
