Southwest Using Cash Incentive for Staff Referrals

Ah, money.

The ultimate enticement.

Southwest Airlines knows this.

The Dallas-based carrier is offering bonuses worth $300 to current staff if they identify and suggest a future Southwest employee, a move the airline hopes will ease its struggles in filling jobs, according to CNBC.

The bonus program will run through Nov. 20.

Southwest saw how staffing shortages in the industry affected fellow airlines after watching Spirit Airlines suffer through a horrendous two weeks of cancellations. Spirit canceled more than 2,800 flights, as staffing was a large part of the issue, and admitted it lost more than $50 million.

Southwest also admitted that the delta variant of the COVID-19 virus is already having an effect on bookings.

“Southwest is experiencing a sharp decline in qualified applicants due to low labor force participation and competition for available talent,” Southwest vice president and chief people officer Julie Weber wrote in a Tuesday note to staff, which was reviewed by CNBC.

Southwest staff can receive 20,000 “SWAG Points” — 10,000 on their referral’s first day of work and 10,000 after that person completes six months with the airline. Those points on Southwest’s internal platform have a taxable value of 1.5 cents each, a company document says, giving the points a value of about $300. Southwest’s points can be redeemed for frequent flyer miles, gift cards or concert tickets.