Aviation layoffs result from US forces withdrawing from Iraq, Afghanistan

TWO aviation-related companies in Tampa, Pemco World Air Services Inc. and Science Applications International Corp (SAIC) have announced that they plan to lay off 700 workers, according to Tampa Tribune.

SAIC, which is based at MacDill Air Force Base, reported plans to lay off some 200 workers next month who are employed by the Pentagon's Central Command. It says layoffs will occur with the conclusion of its defence contract.

Layoffs are spreading throughout the industry, which has become increasingly dependent on military contracts as US expeditionary forces quit Iraq and prepare to retreat from Afghanistan.

Pemco, headquartered in Tampa provides commercial aircraft maintenance and repair services from two hangars at Tampa International Airport, plans to lay off 474 workers by the end of August.

SAIC, which is based at MacDill AFB, reported plans to lay off some 200 workers next month from the Pentagon's Central Command. It says layoffs will occur with the conclusion of a defence contract.

Pemco filed for Chapter 11 bankruptcy protection in March. In 2008, the company moved its offices to a hangar at the east side of the airport that was vacated by US Airways after a (2002) Thanksgiving holiday layoff of 300 employees. The company talked up expansion plans last year for its Tampa International operations, but instead wound up filing for bankruptcy in March due to cutbacks in contracting. The company listed assets and debt of US$50 million to $100 million each in court documents.

"We're saddened by this turn of events," Tampa International chief executive, Joe Lopano, was quoted as saying. "No one likes to see layoffs."

SAIC, based in McKlean, Virginia, employs about 40,000 workers and contracts with the US Department of Defence, the intelligence community, the US Department of Homeland Security and other government civil agencies. The company reported more than $10 billion in revenue last year.

Company spokeswoman Melissa Lee Koskovich said SAIC provides command, control, communications and computer information support services to US Central Command and the contract ends on September 21.

She said the layoffs "would occur only if SAIC is not selected for the follow-on contract."

Several other defence contractors are also planning possible mass layoffs due to federal budget cuts totalling $1.2 trillion set to be implemented in January. Lockheed Martin and Northrop Grumman also have announced plans, including operations on Florida's east coast, for mass layoffs due to federal cutbacks on grant money.