Spirit Airlines is the target of a proposed class‑action lawsuit following its announcement earlier this month that it would permanently halt operations, according to a lawsuit filed on May 12 in the Southern District of New York, which claims the carrier breached federal labor regulations by abruptly ceasing operations.
The filing also stated that Spirit told employees it could not provide earlier notice of the layoffs because it had been actively seeking funding to prevent the shutdown.
Spirit Airlines shut down operations and notified employees the same day, according to the complaint, via an email from the carrier’s top executives.
The company argued in the email – quoted in the complaint – that providing advance notice “would have precluded the Company from obtaining the capital needed.”
The complaint states that employees abruptly lost their jobs, benefits and access to Spirit Airlines’ systems, and were still owed accrued vacation and sick pay.
It further alleges that workers were blindsided by the airline’s sudden announcement that it would immediately end operations and wind down the business.
Employees were told they would continue to be paid through May 2, 2026, yet many have reportedly not received their final paychecks or compensation for unused leave, according to the filing.
“Final paychecks for crew members remain in process while Spirit completes an audit to ensure crew are accurately paid for every hour worked,” a company spokesperson said. “The company is finalizing these paychecks as soon as possible and will process payroll once the audit is complete.”
A company spokesperson also confirmed all other terminated employees should have received their final paycheck by today, May 15.
Meanwhile, according to the complaint, the former employees are pursuing damages equivalent to 60 days of wages and benefits under the Worker Adjustment and Retraining Notification Act (WARN), which the U.S. Department of Labor categorizes as “help[ing to] ensure advance notice in cases of qualified plant closings and mass layoffs.”
The plaintiffs are also asking the court to certify the case as a class action on behalf of all Spirit employees who were affected.
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