In addition, United has implemented the cost reduction program and employee productivity
program. United believes that by increasing employee productivity, reducing costs, it can
provide cost-effective fares to customers while gaining competitive advantage over its rivals. So
far United has let go some 9000 employees. United maintains that the employees either went on
furlough or left voluntarily. In either way, reduction in 9000 employees is a huge cost saving measures. United has also abolished the pension plan for its employees. The company believes
that it can save a substantial amount by not sponsoring the company pension plan.