Southwest Airlines has entered into a significant agreement with the City of Austin, committing to create over 2,000 local jobs over the next five years. Announced during a press conference on March 15, 2024, by Texas Governor Greg Abbott and Austin Mayor Kirk Watson, this deal promises to enhance the local economy and strengthen the airline’s operations at Austin-Bergstrom International Airport.
The Austin City Council approved this partnership on March 14, 2024, which includes an incentive of $2,750 for each new hire. With an average salary of $180,000, these positions are expected to attract skilled workers and contribute positively to the community. The initiative also involves an investment in local workforce development, particularly through the newly established Austin Infrastructure Academy.
This collaboration aims to solidify Southwest Airlines‘ role in Austin, where it currently accounts for more than 40 percent of passenger traffic. The partnership is projected to generate nearly $20 million in local tax revenue. The incentive program, lasting five years, has the potential to provide up to $5.5 million to the airline based on hiring outcomes.
Mayor Watson emphasized the dual benefits of the agreement during the press conference, stating, “We’re building lives and careers at the same time we’re building tarmacs and terminals.” He noted that the deal not only facilitates job creation but also enhances the overall passenger experience at the airport.
The collaboration reflects Austin’s commitment to fostering economic growth and supporting its workforce. Mayor Watson highlighted that the partnership underscores the city’s appeal as a destination for businesses. “Southwest is choosing Austin because our people, our workforce, and our future make us a smart investment,” he added.
Officials anticipate that the jobs created will have a lasting impact on the community, benefiting local workers, families, and the tourism sector. By investing in both employment and infrastructure, this agreement signifies a strategic move for both Southwest Airlines and the City of Austin as they look to the future.
In summary, the partnership represents a significant milestone for Austin, aligning economic development with community investment and enhancing the region’s attractiveness as a hub for both businesses and travelers.
