Delta uses Minnesota jobs as a bargaining chip — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily
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Delta uses Minnesota jobs as a bargaining chip

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in Human Resources

A Delta Air Lines official recently told state legislators the airline would consider keeping more operations in the Twin Cities if the Metropolitan Airports Commission (MAC) agreed not to force early repayment of bonds owed by Northwest Airlines, which Delta acquired in October.

Bill Hirst, the Delta general counsel who helped negotiate the original Northwest agreement to keep its headquarters here in exchange for government backing on bonds, said Delta would be forced to make decisions that “may not involve Minnesota” if Delta has to pay up soon.

“Some of the airline operations that Delta is prepared to consider locating here, it might locate elsewhere,” Hirst told the legislators.

Northwest still owes roughly $245 million on the bonds. Delta plans to consolidate operations in Atlanta sometime over the next 18 months, which would allow MAC to seek early repayment.

About 11,500 Minnesotans work for Northwest, including 1,000 at the company’s Eagan headquarters.

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