United Airlines, a major airline of the United States and a subsidiary of UAL Corporation, is offering voluntary retirement packages for about 600 eligible flight attendants as a part of the job cuts announced earlier. The airline has entered into an agreement on a one-time opportunity for voluntary separation with the Association of Flight Attendants – the union representing the flight attendants of United Airlines – in this regard.

Those eligible to leave must be at least 45 years old and have at least 15 years of service as flight attendant with United Airlines as of August 1, 2008.

Those leaving service will be entitled to severance payments based on years of service and retiree travel benefits, a spokesman for United Airlines said.

In a statement, Alex Marren, senior vice-president of onboard service for United Airlines, said: “We are pleased to have reached an agreement with the Association of Flight Attendants that benefits our employees and our company, and will mitigate the impact of our announced capacity reductions.”

The announcement comes a few days after United Airlines, based in Chicago, the United States, said a few days ago that it would make drastic changes to its operations amid higher fuel costs by cutting nearly 1,500 employees, removing 100 aircraft from its fleet and eliminating its divisional brand Ted Airlines.

The decision also follows similar cuts resorted to by other major carriers in the United States in the face of huge increase in the prices of aviation fuel.

Meanwhile, Continental Airlines, based in Houston, Texas, the United States, has decided to cut 3,000 jobs and reduce its fleet of jets by 18% as a part of the steps to cope high prices of fuel.

Larry Kellner, chief executive officer of Continental Airlines, said in a statement: “The airline industry is in a crisis. Its business model doesn’t work with the current price of fuel and the existing level of capacity in the marketplace. We need to make changes in response.”

“The record fuel costs,” Kellner added, “have fundamentally shifted the economics of our business. At these fuel prices, a large number of our flights are losing money, and Continental needs to react to this changed marketplace.”

The airline will start effecting most of the changes in September 2008 when the peak summer season comes to an end.

With the reduction in flights, domestic mainline departures in the fourth quarter of 2008 will come down by 16% year-over-year.

Continental Airlines will release after a week details on specific flights and destinations that would be reduced or eliminated.

Continental Airlines, the fourth-largest airline in the United States, joins United Airlines, American Airlines and Delta Air Lines in cutting flights after a 71% rise in fuel prices over the past year.