United Airlines Outsources Catering In Newark, Other US Airports

NEWARK, NJ — United Airlines is getting out of the catering business, the company says.

On Thursday, United announced that it will be outsourcing all of its kitchen operations, including its largest facility at Newark Liberty International Airport, where it employs 785 people.

Overall, the airline employs more than 2,000 catering workers. Most will be offered jobs with the new contractors, according to United.

The companies that will be taking over catering duties for the airline are:

• Gate Gourmet – Newark, Denver, Honolulu
• Sky Café – Cleveland
• Newrest – Houston

United Airlines is the last major U.S. airline that still operates its own kitchens, a service that most of its competitors have decided is outside of their core expertise.

United expects to begin the transition in October, when federal payroll aid that banned airline job cuts expires. The company anticipates that it will be working with its new partners by mid-November, Reuters reported.

“In January, United submitted a request for proposal to consider transitioning our kitchen operations and menu design functions to a third-party supplier,” a spokesperson told Patch on Thursday. “After a comprehensive six-month review, we are moving forward in partnership with three suppliers that will prioritize our current employees and advance our kitchen and menu design capabilities to improve the United customer experience.”

United has maintained that its staffing decisions at Newark Airport and other locations have been in full compliance with the federal CARES Act, despite the worries of some officials and union members.

• See related article: COVID Bailout Is For People, Not Stocks, Rep. Payne Tells United
• See related article: Worried Newark Workers Ask United Airlines: Are We Getting Fired?

Nearly 89 percent of the airline’s total domestic workforce is unionized. Many of its catering workers are currently represented by Unite Here, and nearly 70 percent of transitioning employees will continue to be represented by the labor union in Newark, Denver and Honolulu.

Catering workers at Newark Airport are also covered under the Port Authority's minimum wage – one of the highest in the nation – which stood at $15.60 as of September 2019 and will raise to $19 in 2023.

The United catering locations partnering with Sky Café and Newrest don’t have union representation, the Houston Chronicle reported.

According to Unite Here spokespeople, it's a good thing that catering workers in Newark will keep their union jobs. But as for the hundreds of employees in Houston, that's another story.

“United Airlines catering workers in Houston fought hard to win a union,” said Donald "D." Taylor, Unite Here president. “Now, United’s decision to subcontract these jobs risks the workers’ continued union representation.”

• See related article: NJ Union Membership Rate Grew Amid Pandemic – But With Fewer Jobs

Send local news tips and correction requests to eric.kiefer@patch.com

Sign up for Patch email newsletters. Learn more about posting announcements or events to your local Patch site. Don’t forget to visit the Patch Newark Facebook page.