U.S. Transportation Secretary Sean Duffy stated that decisions made by the previous Biden administration contributed to the cessation of Spirit Airlines' operations, resulting in the loss of tens of thousands of jobs.

According to Duffy, the $3.8 billion merger between Spirit Airlines and JetBlue was blocked by the Department of Justice under the Biden administration, eliminating the chance to save the low-cost carrier.

“Spirit tried to merge with JetBlue, but the Biden administration and the Department of Justice blocked that deal. Shortly thereafter, the company filed for bankruptcy,” Duffy said.

✈️ Collapse After Years of Hardship

Spirit Airlines had:

  • Faced prolonged financial difficulties for years
  • Filed for bankruptcy in 2024
  • Officially ceased operations after 34 years

The sudden closure left approximately 17,000 employees jobless and many passengers facing travel disruptions.

⚠️ Controversy over Responsibility

The current administration contends that:

  • The primary cause was the refusal to allow the merger
  • Spirit's business model was not resilient enough to recover

Meanwhile, representatives for former Transportation Secretary Pete Buttigieg countered, arguing that:

  • Surging fuel prices caused by the Iran conflict were the primary factor putting pressure on the airline

Some former officials also questioned whether the decision to block the merger was appropriate, given the current consequences for workers.

🔎 Background

Spirit Airlines was once a prominent low-cost carrier in the U.S. but struggled to maintain profitability and compete in an increasingly fierce aviation market.

A $500 million bailout plan from the Trump administration also failed to reach a final agreement.