Former workers of Spirit Airlines are suing the company, saying they are still owed pay and benefits.
"We're suing for, first of all, 60 days of unpaid wages, which is essentially a penalty for failing to provide notice prior to the closure of the company under the Worker Adjustment and Retraining Act of 1988," attorney Eric Lechtzin said, according to NBC News.
"We're also looking for 60 days of employee benefits, so that would be continuation of medical coverage, retirement contributions, that type of thing, and finally, we're trying to get recovery of unused vacation and sick time," he added.
Lechtzin went on to say that workers are struggling to maintain their healthcare coverage even though many "have chronic medical conditions or family members with medical conditions."
"They're scrambling for a lifeline like unemployment, but you know that doesn't cover that only a fraction of what they earned in their job, so it's a hardship to say the least."
The lawsuit was filed as a class action in bankruptcy court. The company has not addressed the suit publicly, but said earlier this month that it has refunded most of its clients after ceasing its operations and cancelling all flights on May 2.
The airline left passengers and staff stranded in the U.S. and overseas after collapsing under financial pressure.
U.S. Transportation Secretary Sean Duffy said on ABC's "This Week" that the company was "bleeding money" and its collapse had been "in the works for some time."
Spirit had been struggling to exit Chapter 11 bankruptcy for the second time in under a year. The airline initially filed for bankruptcy protection in November 2024 after reporting heavy losses and debt pressure, and again in 2025 following a failed restructuring attempt.
Rising jet fuel prices had also significantly undermined Spirit's turnaround plan. The surge in fuel costs, linked in part to geopolitical tensions, particularly the war in Iran and the closure of the Strait of Hormuz increased operating expenses to a level that some creditors believed made the restructuring plan unworkable.
The company said in a court filing that the spike in oil prices played a key role in its decision to cease operations. While the company did not mention the conflict specifically, it made reference to "recent geopolitical events" that "resulted in a massive and sustained increase in fuel prices."
"The Debtors and their advisors searched for increased capital and any sources of savings or liquidity, leaving no option unexplored," the document adds.
