The government is employing fewer people and they're traveling less. United Airlines could lose millions of dollars.

• United Airlines reported a drop in government employee travel post-Trump inauguration.
• Layoffs and buyouts led by DOGE are hitting federal travel.
• Government employee travel makes up 2% of the company's business, United's CEO said.

The CEO of United Airlines said that government employee travel "has fallen off" since President Donald Trump's inauguration.

Government travel makes up 2% of United's business, said Mike Leskinen at a Barclays conference on Wednesday.

United made almost $52 billion in total passenger revenue in 2024, so even a minor decline in government passengers could set it back by millions of dollars.

"I don't know how long that's going to be persistent, but it quickly gets filled up with other demand for our business," the CEO said. "But we have seen some slowing in government sales."

United's stock has risen 142% in the last year on post-pandemic travel rebounding and a strong international flight slate.

Under a law in place since 1974, federal government employees can only travel on airlines owned by an American company, regardless of cost and convenience. American-owned carriers include United, Delta Air Lines, Southwest, and Alaska Airlines.

Government employee travel has likely fallen because of the Department of Government Efficiency-led mass layoffs and employee buyouts across US government agencies. Trump and Elon Musk, who heads DOGE, have said the moves are meant to improve productivity and slash federal spending.

About 75,000 federal employees accepted the buyout offer, the Office of Management and Budget said last week. That made up 3.75% of the federal government's 2 million people workforce, under the White House's goal of 5% to 10%. Over 9,000 employees from the US Agency for International Development were put on administrative leave earlier this month.

The United CEO's comments come as other companies with federal government customers are trying to reassure investors that their bottom line isn't at risk.

Earlier this month, Craig Safian, the chief financial officer of Gartner, told investors that US federal government contracts accounted for about $270 million in contract value last year — 5% of the total business. Safian said government changes may affect business in the short term.

Gartner has four contracts, worth around $1 million in total, listed on a DOGE webpage that details cuts made to various federal agencies.

United Airlines and Gartner did not immediately respond to requests for comment.