Hawaiian Airlines, which has been engaged in a costly price war with Mesa Air Group's go! for the past year and reported an US$11.9 million first-quarter loss, announced it is cutting 136 jobs on May 25.

It will lay off 98 nonunion employees and cut 38 vacant positions, which will save it approximately US$4 million per year, the The Honolulu Advertiser reported.

Layoffs include 47 of 224 management positions as well as IT, sales and marketing and customer service, the paper said.