Airline, unions seek more federal help with travel demand still low

The Association of Flight Attendants, International President Sara Nelson, joins airline executives, union leaders and political leaders to call on Congress to pass an extension of the Payroll Support program to save thousands of jobs during ‘ a news conference outside the U.S. Capitol on September 22, 2020 in Washington DC.

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Some executives and unions in the airline are seeking a third round of billions of federal aid as tens of thousands of workers face it again, with the travel demand still depressed in the Covid pandemic.

The current round of funding, $ 15 billion, expires on April 1, and American Airlines and United Airlines warned last week that they could reduce 27,000 jobs together. Of these funds, airlines had to recall workers who had visited in the fall and retain current jobs.

“Essential workers lived with incredible chaos and insecurity. The works are felt by the entire workforce,” Sara Nelson, international president of the Association of Flight Attendants-CWA, the country’s largest airline union, in a written testimony in A house said. trial Thursday. “A continuation of [payroll support] can not wait. ‘

Congress set aside $ 25 billion in aid to keep workers on pay at the start of the pandemic last year, which required them to keep jobs until October 1. A $ 15 billion aid package was enacted in the latest coronavirus relief bill in December covering the same conditions until March 31. Airlines and unions now want another $ 15 billion to secure jobs until September 30.

“We fully support our union leaders’ efforts to fight for an extension, and we will lend our time and energy to support this effort in every way possible,” said Doug Parker, CEO of American Airlines, and president. Robert Isom said in a staff letter announcing 13,000. further warnings Wednesday. “Our country’s leaders understand the important role that airline workers play in keeping the country going. They showed their support last year and we will encourage them to do the same again if the pandemic continues around the world.”

Last week, United Airlines said it was “continuing to monitor demand and plead for continued government support, and that we are all working hard on the day when we can bring our long-term employees back permanently.”

The demand for travel is still weak. US airlines lost a record $ 34 billion in 2020 and warned that they would expect a rocky start to 2021 if they navigated new travel restrictions and test requirements.

Last month, the US needed evidence of negative Covid tests to proceed on flights to the United States. The Centers for Disease Control & Prevention is now actively pursuing to make Covid tests mandatory for domestic travel, something the industry vehemently opposes.

Asked if the industry should get a third round of federal aid, JetBlue Airways CEO Robin Hayes told CNBC on Monday that the travel and hospitality sector was one of the worst parts of the economy and needed support.

“I think it’s right and natural that this is where support should be directed,” Hayes said.

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