US airline CEOs renew request for more aid in letter to Congress
[WASHINGTON] The chief executives of the seven largest US airlines made a fresh plea for more payroll relief before the end of the year and pointed to the challenges of distributing a Covid-19 vaccine in a letter to Congressional leaders on Wednesday.
The letter, seen by Reuters, was sent by the main industry lobby Airlines for America and signed by the heads of the top seven US airlines.
"As the nation looks forward and takes on the logistical challenges of distributing a vaccine, it will be important to ensure there are sufficient certified employees and planes in service necessary for adequate capacity to complete the task," they said.
US airlines received US$25 billion in federal aid to keep employees on payroll between March and September and have asked for a second round of support after cutting tens of thousands of jobs either through furloughs or early retirements in recent months.
They have argued that they need trained employees to help service an economic rebound, with the prospects of a vaccine in the coming months underscoring the urgency.
The number of travellers that passed through Transportation Security Administration checkpoints on Tuesday was down two-thirds from the same day in 2019, an improvement from the start of the pandemic but not enough to bring airlines out of their cash hole, particularly with further lockdowns looming as Covid-19 cases rise.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Still, the industry's aid request has received wide bipartisan support but has so far failed to pass as Congress remains deadlocked over a broader Covid-19 relief and stimulus plan.
They are now hoping that Congress can pass airline aid through some other vehicle such as a funding bill this year, people familiar with the matter have said.
Congress is not expected to return until Nov 30.
Southwest Airlines, which has never laid off any employees in its 49-history, sent warnings of potential furloughs to about 400 employees on Wednesday.
REUTERS
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Transport & Logistics
GM CEO Barra compensation fell 4% in 2023 to US$27.8 million
Boeing reports first revenue drop in 7 quarters as deliveries decline
Volkswagen to keep China market share stable as price war rages
COE quota for May-July up 2.7%; passenger car categories rise despite less cut-and-fill
Tesla profits tumble but shares rise on new vehicle plan
Volvo Cars see good demand this year after higher Q1 unit sales