Airlines that received government support are prohibited from firing staff until October 1, but the deadline is already very close
Several airlines have been forced to suspend or fire a large part of their personnel.
Photo: ANDREW CABALLERO-REYNOLDS / AFP / Getty Images
American Airlines notified 19,000 of its employees in the United States on Tuesday that they will be suspended from their work for this fall, since the economic support that the government gave to the company through the CARES Law is about to expire, according to the portal ABC 7.
To receive assistance through the Payroll Support Program (PSP), airlines are prohibited from firing any of their employees until October 1. And as this deadline approaches, other airlines are also announcing job cuts due to air travel is down 70% compared to the previous year. In addition, experts estimate that the number of trips will not return to the levels it was at before the pandemic until 2024.
The employees who will be suspended include 1,600 pilots and 8,100 flight attendants.
Industry in crisis
American Airlines is not the only airline that is going through this situation, since, on the other hand, Delta Air Lines also announced Monday that it planned to lay off nearly 2,000 pilots this fall.or, those who join the more than 1,500 pilots who preferred to voluntarily leave the company.
For its part, United Airlines said that roughly 36,000 employees – representing nearly 45% of its US workforce – could face job cuts in the fall.
Airline executives are lobbying lawmakers for the government to extend the benefits of the PSP. Given this, a group of 16 Senate Republicans and more than 200 members of the House have expressed support for an extension of the payroll support program, but have not yet approved it.