Airlines and unions are seeking more federal assistance, while the demand for travel is still low

Association of Flight Attendants International President Sara Nelson joins airline executives, fellow union leaders, and political leaders to call on Congress to approve an extension of the Payroll Support Program to save thousands of jobs, at a press conference outside the US Capitol on September 22, 2020 in Washington, DC.

Chip Somodevilla | Getty Images

Some airline and union executives are looking for a third round of billions in federal aid as tens of thousands of workers face new leave and demand for travel is still low during the Covid pandemic.

The current $ 15 billion round of funding ends April 1, and American Airlines and United Airlines have warned last week that they could cut a total of 27,000 jobs. Those funds required airlines to call back employees who were on leave in the fall and keep their current jobs.

“Critical workers live with incredible chaos and uncertainty. The leave is felt by the entire workforce,” said Sara Nelson, international president of the Association of Flight Attendants-CWA, the country’s largest flight attendants’ union, in a written testimony in a statement. House. hear Thursday. “A continuation of [payroll support] can not wait. “

Congress set aside $ 25 billion in aid to keep workers on payroll at the start of the pandemic last year, keeping them in jobs until October 1. A $ 15 billion aid package was passed in the latest coronavirus bill in December on the same terms through March 31. Airlines and unions now want an additional $ 15 billion to guarantee jobs through September 30.

“We fully support the efforts of our union leaders to fight for an extension and we will lend our time and energy to support this effort in every possible way,” said Doug Parker and American Airlines President Robert Isom in a staff note in which 13,000 people were announced. leave alerts on Wednesdays. “Our nation’s leaders understand the critical role aviation workers play in keeping the country moving. They expressed their support last year and we will encourage them to do the same as the pandemic continues around the world.”

Last week, United Airlines told staff it “continues to monitor demand and advocate continued government support, and we are all working hard on the day when we can permanently reclaim our leave employees.”

Demand for travel is still weak. US airlines lost a record $ 34 billion in 2020 and have warned they expect a rocky start to 2021 in dealing with new travel restrictions and testing requirements.

Last month, the US started demanding proof of negative Covid tests for flights to the United States. The Centers for Disease Control and Prevention are now “actively working” to make Covid testing mandatory for domestic travel, something the industry strongly opposes.

When 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 is among the hardest hit parts of the economy and needs support.

“I think it is right and natural that support should be focused on that,” said Hayes.

.Source