American Airlines and United Airlines have sent furlough notices to a total of more than 32,000 employees, saying they cannot afford to have them on payroll after Thursday, the date when the federal CARES Act Payroll Support Program expires.
The move comes after lawmakers and the White House failed to agree on a COVID relief package that includes additional federal aid for airlines.
“To our departing 13,000 family members: thank you for your dedication and we look forward to welcoming you back”, United said in a message sent to employees.
The US government’s pandemic relief effort had provided some $25 billion in loans and grants to airlines. Passenger air travel rebounded in June and July, but the numbers have not grown since, and the airlines have much more workers than they need.
Source: New Europe