Airlines and unions are looking for more federal aid, with travel demand still low

International Flight Attendant Association President Sara Nelson joins airline executives, union leaders and political leaders in calling on Congress to extend the Wage Support Program to save thousands of jobs, while a press conference outside the US Capitol, September 22, 2020 in Washington DC.

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Some airline and union executives are seeking a third round of billions in federal aid, while tens of thousands of workers are once again faced with travel demand still depressed in the Covid pandemic.

The current round of aid, worth $ 15 billion, expires on April 1, and American Airlines and United Airlines last week warned that it could then reduce 27,000 jobs combined. These funds required airlines to call back workers who were hired in the fall and maintain their current jobs.

“Essential workers have experienced incredible chaos and uncertainty. The forces are felt by the entire workforce,” said Sara Nelson, international president of the CWA, the largest flight attendant union in the country. written testimony at home. hearing on Thursday. “A continuation of [payroll support] I can not wait. “

Congress has set aside $ 25 billion in aid to keep employees on payroll at the start of last year’s pandemic, which required them to keep their jobs until October 1. A $ 15 billion aid package was approved in the latest coronavirus rescue decision in December on the same terms until March 31. Airlines and unions now want another $ 15 billion to secure jobs by September 30.

“We are fully behind the efforts of our union leaders to fight for an extension and we will lend our time and energy to support this effort in any way we can,” American Airlines CEO Doug Parker and President Robert Isom said in a statement. staff note announcing 13,000 furlough warnings on Wednesday. “Our nation’s leaders understand the vital role that airline workers play in keeping the country moving. They showed their support last year and we will encourage them to do the same again as the pandemic continues around the world.”

Last week, United Airlines told employees that it “continues to monitor demand and advocate for continued government support and that we are all working hard on the day we can finally get our co-workers back.”

Travel demand is still weak. US airlines have lost a record $ 34 billion in 2020 and have warned that they expect a rocky start to 2021 as they navigate new travel restrictions and testing requirements.

Last month, the US began requesting evidence of negative Covid tests to board flights to the United States. The Centers for Disease Control and Prevention is now “actively” seeking to make Covid tests mandatory for domestic travel, which 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 among the hardest hit in the economy and needed support.

“I think it’s fair and natural for support to be directed there,” Hayes said.

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