Airline CEOs plead with White House to avert looming U.S. job cuts

White House Chief of Staff Mark Meadows met with major airline chief executives on Thursday as the industry braces for thousands of job cuts in two weeks, and urged lawmakers to embrace a $1.5 trillion coronavirus aid package proposed by a bipartisan congressional group and endorsed by President Donald Trump.


Reuters | Washington DC | Updated: 17-09-2020 20:00 IST | Created: 17-09-2020 19:52 IST
Airline CEOs plead with White House to avert looming U.S. job cuts
Representative image Image Credit: Twitter (@RepMarkMeadows)
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White House Chief of Staff Mark Meadows met with major airline chief executives on Thursday as the industry braces for thousands of job cuts in two weeks, and urged lawmakers to embrace a $1.5 trillion coronavirus aid package proposed by a bipartisan congressional group and endorsed by President Donald Trump. Meadows told reporters said that if House of Representatives Speaker Nancy Pelosi was willing to move a bill that would support airline workers and prevent layoffs, Trump would support it, noting the looming layoffs of thousands of workers set for Oct 1.

American Airlines Chief Executive Doug Parker said airlines would also be working with Pelosi. ​ Meadows said the administration had examined executive action options, all of them less than ideal. Airlines did not offer a new proposal but again made the case that helping avert airline job cuts was one good reason to pass a broad coronavirus relief bill.

After the meeting with Meadows, Parker said it was "not fair" that thousands of airline workers were about to be laid off. "We're just here to plead with everyone involved to get to a quarterly package before October 1." Southwest Airlines Chief Executive Gary Kelly said the initial payroll support plan "didn't go far enough and long enough."

American has said it plans to end service to 15 small communities without additional government assistance. At the end of this month the $25 billion in federal payroll assistance airlines received when the coronavirus first began spreading around the world is set to expire.

Congress also set aside another $25 billion in government loans for airlines, but many have opted not to tap that funding source. Companies such as American are now pleading for a six-month extension while they simultaneously negotiate with employees to minimize thousands of job cuts that are expected without another round of aid.

Air travel has plummeted over the last six months as the coronavirus pandemic has claimed nearly 196,000 American lives and prompted many to avoid airports and planes, seriously depressing airline revenues.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

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