After plans for early retirement, voluntary departure and the application of unpaid leave, the airlines have decided, except in the event of an agreement with the government on the extension of the subsidies, to lay off the employees en masse, and it could that’s up to 19,000 people for American Airlines and 13,000 people for United Airlines.
These two carriers, in addition to Delta, United and Southwest waited until the end of September to make this decision. The loan offered by the finance ministry to seven airlines is $ 25 billion, but that will not change anything since it is not dedicated to salaries, but to other expenses.
According to figures released, the attendance rate at airports in the United States is down 60% to 70% compared to the same period last year. We need a new support plan by the government, this is what the unions have been claiming for several weeks in Washington, calling for an extension of the subsidy program, estimating a total loss of 100,000 employees.
In addition, the loss of jobs affects almost all sectors. Government aid is helping businesses recover, but that will soon expire. The Disney group is suffering from the Covid crisis after having recorded record results in 2019, and announces the loss of 28,000 jobs in the United States in its theme park, cruise and distribution activities … after the loss already of 4.7 billion dollars.
IATA remains pessimistic about the future of air transport and expects a considerable drop which expects a drop of 66% in 2020 compared to 63% before. According to the association, the impact of the Covid-19 pandemic should continue to be felt, since the return to the level before the health crisis is not expected before 2024.
The United States remains the country most affected by the pandemic, with no less than 205,024 dead and 7 million recorded cases, followed by Brazil, Mexico and the United Kingdom. The government recently decided to distribute 150 million rapid tests to detect the virus in 15 minutes. WHO said the poorest countries will be able to benefit from its rapid tests within the next six months.