Airlines Continue to Shed Thousands of Jobs in the USA

• Author: Michael Bordonada
• Posted: 2024-07-02

On Friday January 29, United Airlines released a statement that about 14,000 employees could be let go if there is no additional federal aid for the airline industry this spring. The industry is slow to regain its strength in light of the COVID-19 pandemic. Companies are required to tell their workers if their jobs are in jeopardy. They must do this at least 60 days in advance. While the announcement is not a guarantee that even one worker will be let go, laid off or furloughed, it is a distinct possibility.

What United Airlines Is Doing to Protect Jobs

United Airlines appears to be sympathetic to the plight of its workers. It is trying some voluntary measures in order to reduce its payroll. Recently, United and American Airlines recalled thousands of the workers they laid off last summer. This was a condition of the financial support they received from Congress. The support was contingent on the employees being on payroll until March 31. United Airlines told their workers in December that the callbacks would probably be short-term or temporary unless the pandemic ended or some big support was delivered by the government. For now, United Airlines is offering early retirement, extended leave for parents and other measures to decrease the costs it has.

Why the Recovery of Airline Is So Slow

Even though the United States government has approved two COVID-19 vaccines, the demand for domestic and international flights has not changed much in the past two months. When United Airlines began to recall its employees last year, most of them were told that they would go back to their previous status of the fall furloughs around April 1 unless the demand for flights increases by then.

United Airlines Is Not the Only One in Trouble

Hawaiian Airlines also informed its employees that up to 900 jobs could be lost by March 31 unless additional funds are approved by Congress. A flight attendants' union sent a memo to its American Airlines members that they are also likely to receive furlough notices in the next couple of days.

How Many Workers United Airlines Furloughed in Autumn 2020

In the autumn months of 2020, United Airlines furloughed 13,000 employees. They did this when their agreement with Congress came to an end. The airlines collectively received $25 billion in financial relief. The number of workers who received notices of a possible job loss is higher this time because it includes some of the people who signed up for the airlines' optional time off programs or who took voluntary leaves of absence.

What the Labor Unions Have to Say

Most economists think that the demand for flights will continue to be low. The labor unions that represent pilots, flight attendants and airport workers want the federal government to support more relief funds. One union, the Association of Flight Attendants-CWA, represents airline workers at United Airlines, Hawaiian Airlines and others. The Association of Professional Flight Attendants, which is the union that represents flight attendants at American Airlines, submitted a letter to President Biden on Friday. Their letter urges him and Congress to provide a third round of federal payroll support for the workers. They want the funds to go through September 30 of this year.

What Could Happen If Airlines Don't Get the Support

According to the Association of Professional Flight Attendants, essential workers will end up losing their jobs if Congress and President Biden do not act by the end of March. The job losses and cost-cutting measures that the airlines will institute could cause long-term problems for the industry. It is also possible that some of the cost-cutting measures could compromise passenger safety.

What the Airline Workers Have to Say

The airline workers are worried. American Airlines cut 19,000 jobs in the autumn of 2020. Its flight attendants' union expects the furlough notices to be sent soon. The increase in economic uncertainty in the United States and around the world has caused the airlines to be overstaffed at this time. They have too many people on staff and low demand for their services.

Unions and Airlines Aren't Thinking Outside the Box

Airlines in the United States aren't the only ones dealing with low demand. Japan's airlines are, too. Japan's airlines got more creative. They worked with temples, hospitals, delivery services and other organizations to find temporary jobs for their employees.