An airport employee gestures on the tarmac while watching an American Airlines Airbus 220 plane at the door of Washington National Airport (DCA) in Arlington, Virginia, on December 18, 2020.
Daniel Slim | AFP | Getty Images
American Airlines said Wednesday it will send advance notices this week to about 13,000 employees, as the second round of federal payroll aids will expire and travel demand will remain untidy.
Rival United Airlines sent similar warnings last Friday to 14,000 staff members.
The last $ 15 billion deal approved for U.S. airlines late last year required airlines to remember employees who attended in the fall and keep payroll until March 31 . It was the second round of Covid grants for industry; Congress gave $ 25 billion to airlines last March to prevent employees from cutting back during the fall.
After reporting record annual losses of $ 34 billion, U.S. airline executives warned last month that they did not expect a sharp rise in air travel in the near future.
Employers are legally required to notify staff of possible layoffs or temporary advances in general 60 days in advance. Notices do not guarantee that recipients will lose their jobs.
U.S. CEO Doug Parker told workers last week that the carrier still does not have enough staff for current demand projections and that there could be progress.
“I don’t want anyone to be surprised if the company issues WARN alerts in the near future,” Parker said at a town hall with staff last week, the audio of which was reviewed by CNBC. He said the company will work with unions to reduce progress through voluntary measures.
Airline unions are now seeking $ 15 billion more in federal payroll support for the industry to keep jobs until Sept. 30.