U.S. committee approves another $ 14 billion for pandemic-affected airlines

FILE PHOTO: A lone customer seeks help at an American Airlines check-in counter at Washington Reagan National Airport during the coronavirus outbreak (COVID-19) in Washington, USA on April 29, 2020. REUTERS / Kevin Lamarque / File Photo

(Reuters) – A U.S. House committee on Thursday approved a proposal to give airlines another $ 14 billion in payroll aid as part of a broader COVID-19 relief package. is paving the way through Congress.

It would be the third round of industry support affected by the pandemic. American Airlines and United Airlines have warned of some 27,000 advances without an extension of the current package that expires on April 1st.

The House Financial Services Committee, approved by 29-24 votes, approved the $ 14 billion for airlines and $ 1 billion for contractors to cover payroll through September.

The funds will be included in the $ 1.9 trillion COVID-19 relief bill proposed by President Joe Biden, whose initial plan did not include new money for airlines. House Speaker Nancy Pelosi said Thursday she expects lawmakers to complete legislation based on the bill in late February.

American Airlines said in a statement after the committee vote that the payroll support program, which covers employee salaries and bans job cuts, “has been a lifesaver for members of our team.”

U.S. airlines spend millions of dollars every day as the pandemic crushes travel demand.

The Airline Pilots Association, the world’s largest pilots ’union, said the funds“ would help prevent the additional financial devastation that would result from the aviation industry’s obligation to relocate tens of thousands of workers. “.

Still, budget airlines Spirit Airlines, Allegiant Travel and Frontier Airlines have said in recent weeks that they intend to resume pilot recruitment later this year.

Reuters first reported many of the details of plans to provide new aid to U.S. airlines, transit systems, airports and Amtrak passenger railroads.

Reports by Tracy Rucinski and David Shepardson; Edited by Leslie Adler

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