Mass layoffs only days away as US airlines lobby hard for more aid

US airlines set to cut 40,000 jobs this week.

Airlines and their unions have stepped up pleas for an extended Covid-19 aid package to forestall layoffs, however, time is running out as October 1 is only days away.

Nearly 40,000 US airline workers face the loss of their jobs on Thursday as the $25 billion CARES Act expires on September 30.

The layoffs include approximately 20,000 jobs at American Airlines and 16,000 at United Airlines. Delta said it would lay off 1,941 pilots in October while Southwest says it will hold off layoffs until the beginning of 2021.

With the crippling effect of the coronavirus on the aviation industry lasting much longer than first anticipated, airlines say much needed financial help is required once again.

Republicans have proposed a $28 billion dollar extension of the Payroll Support Program, however, Democrats want their $2.4 trillion stimulus package passed which includes the PSP extension.

The White House has repeatedly said it will not approve a plan that is larger than $1.5 trillion.

To further complicate the situation, President Trump’s nomination of Amy Coney Barrett as his third US Supreme Court judge may derail hopes of a stimulus agreement, after Democrats lamented the decision.

Despite both parties agreeing that the Payroll Support Program should be extended, many Americans oppose the idea of another bailout as airline executives have lined their pockets with huge bonuses over the years.

“With Scott making $19 million and Oscar the Grouch making $12 million why don’t they take $18 million and $11 million of their salary and give back to the company for operating expenses? Let’s see that happen! Not the American taxpayers’ fault how United runs and when they should have been saving the money they had instead of buying stock back for executive bonuses,” a United Airlines employee said.