U.S. airline unions to meet with top Democrats on aid as demand languishes By Reuters

U.S. airline unions to meet with top Democrats on aid

© Reuters. Travelers sit in a lounge area as Delta Air Lines plane park at a gate in McCarran International Airport in Las Vegas

By Tracy Rucinski and David Shepardson

(Reuters) – U.S. airline union leaders are due to meet with senior congressional Democrats on Wednesday to discuss a second round of aid to protect tens of thousands of jobs, officials said, while airlines continue to wrestle with a drastic downturn in demand due to the coronavirus pandemic.

Two of the largest U.S. airlines, Delta Air Lines (NYSE:) and United Airlines, said on Wednesday they have seen a slight improvement in bookings but are still burning through nearly $1 billion a month of cash.

Airlines do not expect a meaningful recovery in demand until there is a widely accepted COVID-19 treatment or vaccine, which could stimulate pent-up demand and the need for trained workers to service a recovery.

The global race for a coronavirus vaccine suffered a setback on Wednesday when AstraZeneca (NYSE:) suspended its global trials after an unexplained illness in a participant, and Delta Chief Financial Officer Paul Jacobson warned that any vaccine must be followed by broad vaccinations, a process he said could take between six and 12 months.

Airlines are lobbying for a six-month extension of a $25 billion payroll support package they received in March under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

Republicans and Democrats have been jockeying for months over the next phase of coronavirus aid.

A proposal from the Republican-led U.S. Senate on Tuesday for additional relief did not include new government assistance for U.S. airlines or airports, but is considered a starting point for talks with Democrats.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *

About us

InvestLab is a financial services technology company focused on the global trading market. Founded in 2010 in Hong Kong, the company develops trading, market data, and social research products that enable individual investors and small to mid-size brokers to access global markets. We provide brokers and financial institutions cross border capabilities for retail investors into 43 markets globally.