CHICAGO: American Airlines said on Tuesday its workforce will shrink by 40,000, including 19,000 involuntary cuts, in October as the Covid-19 pandemic continues to weigh on air travel, unless the government extends aid for airline employee payrolls.
Airlines received US$25bil in US government stimulus funds in March meant to cover payrolls and protect jobs through September.
As the money runs out without a travel recovery in sight, airlines and unions have lobbied Washington for another US$25bil, but talks have stalled as Congress has struggled to reach agreement on a broader coronavirus assistance package. — Reuters