Jun 13, 2020 | Airlines, American, COVID, Front Page, Hawaiian, Philippine, Row 2, Spirit, Uncategorized, United |
More than half a million air travelers passed through TSA checkpoints on Thursday, the highest number since mid-March. The Transportation and Security Administration (TSA) reported 502,209 screenings at US airports.
Airlines hit the milestone as over 400,000 passengers took to the skies on three separate days in the preceding week, in the clearest sign yet that air travel is beginning to slowly recover.
While this number is less than a quarter of what is normal for this time of year, it represents a marked improvement over the lowest point on April 14, when only 87,534 travelers were screened at TSA checkpoints.
The airline and travel industries are facing a perfect storm of suppressed demand because of COVID-related restrictions on in-person gatherings, high unemployment, and a negative feedback loop, where airlines cannot serve cities without higher levels of customer demand.
To attract more passengers, airlines have aggressively cut fares and fees. These moves have brought in more travelers, but have also reduced revenue. The addition of thousands of new passengers willing to fly brings airlines closer to financially breaking even.
Airlines are growing again, slowly.
Despite the hardships, airline stocks are on the rebound, and insiders expect the industry might reach passenger loads as high as one million travelers a day by the end of July.
In a press release earlier this month, American Airlines announced it was planning to increase flight activity to 55% of normal capacity in July. The carrier added it is planning to increase its lucrative international routes back to 20% of 2019 levels.
United’s plans for July include restoring non-stop service in over 140 domestic routes and the airline will add flights to Europe and several cities in Asia, along with destinations in Latin America and the Caribbean.
Hawaiian Airlines suspended most inter-island flights and has operated just one daily flight to Los Angeles since March 26 when Hawaii state officials instituted a mandatory 14-day quarantine for arriving passengers. The airline is planning to increase flight capacity by 18% when the quarantine mandate for inter-island travel is lifted on June 16. The quarantine for all passengers arriving from out-of-state will be in effect through July 31.
Spirit Airlines is expected to triple the number of flights it operates at its home base in Fort Lauderdale (FLL). They expect to operate 70% of their schedule in July and are going ahead with plans to expand international destinations.
All this is great news for anxious airline employees whose jobs are secure until September 30 thanks to payroll protection funding allocated by the CARES Act. Every airline is planning to have a much smaller workforce after that date due to uncertainty about whether the number of coronavirus cases can be contained until there is an effective vaccine or treatment, which is expected to take a year, possibly longer. Hundreds of airline employees have already taken some type of voluntary unpaid leave of absence, and the companies are unveiling a variety of early retirement programs.
The Summer 2020 travel season will be very different for passengers and airline employees, but the industry as a whole hopes the recovery will be better and faster than forecasts show.
Jun 10, 2020 | American, COVID, Front Page, Hawaiian, MNPL, Organizing, Philippine, Spirit, Uncategorized, United |
Senator Casey: “Reducing workers’ hours without their consent reduces workers’ paychecks in the same way that reducing workers’ rate of pay would.”
This week, Senator Bob Casey (D-PA) called on Treasury Secretary Steve Mnuchin to issue clear guidance to airlines and industry lobbyists stating that cutting the pay and benefits of airline workers violates the CARES Act, even if those cuts come by way of furloughing full-time workers to part-time. Senator Casey is a member of the Senate Committee on Finance, which played a major role in drafting the bill.
Senator Casey said the clear intent of the CARES Act, which delivered billions of taxpayer dollars to airlines, was “specifically to protect the jobs and livelihoods of workers in the airline industry,” and that airlines could not reduce the pay of their workers after accepting relief funds. Further, Senator Casey said in the letter that reducing full-time workers to part-time reduces their pay and benefits, despite leaving pay rates intact.
“I write to express my concern that multiple air carriers have threatened to or are currently involuntarily reducing the hours of employees despite receiving payroll support under the Coronavirus Aid, Relief and Economic Security (CARES) Act,” Senator Casey said in the letter. “In passing this legislation, Congress made clear its intention that any air carrier receiving assistance must agree to maintain payroll and not cut employee compensation. I urge you to immediately issue guidance that makes clear that unilateral and involuntary reductions in employee hours are prohibited under the CARES Act.”
Senator Casey also sent letters to the CEOs of United, jetBlue, and Delta, and to Airlines for America, the lead lobbying group for US air carriers, putting industry executives and lobbyists on notice about the importance of following the law and respecting workers.
A growing number of lawmakers involved in creating the CARES Act have written to the CEOs of major airlines following a scheme by United Airlines executives to take billions in relief funds intended to cover payrolls – and then cut payrolls while keeping the money. United Executive Vice President Greg Hart tried to defend the move and said the furloughs weren’t really pay cuts because pay rates would remain the same. Senator Casey, who has a legislative record promoting economic security for working families, showed little patience for such word games.
“This is in clear violation of Congress’ intent and should not be undertaken by any air carriers accepting federal assistance,” Senator Casey said.
“Congress’ intent that air carriers use this assistance to fully protect workers’ compensation and employment was clear,” he wrote.
IAMAW District Legislative Director David Roderick praised the actions of Senator Casey and other lawmakers who have come forward in defense of working families in the airline industry over the past two months. “Senator Casey is a true friend for airline workers. He’s been a trusted ally and strong voice for airline safety and the fair treatment of airline employees and passengers for years.”
Read the full statement by Senator Casey Here >>
Do you feel that furloughs before October 1st are a violation of the CARES Act…
…even if they are only furloughing full-time agents to part-time?
Mar 26, 2020 | Airlines, American, COVID, EAP, Featured, Front Page, Hawaiian, Home, Home, Philippine, Safety, Spirit, Uncategorized, United |
Sisters and Brothers,
Working almost around the clock since Monday, the leadership of the House of Representatives and the US Senate engaged in negotiations to produce a historic $2 trillion stimulus bill that provides significant relief to our nation’s health care and transportation workers.
The Senate voted 96-0 last night to adopt the bi-partisan agreement, and it now moves to the House, where it will be introduced by Speaker Pelosi tomorrow and it is expected to pass.
Your actions since the beginning of this crisis, and your quick mobilization this week to contact elected officials in Washington made the difference for every working person in our country. Thanks to you, we are more certain of our future.
Once it becomes law, the CARE Act will secure the airline industry and our jobs for the next 6 months as we recover from the COVID-19 pandemic, and will provide loan guarantees to rebuild our nation’s aviation infrastructure for the long term.
Key highlights for airline relief include:
- $25 Billion in grants to airlines for payroll assistance. Before Labor’s input, the bill only had a loan program. These grants are EXCLUSIVELY for the continuation of payment of employee wages, salaries and benefits. Before Labor’s input, this provision did not exist.
- No condition to open Collective Bargaining Agreements and enter concessionary negotiations to receive grants or loans. Before Labor’s input, the Treasury Secretary had the power to impose unlimited conditions for receiving federal funds. Your calls helped us close this major loophole.
- As a condition to receive federal grant funds, a carrier must refrain from conducting involuntary furloughs until September 30, 2020. Before Labor’s input, this important provision did not exist.
- Prohibition on stock buybacks and dividend payments until September 30, 2021, and limits on executive compensation and “golden parachutes.” Neither of these requirements existed before our Labor negotiators insisted on them.
I also want to remind our Brothers and Sisters at American Airlines that the ratification vote for the Joint Collective Bargaining Agreement will close tonight at 8:00 Eastern Standard Time. You can find information at the Association Website if you have questions or are having difficulty voting. Please take a few minutes to make your voice heard.
Thank you again for your dedication and professionalism. In these most difficult circumstances, you are showing up every day to get our customers where they need to go. We are not out of the woods yet, by a long shot, but if we continue to speak up, show up, and take care of ourselves and each other, we will overcome this crisis.
Please make sure you take time to unwind, and try to get enough rest. Our EAP Representatives are always available at https://iam141.org/employee-assistance-program/
In Solidarity,
Mike Klemm,
President and Directing General Chair,
District 141, International Association of Machinists and Aerospace Workers
Mar 25, 2020 | Airlines, American, COVID, Hawaiian, Home, Home, Philippine, Spirit, Uncategorized, United |
The federal aid package presented by the Senate, which is expected to be voted on shortly contains a huge problem that could affect every airline worker in the United States. The proposed legislation currently has NO protection against opening up existing collective bargaining agreements if an airline seeks a loan or loan guarantee.
A self-proclaimed labor leader is spiking the ball, claiming victory and credit, but obviously DOES NOT understand what’s missing in the legislation that she is taking credit for.
The text of the bill states, “A loan, loan guarantee, or other investment by the Secretary shall be made under this section in such form and on such terms and conditions and contain such covenants, representations, warranties, and requirements (including requirements for audits) as the Secretary determines appropriate.”
“This means the Secretary of the Treasury could demand that contracts be renegotiated and concessions made before loans, loan guarantees or investments are made. This is exactly what we were working to avoid. This needs to be fixed now or it could result in airline workers taking steep concessions.
Please contact your elected officials and ask them to ensure that the loan component of the federal aid package has the same language as the grant component of the package. You may contact your representative HERE, courtesy of Democracy.io.
We must act now to clean up the mess made by other so-called labor leaders.
Please print and post on all IAMAW Bulletin Boards.
Get Printable Copy >>
Mar 18, 2020 | Airlines, American, Community Service Page, COVID, Featured, Front Page, Hawaiian, Home, Home, MNPL, Organizing, Philippine, Safety, Safety, Spirit, Uncategorized, United |
IAMAW District 141 /////
Sisters and Brothers,
In recent weeks, many of you have contacted your local union representatives, Assistant General Chairpersons or me directly to express your fears of possible pay cuts, furloughs or the likelihood of your carrier going bankrupt or completely out of business. You have good reasons to be concerned.
The airline industry is facing an existential threat from a global pandemic. The spread of the Coronavirus across continents has resulted in a decrease in demand for air travel by two-thirds worldwide, with at least one airline going out of business. For over two months, airline workers have worked on the front lines of the crisis, and you have adapted to reductions in flight schedules, last-minute policy changes, and have worried about how to best protect your personal health and safety. The worst part is the unease that comes from not seeing a clear end to this crisis.
As airlines announce more cuts in service, IAM General Vice President Sito Pantoja said today that “US carriers are contemplating further capacity cuts or shutting down operations altogether, which only a month ago was unimaginable.”
The President of the United States and members of Congress are discussing how they can best help the airline industry, which is the backbone of our nation’s economy. There are several ideas being considered, and we support any action that helps workers quickly and directly. As workers, we need to unite and say with a clear and strong voice that the need is great and immediate.
I urge you to call your representatives today at 202-224-3121 and ask them to take any action necessary to save our airline jobs.
Click here to send a message to your Federal Representatives:
Please act today to protect your job and those of thousands of airline workers and millions more who depend on our industry for their livelihoods. Many of you are applying for voluntary leaves and reductions in schedules, which shows how committed we are to get through this crisis together. I ask that we work with our elected officials to make sure no one gets left behind.
Thank you for your activism and solidarity.
Fraternally,
Mike Klemm
President and Directing General Chair,
District 141
International Association of Machinists and Aerospace Workers
Please print and post on all IAMAW bulletin boards.
Printable Version >>
Mar 14, 2020 | Airlines, American, Community Service, Community Service Page, COVID, EAP, Education, Featured, Front Page, Hawaiian, Home, Home, Philippine, Safety, Safety, Spirit, Uncategorized, United
GOIAM.COM /////////////
Dear Sisters and Brothers,
I know there is much uncertainty surrounding the evolving COVID-19 (coronavirus) outbreak that has now been classified as a global pandemic. Our daily routines are being affected by the cancellation of many events in an effort to limit the spread of the virus. I want each and every member of our IAM family to know that the IAM is taking all necessary action to keep all of us safe while continuing the important work of our union.
The most important thing each of us can do now is to heed the advice of health officials. Please closely follow guidelines and monitor updates from the Centers for Disease Control and Prevention. The best way to avoid being exposed to this virus is to:
– Clean your hands often with soap and water for at least 20 seconds
– Avoid close contact with people who are sick
– Stay home and seek medical care if you are sick
– Cover coughs and sneezes with a tissue or use the inside of your elbow
– Wear a facemask if you are sick
– Clean and disinfect frequently touched surfaces daily
I also encourage you to monitor the IAM Coronavirus (COVID-19) Resource Center for more information, specific safety tips for our membership in the healthcare and transportation industries, as well as any updates on changes in IAM operations. Beginning this Saturday, March 14, we have made the decision to suspend programming at the Winpisinger Education and Technology Center for two weeks. We will closely monitor the situation and provide updates on all status changes.
To ensure that everything possible is being done to protect our membership at work, IAM Local Lodge Safety and Health Committees should meet with employers on steps being taken to mitigate the risk of virus transmission. Every employer has the responsibility to do everything necessary to keep its employees safe. Our union has a duty to hold employers responsible to that commitment.
The IAM Grand Lodge is working with elected officials to ensure that sufficient funding is available to respond to the outbreak and that steps are taken to protect jobs in industries that are especially affected by the pandemic.
Lastly, I want our membership to know that we will get through this difficult time together. Throughout our union’s 132-year history, we have always confronted great challenges. Our unity has pulled us through the toughest of times and this situation will be no different.
Let’s be smart, stay safe and continue our march toward dignity and justice for all working people.
Fraternally,
Robert Martinez Jr.
International President
