Airport Alert: Wicker and Collins Introduce Bill to Extend Payroll Support Program
September 21, 2020
With tens of thousands of airline employees on the verge of losing their jobs next week and with airline CEOs and major airline labor groups aggressively making the rounds in Washington, Senators Roger Wicker (R-MS) and Susan Collins (R-ME) today introduced a bill to extend the Payroll Support Program at a cost of almost $29 billion.
The bill, which was introduced by two transportation committee leaders, would extend the Payroll Support Program and provide $25.5 billion to passenger air carriers, $300 million for cargo carriers with $3 billion for contractors. Wicker chairs the Senate Commerce Committee, and Collins chairs the Appropriations Subcommittee on Transportation.
The CARES Act included $25 billion for passenger carriers and a prohibition on involuntary layoffs or furloughs through September 30. Airlines, labor groups and lawmakers on both sides of the aisle are pressing for another $25 billion to extend the PSP through March - a move that could prevent passenger carriers from laying off or furloughing tens of thousands of employees.
Last week, United CEO Scott Kirby indicated that without additional assistance the carrier would be forced to furlough approximately 16,000 employees beginning on October 1. American Airlines in August announced plans to furlough 19,000 employees and cut service to 15 communities next month.
As we reported earlier, the short-term continuing resolution that House Democrats unveiled today did not include any financial assistance for airlines, airports or concessionaires. The measure also excluded funding for a long list of other ailing industries.
With tens of thousands of airline employees on the verge of losing their jobs next week and with airline CEOs and major airline labor groups aggressively making the rounds in Washington, Senators Roger Wicker (R-MS) and Susan Collins (R-ME) today introduced a bill to extend the Payroll Support Program at a cost of almost $29 billion.
The bill, which was introduced by two transportation committee leaders, would extend the Payroll Support Program and provide $25.5 billion to passenger air carriers, $300 million for cargo carriers with $3 billion for contractors. Wicker chairs the Senate Commerce Committee, and Collins chairs the Appropriations Subcommittee on Transportation.
The CARES Act included $25 billion for passenger carriers and a prohibition on involuntary layoffs or furloughs through September 30. Airlines, labor groups and lawmakers on both sides of the aisle are pressing for another $25 billion to extend the PSP through March - a move that could prevent passenger carriers from laying off or furloughing tens of thousands of employees.
Last week, United CEO Scott Kirby indicated that without additional assistance the carrier would be forced to furlough approximately 16,000 employees beginning on October 1. American Airlines in August announced plans to furlough 19,000 employees and cut service to 15 communities next month.
As we reported earlier, the short-term continuing resolution that House Democrats unveiled today did not include any financial assistance for airlines, airports or concessionaires. The measure also excluded funding for a long list of other ailing industries.
