United Airlines Plans To Furlough 16,370 Employees In October
United Airlines plans to furlough 16,370 employees in October, due to continuing losses caused by the coronavirus pandemic and collapse in air travel, according to reports citing the company’s memo sent to employees.
The potential furloughs is fewer than 36,000 jobs loss the airline warned in July. That is because thousands of workers took early retirement, buyouts, or long-term leaves of absence.
United reportedly said the furloughs will begin October 1, when a prohibition on furloughs ends. The furloughs will be postponed if the U.S. approves another $25 billion to help passenger airlines cover payroll costs.
United’s job cuts include 6,920 flight attendants, but the flight attendants’ union said more than 15,000 flight attendants will be off United Airlines’ payroll on October 1st if Congress fails to extend the Payroll Support Program.
About 2,850 pilots, 2,260 airport-based employees, 2,010 maintenance workers and 1,400 management and support staff would also lose their jobs.
The union alleged that United’s announcement understates the job losses. While 1000 flight attendants made the decision to retire early or separate employment, 14,000 flight attendants will be without work on October 1 unless Congress acts.
A portion of those flight attendants were given an option to retain their healthcare, but they have no guarantee of work or a paycheck, the union said in a statement.
United and other airlines had took $25 billion in federal payroll support that prohibit the airlines to lay off, furlough or cut the pay rates of their employees until October 1.
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