The $1.9 trillion American Rescue Plan is already paying immediate dividends.
Shortly after the House passed the Biden relief package, American Airlines sent out a note from its CEO and President, informing 13,000 employees who thought they would be furloughed as of April 1st, that they will instead be able to continue to work.
“For our 13,000 colleagues who received Worker Adjustment and Retraining Notification (WARN) notices last month, those are happily canceled — you can tear them up!”
The canceled furloughs are a result of one of the key components of the relief bill — the Payroll Support Program. The stimulus package includes grants that allow airlines to keep employees on the payroll through September 30 of this year. The hope is that, with the vaccination rollout continuing to pick up steam, air travel will soon begin to pick up.
The airline industry has been one of the hardest-hit sectors of U.S. business due to COVID-19. Airlines have already received billions of dollars in federal aid in the past year, but tens of thousands of jobs have been lost. American alone lost 31,000 workers in 2020.
But American CEO Doug Parker expressed optimism that the worst is behind the airline industry, in a video posted on his Instagram.
“There aren’t going to be any furloughs at American Airlines in April and with vaccinations on the rise, hopefully never again.”