A day after American Airlines (AAL) - Get American Airlines Group, Inc. Report announced that 19,000 workers will get furloughed or laid off without additional aid from the government, White House Chief of Staff Mark Meadows reportedly said Wednesday that assistance may be forthcoming.
He said at an event hosted by Politico that President Trump is considering executive actions to provide aid to airlines to avoid furloughs if Congress doesn’t do so itself in a new stimulus package, Bloomberg reported.
“If Congress is not going to work, this president is going to get to work and solve some problems,” Meadows said. “Hopefully we can help the airlines and keep some of those employees from being furloughed."
Congressional legislation is likely necessary, Meadows said. But the White House is “looking at other executive actions” and intends to implement “a few” additional stimulus measures beyond the package Trump decreed in July, he said, according to Bloomberg.
Other major airlines have announced thousands of furloughs and potential layoffs too. Delta Air Lines (DAL) - Get Delta Air Lines, Inc. Report said Monday that it will furlough 1,941 of its 11,200 pilots unless they accept compensation reductions. Delta warned pilots of potential furloughs over the summer. But even after 1,806 pilots accepted early retirement packages, the airline said in a memo it will still have more pilots than it needs to cover a flight schedule slashed by reduced travel demand during the coronavirus pandemic.
American shares recently traded at $12.92, down 1.67%; Delta shares recently traded at $29.95, down 0.5%; and United recently traded at $34.73, down 1.39%.