Fort Worth-based American Airlines sent furlough notices to 19,000 employees Thursday. United Airlines did the same for 13,000 of its workers. Delta Airlines and Southwest Airlines are holding off on employee reductions in hopes Congress can reach a deal on a new stimulus package.
“I want you all to know we will not furlough or layoff any Southwest employees on October 1, unlike our major competitors,” Southwest CEO Gary Kelly wrote in a letter to employees obtained by Fox Business. “Further, we have no intentions of seeking furloughs, layoffs, pay rate cuts, or benefits cuts through at least the end of this year.”
The massive layoffs in the airline industry come as first-time claims for Texas unemployment assistance fell again last week to 40,073. Nationally, 837,000 more people filed for unemployment last week.
Since mid-March, there have been over 3.5 million unemployment claims filed in Texas and 61 million in the U.S.
Although declining, claims are still running far higher than before the pandemic.
The Texas Workforce Commission has processed more than 7 million unemployment claims, the equivalent of seven years of claims in just six months. More than $31 billion in benefits have been paid out, according to TWC spokesperson Cisco Gamez.
Negotiations that could provide extra jobless benefits are continuing in Congress, with this week showing the first signs of movement in almost two months.
The latest White House proposal includes an additional $400 in weekly unemployment benefits that would be retroactive to Sept. 12. The Republican plan also includes a second round of $1,200 direct payments to Americans.
The offer also contains $75 billion for coronavirus testing and tracing, $20 billion for airlines, $60 billion for rental and mortgage assistance, and $160 billion for the Paycheck Protection Program of forgivable loans for small businesses.
Democrats want to restore the $600 in extra jobless assistance that ran out at the beginning of August. The overall cost of their plan is about $2.2 trillion, while the GOP proposal comes in at $1.6 trillion.
What you need to know if you are out of work
If you are newly unemployed, it is important that you apply for benefits as soon as possible because eligibility begins the week you apply. You will not be paid benefits for weeks before you apply.
Apply for benefits in one of two ways:
In a landmark decision that has reignited…
Texas legislators are currently reviewing a series…
Eight former University of Texas men’s basketball…
Nvidia, a major player in the global…
Every Tuesday night, a downtown Austin dance…
This website uses cookies.