This pandemic has been disastrous for the global economy and businesses. The airline business is one of the worst-hit businesses during the pandemic. Even though the lockdown has been lifted across the world, the travel industry is still not recovering from the slowdown.
American Airlines released a press note on Thursday that they shut down airlines to 15 of U.S. cities in October due to low passenger turnout.
There’s an on-going debate in Congress on whether to grant aid from a whopping $25 billion package to American Airlines to keep the company’s employees on the jobs and keep the service running.
The bailout will help keep them running the company for the next six months. American Airlines announced that it plans to suspend over 700 flights to and from 15 U.S. cities due to low demand. They also mentioned that the suspension could extend if Congress doesn’t offer a bailout package.
U.S Transportation Department has made it mandatory for the airlines that receive portions of the $25B bailout package to keep the flights until September 30. However, surprisingly, American Airlines has received a huge amount of $5.8B already. Other airlines are also considering stopping flights to small airports unless they get assistance from the government.
Here’s the list of 15 cities that will not have American Airlines flights from October 7:
The pandemic is slowing down businesses like airlines, hotels, public venues, transportation, and restaurants. They all are struggling to keep the services going; the demand for government assistance is growing.
It appears that the agreement on airline assistance is not going to happen before September. Given the conditions businesses across the country are in, they should be helped way before elections or September. The question is what long-term solutions Congress deploys to help them out of the condition they are in at the moment.
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