Originally Posted by
GoCats67
The MEC update on April 23rd shows the 10% restriction if we take the loans as well. Now the devil is always in the details, but I think furloughing more than 10% presents problems if you take part in the loan program.
CARES Act Worker Protections
• Grants - Airlines shall "refrain from conducting involuntary furloughs or reducing pay rates and benefits until September 30, 2020"
• Loans - "Business shall, until September 30, 2020, maintain its employment levels as of March 24, 2020, to the extent practicable" and, in any case, shall not reduce its employment levels by more than 10 percent.
Since United is also receiving Payroll Support Program grants, the "no-furlough" clause applicable to carriers taking grants would supersede the 10 percent furlough allowance in the loan provisions and protect against all involuntary furloughs until September 30, 2020.
There is no furlough protection after Sep 30 whatsoever, for the Grants or the Loans. Period.