Originally Posted by
Hedley
From what I understand it is multiple issues facing cash burn. The government cheese didn’t pay for all payroll expenses, and it required that service to previous markets be maintained. The money significantly reduced the burn, but other expenses such as aircraft lease payments, gates, slots...... roll on. If there is another round of govt. money, I can see some of those restrictions lifted. The airlines will argue that they need to be completely maintained, or they must be allowed to adjust their staffing and route structure to get the cost under control. The short answer to your question is yes. If the taxpayer does not pay airline labor cost, the airlines will be faced with either throwing gasoline on the cash burn, or slashing payroll starting Oct 1.
That’s not true. Cares payroll support was based on I believe Q3 2019 numbers. We have probably 3/4ths of our pilot group who have gone from line holders to reserve, a drastic reduction in premium pay and less short calls for reserves. That is only OUR employee group. How many FA’s, rampers or CSR’s do you think have gotten overtime? Part time CSR’s who worked 24-32 hours a week in IAH have been reduced to a day a week. So the payroll support probably HAS covered ALL of the companies payroll.
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