Originally Posted by
MSP7ERB
Thanks. A common question on recent Town Halls has been asking how much CARES $$ is left over. The sentimate behind the question seems to be an entitlement that any left over CARES $$ should be used to mitigage furloughes, but it sounds like the company is now allowed to furlough and use left over CARES money for payroll going forward. Again, not taking sides but just trying to figure out what the company is allowed and not allowed to do with left over CARES $$$.
Ed was instrumental in influencing the CARES act (admitted on town halls) to ensure it gave maximum flexibility to the business while looking like a political win for congress.
1. Hour cuts were allowed despite no furlough
2. The company can double dip into unemployment benefits by offering unpaid LoA
3. The grant money had no expiration date
He was able to get the stuff the business didn't like put into loans that only the competitors would take, like limits on share buybacks and whatever else the DoT added to the loan terms. It was seriously a huge accomplishment for the company and shows Ed's prowess, but in many ways it very frustrating that hours were in fact cut, employees were paid less, and the taxpayers doled out effectively more than 25B to airlines due to the unemployment backdoor.