You don't need to know collective wages... only how much money was given to the airline and how many jobs it saved (and for how long). Then when you get to well over a million dollars per year per job saved you can hopefully realize the nature of the bailout for yourself.

 

Thanks for the condescension, are you going to chirp at me every time I post something? If you look at what I said, I was pretty explicit that a bankruptcy with 15 billion in liquidity doesn’t make sense. Planning for later would make sense.

Profitability is not an issue without a pandemic, so that argument is moot. The business model is sound.

 

He ain’t the brightest crayon in the box. Give him a break though, he’s still proud of working for non-union mainline Skywest 😉

 

Are you taking into account that something like 8000 FA's were furloughed, as well as a very large number of other employees when you make this claim of $1m per employee?

 

I was asking these questions for a reason, and that reason is not that I'm too lazy to google myself.

The reason I ask, is because the law as it is written doesn't allow for what you are saying. Really I should say that it doesn't allow for what that blogger is alleging. The amount an airline could receive under PSP2 is equal to 1.) the amount received under PSP, or 2.) the amount of salaries and benefits reported by the passenger air carrier to the Department of Transportation for the period from October 1, 2019 through March 31, 2020. The amount received for PSP1 was determined using the same methodology, with a different sample of monthly wage expenses. Also, the money received is limited solely to the continuation of employee wages, salaries and benefits.


All this to say that I will read the law itself and laugh at some blogger writing hit pieces for clicks. He sure seems to like Delta though.

 

Do the Math: Bailout Number Two Isn’t about Workers

First, it is worth noting that in spite of the first bailout, the largest carriers have already separated from 30 percent of their nonunion staff. This new bailout will do nothing to bring these jobs back and, therefore, isn’t about preserving old employment levels.

Second, if 35,000 US commercial airline jobs are indeed at risk, then a bailout of $25 billion works out to about $715,000 per job saved for six months, an annualized run rate of over $1.4 million per airline job.

Third, the math does not support a claim that the bailout is about job support. If one were to assume that the 35,000 workers have annualized salaries of $100,000, then supporting their wages for six months would require only $1.75 billion, not $25 billion. In other words, the airlines are demanding more than 10 times more than is necessary to support 35,000 employees.

Furthermore, as mentioned, Southwest Airlines has announced that it won’t be furloughing any employees, at least through the end of the year. However, under this second bailout, that airline would receive another $3.3 billion.
https://www.mercatus.org/publications/corporate-welfare/economic-case-against-second-airline-payroll-bailout

 

Man, you’re still upset over being called an emotional wreck, which you are btw. Now you’re just tracking me around the forums to throw jabs, sad. 😉

 

Haha trust me I'm doing just fine. I just enjoy calling people out, like yourself. You're probably mid-20's and think you know everything. I've been there! Welcome back to the AA forum btw, maybe one day you'll make it to the big leagues

 

2020 Earnings (loss)

AA
4Q (2.2B)
2020 (8.9B)


DL
4Q (755m)
2020 (12.39B)

UAL
4Q (1.9B)
2020 (7.07B)

AA ended 2020 with 14B in liquidity and access to an additional 7.5B in loans.

 

https://americanairlines.gcs-web.com...9-7359e45aef01