Coronavirus-hit JetBlue could furlough in-flight crew, support center staff: Memo
COVID-19 outbreak has hit travel hard
JetBlue CEO Robin Hayes discusses making flights safe for passengers amid coronavirus and protecting crew member jobs and demand for travel.
JetBlue Airways Corp (JBLU.O) could furlough some in-flight crew and support center staff, according to an internal memo seen by Reuters on Thursday, as air travel demand remains weak.
Airlines have been hit hard due to the COVID-19 pandemic, with U.S. carriers including American Airlines (AAL.O), the largest, warning of furloughs in October, when the government payroll aid program for airlines expires.
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| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| JBLU | JETBLUE AIRWAYS CORP. | 7.06 | -0.05 | -0.70% |
The U.S. aviation sector received a $32-billion bailout to cover their payrolls under the CARES Act that prohibits airlines from forcing involuntary furloughs before October.
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“It continues to be very difficult to predict travel demand, making it equally hard to plan our staffing,” JetBlue said in the memo.
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“The uncertainty of the industry’s recovery and the changing landscape around us means we have to be ready for anything.”
JetBlue CEO Robin Hayes discusses new safety measures on his company’s flights, low trip prices and how the coronavirus is impacting his industry.
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JetBlue Airways and a labor union representing pilots, the Air Line Pilots Association (ALPA), had reached an agreement on Wednesday to avoid involuntary furloughs until May 1, 2021.