Air Division Update – Coronavirus Air, Relief and Economic Security (CARES) Act

TO: Air Division Presidents – Locals 501 – 592

RE: Coronavirus Air, Relief and Economic Security (CARES) Act

Dear Local Presidents,

The Coronavirus Air, Relief and Economic Security (CARES) Act was passed by the U.S. Senate and House this week and will be signed into law shortly. TWU International worked hard to make sure this bill includes our priorities and we are proud to say that the final product is pro-worker at every level. Every TWU local will benefit from this legislation which should allow most of our properties to avoid furloughs/layoffs and keep workers whole for the immediate term.

For the Air Division, we were able to secure many essential victories, including:

  • $33b in grants and $25b in loans/loan guarantees for airlines and ground contractors
    • No grant money may be spent on outsourced maintenance
  • All money must be spent on frontline workforce (wages, salaries, and benefits)
  • No involuntary furloughs or reductions in pay rates or benefits through September 30, 2020 at airlines who accept grant money
  • No dividends or other capital distributions through September 30, 2021
  • No conditions may be placed on these funds that would undermine that collective bargaining process
    Limits on executive compensation

These conditions apply solely to airlines who accept federal aid, which we expect to be all of our employers.

For the worst-case scenario, where companies do furlough/layoff our members, we were also able to secure significant unemployment insurance (UI) upgrades as part of this legislation. These benefits would extend through the end of December 2020 and include:

  • Waiving all waiting-periods to qualify for UI (workers will be eligible immediately after they are forced to stop working).
  • Waiving most eligibility requirements to allow workers who might not normally qualify for the UI to receive these benefits (this includes workers
    who may have previously exhausted their UI benefits)
  • An additional $600/week in federal benefits on top of state-based aid. This federal benefit will be available regardless of whether the state provides individuals any benefit.
  • Requirements that all states allow workers to apply for UI benefits online.

It has been our goal throughout this process to ensure that as few TWU members as possible are forced to resort to UI. For those that must, however, we hope these benefits will ensure that all workers continue to be able to support their families throughout this crisis.

You can find more detailed flyers on both the Air specific wins in this legislation and the changes to unemployment insurance on the TWU website. These flyers are designed to be shared with your membership and posted at worksites.

Please reach out to your International Representative if you have any questions about this legislation or any other concern. We appreciate your work to keep all of your members healthy and safe as we fight this pandemic.

Sincerely,

Mike Mayes
TWU International Administrative Vice President
Air Division Director

2020_March_27 Coronavirus Air, Relief and Economic Security (CARES) Act in PDF