CHICAGO, Nov 6 (Reuters) - Southwest Airways LUV.N mentioned on Friday it has despatched furlough n
CHICAGO, Nov 6 (Reuters) – Southwest Airways LUV.N mentioned on Friday it has despatched furlough notices to 42 components stock employees after the union representing them refused to debate pay cuts the airline argues it wants from all workers to offset $1 billion in overstaffing prices.
The furloughs, the primary within the low-cost service’s 49-year historical past, would happen in January except Washington passes “a passable” extension of a payroll assist program for airways, Southwest mentioned.
An preliminary $25 billion in federal payroll assist for airline employees expired in September, prompting tens of 1000’s of furloughs throughout the business after lawmakers didn’t agree one other COVID-19 reduction deal earlier than the Nov. three U.S. election.
Southwest stays in talks over cost-savings with representatives of different union teams, it mentioned.
The Employee Adjustment and Retraining Notifications, or WARN notices, had been despatched on Friday to 42 employees represented by the Worldwide Brotherhood of Teamsters (IBT).
The Teamsters didn’t instantly remark.
“This isn’t the outcome we hoped to attain,” Southwest Vice President of Labor Relations Russell McCrady mentioned in an emailed assertion, including that the door stays open for negotiations with the union to avoid wasting the affected jobs.
(Reporting by Tracy Rucinski; Enhancing by Alison Williams)
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