joeblow10 wrote:For those who didn’t see - UA sent another publicly released memo today. I think the honesty is a stark indicator of what’s to come Oct 1, the writing is on the wall industry wide. Have to admire UA for at least being up front about it, it’s not fun for anybody to have to think about, but better than leading folks on for 6 months only to let them go come Oct 1.
Also interesting to finally hear a carrier acknowledge that this isn’t just going to “pick back up” even to a half-recovered state come June 1. Sounds like for now they’re going to trim thru June and likely even beyond. DL and WN have only really trimmed their schedules thru May at this point.
https://hub.united.com/2020-04-15-a-mes ... 29257.html
United has been upfront with employees from the very beginning and both Oscar and Kirby have been keeping employees informed every time something changes. There have been more town halls at first in person now through virtual town halls over the past two and half months than I can remember. As the crisis continued to worsen UA has been truthful with employees, 4-5 weeks ago (which now looking back seems like a life time ago) everyone thought this would be over by June and the industry would begin climbing its way out of this crisis. Four weeks ago Kirby was telling employees that by the Thanksgiving and Christmas holiday UA expected that demand would have recovered to around 80% of what it was in 2019. Today Kirby is saying by the Thanksgiving and Christmas holiday travel season we would be lucky if we have recovered 40% of our 2019 demand. Granted Thanksgiving and Christmas are a long ways away but that just shows people how long the road to recovery really is. Thanksgiving is the busiest travel period here in the U.S. and if we are only expecting at best a 40% recovery from 2019 those numbers don't look good.
As far as layoffs again they Oscar and Kirby have been upfront with employees since mid-March when it became clear the U.S. industry would be bailed out but had to maintain hourly employees payroll. They made sure employees knew there would be no forced pay cuts, or forced reduction in hours until October 1st. We all know that come October 1st all bets are off and UA like every other airline will do whatever is necessary to make sure the COMPANY survives. What does that equate to come October 1st, I don't know for sure but I'm going to guess that out of the current 95,000 UA employees worldwide, I think 45,000-55,000 of us (I include myself in the count because who knows) could potentially be layoff or furloughed. I appreciate the bailout because it has given the US industry aviation employees time to breath and get ready for what's to come, because come October 1st every airline here in the U.S. is on its own and will do whatever is necessary to make sure the company survives.