President Trump’s Secretary of Commerce Wilbur Ross said on Friday that not giving airlines another $25 billion, after providing $25 billion in payroll support and another $25 billion in subsidized loans, is akin to punishing them:
“The reason the White House might be receptive to a stand- alone deal is that it’s not right to punish the airlines differentially because of coronavirus,” Ross told Fox Business Network, adding: “We’ve got to bridge the airlines … bridge their employees if we can through that period” until there is a COVID-19 vaccine.
In the upside-down Alice in Wonderland world that airline lobbyists and Sara Nelson have us living in, it’s ‘punish[ing] the airlines differentially’ by not giving them more money, even as hotels, restaurants, and retailers struggle without assistance. And not being given taxpayer money a second time is considered a punishment.
- Airlines only plan to furlough about 40,000 people
- Yet it costs $25 billion to keep them employed for six months. Do the math and show your work!
- There is less travel demand, so they’re going to operate fewer flights and need fewer people.
- Airlines say this situation will last until 2024, so keeping people on payroll through March 31, 2021 does little good.
You wouldn’t buy the basic economy tickets airlines were selling, but they’re going to take your money anyway.
It’s better for the economy for people to find new ways to be productive than to get paid to stay home and not work. That’s what happened during the first CARES Act payroll support, since there were way too many employees for the number of flights being operated.