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Shares of airline giant American Airlines AAL sunk over 4% in Tuesday morning trading after it announced it will cut 19,000 jobs in October. The stock climbed back a bit before closing down 2.23%.
Federal aid that protected those jobs during the pandemic is expiring. The original aid package set aside for airline carriers was $25 billion, but airlines and labor unions are urging lawmakers for another $25B in federal help; Congress is still trying to strike a deal on another coronavirus aid package.
American has been able to offset some involuntary cuts over the past few months by offering employees early retirements, buyouts & unpaid or partially paid leaves.
AAL is down over 54% year-to-to-date.
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American Airlines Group Inc. (AAL) : Free Stock Analysis Report
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