
According to the Center for Aviation, the worldwide number of passenger planes in service at the end of last year plummeted to levels last seen during the 2008 financial crisis. Passenger numbers were at their lowest since 2003, with the average distance traveled by passengers at its lowest since 1999.
Meanwhile, the International Civil Aviation Organization confirmed that the industry suffered a staggering loss of $370 billion after a mere 1.8 billion passengers worldwide took flights last year, compared to 4.5 billion the year before. In North America, losses were estimated to be around $88 billion – the third-highest after Asia-Pacific ($120 billion) and Europe ($100 billion). (Related: American cities were unprepared for financial fallout from coronavirus shutdowns.)
Many American airlines were forced to cut jobs to stay afloat. In September, for example, American Airlines and United Airlines together laid off more than 32,000 workers following the expiration of the $25 billion in relief package that Congress dispensed earlier in March. Those workers were eventually reinstated after Congress approved another $15 billion to the industry late last year.
But as that second round of federal aid is set to expire next month, both carriers are mulling furloughing 27,000 workers in the next couple of weeks.
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