United's new CEO eyes union cooperation to avoid staff cuts in pandemic crisis

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United's new CEO eyes union cooperation to avoid staff cuts in pandemic crisis
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United's new CEO Scott Kirby says he is open to working with unions to potentially have workers scheduled for fewer hours in order to avoid furloughs.

United's new CEO Scott Kirby says airline could work with unions to avoid furloughs or layoffs.Airlines that took federal coronavirus payroll support are prohibited from laying off staff until Oct. 1.

Airlines are prohibited from laying off or cutting the pay rates of their employees through Sept. 30 under the terms of a $25 billion federal coronavirus payroll support program. "By the time to get to Oct. 1, hopefully we will have continued to see a in a recovery in demand but none of us think it's going to be back to 100% and that is going to lead to some hard decisions," Kirby told CNBC's Squawk Box.Wednesday, said the airline is considering voluntary measures such as working fewer hours or changes in pay structure with unions to avoid cutting the jobs of front line workers like flight attendants outright.

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