Memorandum
To:
From:
Date:
Re: |
AMFA Membership
Justin Madden, Executive Director of Government Affairs
December 21, 2020
Payroll Support Protection (PSP) Extension |
Dear Members:
Congress has reached a tentative deal on a stimulus that includes a PSP Extension. While we wait for the House and Senate to vote, and the President’s signature for it to become law, the following summarizes the extension:
- 15 billion dollars for airlines extending PSP roughly 3 months to March 31, 2021
- Funds must be used exclusively for salaries, wages, and benefits
- Carriers who receive PSP cannot furlough or reduce wages or benefits through March 31, 2021
- Carriers must agree to other program terms and conditions, including continuation of certain air service deemed necessary by the Secretary of Transportation, no stock buybacks or dividend payments through March 2021, and compensation limits on executive salaries through October 2022
- All employees furloughed after October 1, 2020, will be called back and receive some backpay
Please continue to stay engaged by reading the monthly legislative updates, and thank you for your continued support.
Sincerely,
Justin W. Madden
Executive Director of Government Affairs
