When the coronavirus pandemic took the world by storm in early 2020, businesses around the world struggled to stay afloat. The aviation industry was one of the worst hit, with airlines losing all their business and revenue streams almost overnight.
Most carriers had to start laying off employees to have any chance of survival. Thankfully, the US government came to the rescue and presented a lucrative aid package if carriers promised not to lay off or furlough personnel.
Then-President Donald Trump announced the Coronavirus Aid, Relief, and Economic Security (CARES) Act to help businesses in the country battle through tough times. For airlines, the aid came in three tranches, with the first one in spring 2020, another in December the same year, and the final $14 billion in Spring 2021.
While the first round is generally looked back upon as absolutely necessary, the following two are not as defensible in hindsight. The third and final round of funding is particularly viewed as somewhat unnecessary as it came at a time when the aviation sector had started recovering.
