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DALLAS (AP) — Southwest Airlines says its workers must take pay cuts or face furloughs next year. Chairman and CEO Gary Kelly said Monday that unless the federal government gives airlines more money, Southwest will have to sharply cut spending to avoid losing billions of dollars every quarter until a coronavirus vaccine is widely available. Air travel is down nearly 70% from a year ago.“We would have to wipe out a large swath of salaries, wages and benefits to match the low traffic levels to have any hope of just breaking even,” Kelly said in a video to employees.Kelly says he won't take a base salary through 2021, and nonunion workers will face 10% pay cuts in January. Southwest, the fourth-biggest U.S. airline by revenue, recently said it is burning about million a day. It lost 5 million in the second quarter and borrowed billions while cutting back on flights to conserve cash.He says Southwest needs “reasonable concessions” from union employees or the airline will have to consider furloughs. The Dallas-based airline says it's never laid off employees in its roughly 50-year history. 1116
DENVER (AP) — Chipotle is moving its headquarters from its hometown of Denver to southern California.The burrito chain announced Wednesday that work done in its Denver and New York offices will be either moved to its new headquarters in Newport Beach, California or taken over by its existing office in Columbus, Ohio over the next six months. The Denver and New York offices will then be closed.In a statement, CEO Brian Niccol says the consolidation and the move will help drive sustainable growth and position the company to compete for top talent.Company founder and former CEO Steve Ells opened the first Chipotle in Denver in 1993. It now has over 2,400 restaurants.Chipotle has been trying to rebuild its business after a series of food safety scares. 766
DENVER – Sen. Cory Gardner, the chair of the National Republican Senatorial Committee, said Wednesday that Roy Moore, the Republican candidate for Alabama’s U.S. Senate seat, should drop out of the special election if the allegations he had a sexual relationship with a teen girl are true.The Washington Post broke the story Wednesday that in 1979, Moore—then a 32-year-old district attorney—had a sexual encounter with a girl who was 14 years old at the time.The Post reported that after meeting the girl one day, Moore picked her up days later, took her to a wooded area, kissed her, removed his clothes, and touched her inappropriately.Three other women told The Post Moore had pursued them while he was in his 30s and they were between 16 and 18 years old, though they said no sexual contact occurred.Moore denied the allegations, calling them “completely false” and a “desperate political attack” by the Democratic Party and Washington Post. His campaign said the report was “the very definition of fake news and intentional defamation.”But Colorado's Gardner, who as chairman of the NRSC is in charge of helping elect and re-elect Republicans to the U.S. Senate, appeared to be taking the report seriously.“The allegations against Alabama Senate candidate Roy Moore are deeply troubling,” Gardner said in a prepared statement. “If these allegations are found to be true, Roy Moore must drop out of the Alabama special Senate election.”Gardner, as the NRSC chair, endorsed Moore in late September after he defeated Sen. Luther Strange, whom President Trump had publicly supported, in the special primary.“Roy Moore will be imperative to passing a conservative agenda, and we support him in keeping this seat in Republican hands,” Gardner said in a statement at the time, saying the NRSC’s focus “is always on keeping a strong Republican majority in the Senate.”Moore has been under fire since he was announced as the challenger to Strange. He has in the past called homosexuality “a crime against nature,” has questioned whether President Obama was born in America, and has said that he didn’t think Muslims should serve in Congress.Despite Gardner’s statement Thursday, Alabama’s Secretary of State’s Office said Thursday that his name can’t be removed for the ballot even if he were to drop out of the race.Senate Majority Leader Mitch McConnell also, however, said that Moore should “step aside” if the allegations are true.Other top Senate Republicans—John Cornyn of Texas, Jeff Flake of Arizona and Pat Toomey of Pennsylvania agreed, with Cornyn calling the report “deeply troubling.”Sen. John McCain, R-Arizona, said Moore should step aside without saying further investigation was necessary."The allegations against Roy Moore are deeply disturbing and disqualifying," McCain said in a tweet. "He should immediately step aside and allow the people of Alabama to elect a candidate they can be proud of."But Alabama State Auditor Jim Zeigler came to Moore's defense."Take Joseph and Mary. Mary was a teenager and Joseph was an adult carpenter. They became parents of Jesus. there's just nothing immoral or illegal here," Zeigler told the Washington Examiner.Moore faces Democrat Doug Jones in the special election on Dec. 12. 3247
Department of Education Secretary Betsy DeVos is rolling back another Obama-era regulation that was meant to protect students from abusive practices by for-profit schools and colleges.On Friday, DeVos said she plans to fully repeal a rule that targeted schools that failed to prepare students for "gainful employment."The regulation required for-profit colleges and certificate programs at non-profit colleges to publish information on how much student debt graduates took on and how much they were earning after leaving school. If the average debt-to-income ratio did not meet government standards, the school's federal funding would be revoked.The announcement comes?two weeks after DeVos said she would replace the "borrower defense" rule that aimed to help defrauded students seek debt relief.Together, the two rules were an important part of the Obama administration's crackdown on for-profit colleges like Corinthian and ITT Tech, which were accused of defrauding students and eventually shut down. Corinthian was fined million by the Department of Education for overstating job placement rates and was accused of preying on low-income people with high-interest loans. When ITT Tech abruptly shut down in 2016, it left 35,000 students without a degree and many of those who had completed their program found their degree was worthless because the program didn't have the correct accreditation.DeVos froze the two rules?more than a year ago so that they could be reviewed and to make sure they would actually help harmed students, she said at the time.In 2017, before DeVos was sworn into office, the Department of Education said that 800 programs serving hundreds of thousands of students failed the accountability standards because grads' loan payments were more than 30% of their discretionary income and more than 12% of their total earnings.About 98% of these programs were offered by for-profit colleges, the department said. One program offered by a non-profit school was a theater arts curriculum at Harvard that later suspended enrollment.On Friday, DeVos proposed a new rule that would require all schools — both for- and non-profit — to provide data on student outcomes."Our new approach will aid students across all sectors of higher education and improve accountability," DeVos said in a statement.But a big difference in the proposed rule is that it won't institute a new standard that schools have to meet in order to keep receiving federal funding. The public has time to comment on the proposal before a rule is finalized.Consumer groups and Democrats attacked DeVos' plan for putting the interests of for-profit colleges ahead of students."Her extreme proposal to rescind this rule is further proof that there is no line Secretary DeVos won't cross to pad the pockets of for-profit colleges — even leaving students and taxpayers to foot the bill," said Senator Patty Murray, a Democrat and ranking member of the education committee.Democrats have criticized DeVos before for hiring department officials with connections to the for-profit college industry. Last year she named Julian Schmoke, Jr, a former dean at for-profit DeVry University, to lead enforcement activities at Federal Student Aid. In 2016, DeVry settled a lawsuit with the government over a claim that it misled students with a false job placement rate.Career Education Colleges and Universities, a trade organization that represents for-profit colleges, applauded DeVos's proposed rule for aiming to "provide complete transparency on the outcomes of today's higher education programs."Senator Lamar Alexander, a Republican and chair of the education committee, called the Obama-era rule "clumsy.""This reset gives Congress an opportunity to create a more effective measure of accountability for student debt and quality of institutions," he said.The-CNN-Wire 3910
Democratic presidential candidate Joe Biden criticized President Donald Trump's economic response to the coronavirus pandemic, hours after a jobs report Friday said that economic growth showed a modest gain in jobs.Biden said that there was a "cause for concern" in Friday's report, noting that the U.S. job growth slowed between July and August."More temporary layoffs are turning into permanent layoffs," Biden said."More temporary layoffs are turning into permanent layoffs," Biden said.Biden claimed Thursday that Trump's inaction on the virus has caused the U.S. economy to lag behind in recovery efforts compared to other countries. He also criticized Trump for not being more proactive in attempting to bring Congress together to strike a deal for another COVID-19 stimulus package."Bottom line, Mr. President: Do your job. Get off your golf course," Biden said.Biden's address took place from his hometown of Wilmington, Delaware.This week has been one of the most active weeks of the Biden campaign since he clinched the party's nomination. On Monday, Biden delivered an address from Pittsburgh in which he blamed President Donald Trump for a series of violent attacks against protesters throughout the country. On Wednesday, he took questions from reporters following an address about education amid the pandemic, and he traveled to Kensoha, Wisconsin, on Thursday to meet with the family of Jacob Blake.President Donald Trump has often attacked Biden for running a passive campaign, accusing him of "hiding" while Trump attends rallies across the country. 1574