Amazon bucks UK labor market gloom with 7,000 new jobs

LONDON (Reuters) – Amazon brought a little cheer to Britain’s troubled labor market on Thursday, saying it will create a further 7,000 permanent jobs in 2020, taking total new hires this year to 10,000.

Last month the number of people in work in Britain suffered the biggest drop since 2009 and the coronavirus is expected to take a much heavier toll on unemployment when the government winds down its huge job-protection scheme.

The one bright spot however has come from online retail and logistics as orders surged during lockdown. Amazon’s latest recruitment will take its total UK workforce to over 40,000 by the end of the year.

The U.S. internet giant said the 7,000 new roles will be for warehouse workers, as well as engineers, HR and IT professionals and health and safety and finance specialists.

The jobs will be in over 50 sites, including two new distribution centers in the north east and central England and at corporate offices.

It said it needed more staff to meet growing customer demand for its services and to enable small and medium sized enterprises selling on Amazon to scale their businesses.

Amazon has also started recruiting for more than 20,000 seasonal positions across the UK for the festive period.

Last month the Confederation of British Industry said British retailers had cut the most jobs since the depths of the financial crisis and expected the pace of losses to accelerate.

Well-known British retailers Marks & Spencer, John Lewis, Debenhams, WH Smith and Dixons Carphone have all announced job cuts in recent weeks, reflecting the rapid shift in demand to online sales.

Tesco, Britain’s biggest supermarket, said it would create 16,000 permanent roles to meet the surge in home deliveries.

(Reporting by James Davey; editing by Kate Holton)

Unlikely that a COVID-19 vaccine will be ready in October, but not impossible, Fauci says

WASHINGTON (Reuters) – Top U.S. infectious diseases expert Anthony Fauci said on Thursday it is unlikely a COVID-19 vaccine will be ready by the end of October, but that it is not impossible.

“I think most of the people feel it’s going to be November, December,” Fauci said in a CNN interview when asked about the possibility of an earlier release, adding a clinical trial could prompt drug developers to decide a vaccine works sooner. “It is conceivable that you can have it by October, though I don’t think that that’s likely.”

(Reporting by Lisa Lambert; Editing by Chizu Nomiyama)

Transportation chief says aid needed by November to avoid big NYC subway and bus cuts

By Axel Threlfall

(Reuters) – New York’s coronavirus-hit Metropolitan Transportation Authority (MTA) will have to start implementing a dramatic job and service reduction plan in November if it does not receive billions of dollars in federal aid, the agency’s chairman said on Thursday.

Speaking in a virtual Reuters Newsmaker event, Patrick Foye said the MTA’s upcoming board meeting in November was the cutoff date for pulling the trigger on a plan to lay off 8,400 workers and cut city subway and bus service by up to 40 percent.

“That is the point at which we would have to begin implementing the service reductions and layoffs,” Foye said, adding that the MTA would also shelve a $51.5 billion capital plan to fix and upgrade North America’s biggest transportation system.

“If we are not able to make those investments, there will be a deterioration in service, as occurred in New York City in the 70’s and 80’s, and we don’t want to go back there,” Foye said.

Foye and John Samuelsen, international president of the Transport Workers Union of America, warned in an opinion article this week in the New York Times that the MTA faced a “five-alarm fire” and called on the U.S. Senate to approve funds to save it.

In July, the MTA unveiled a four-year financial plan that estimated a $16.2 billion deficit by 2024, with more than a third of those losses coming next year, a signal that it does not see ridership, hard hit by the coronavirus pandemic, rebounding significantly anytime soon.

The agency, which runs New York City buses and subways and two commuter railroads that connect the city with suburbs, is losing $200 million in revenue a week and estimates it needs another $3.9 billion in federal aid to get through the end of this year and a total of $10.3 billion through 2021.

In addition to the plunge in revenue, the MTA has had to spend more to clean subway cars, stations and buses to curb the spread of the coronavirus. Subway service, which formerly ran for 24 hours, was closed down from 1 a.m. to 5 a.m. to make that cleaning possible, another hit to ridership.

Even with congressional negotiations on further federal assistance at a standstill, Foye said he still held out hope that the Republican-controlled Senate would approve additional funding for the MTA before the Nov. 3 national election.

“If reason prevails and the national interest is pursued by the Senate, the Republican leadership in the Senate and Washington, the MTA will be financed,” Foye said.

Foye said he was not optimistic there would be any progress this year on congestion pricing, a program that charges vehicles entering Manhattan a fee. The program was supposed to account for $15 billion of the MTA’s capital spending plan, but its rollout has been slowed by the federal government not determining what environmental review is needed.

Foye described the withholding of aid from the MTA and the New York City region as a “punitive” act by Washington, echoing concerns by cities and states run by Democrats that they are being targeted by Republican President Donald Trump.

Foye suggested that the election of Democratic presidential nominee Joe Biden, who has been a frequent rider on Amtrak passenger trains and a supporter of public transportation, might lead to better outcomes for the MTA.

“I believe that he’s got a different view of the importance of mass transit and public transit,” Foye said.

(Reporting by Axel Threlfall; additional reporting by Nathan Layne and Tina Bellon; editing by Jonathan Oatis)

Exclusive: Vaccine group says 76 rich countries now committed to ‘COVAX’ access plan

By Kate Kelland

LONDON (Reuters) – Seventy-six wealthy nations are now committed to joining a global COVID-19 vaccine allocation plan co-led by the World Health Organization (WHO) that aims to help buy and fairly distribute the shots, the project’s co-lead said on Wednesday.

Seth Berkley, chief executive of the GAVI vaccines alliance, said the plan, known as COVAX, now has Japan, Germany, Norway and more than 70 other nations signed up, agreeing in principle to procure COVID-19 vaccines through the facility for their populations.

“We have, as of right now, 76 upper middle income and high income countries that have submitted confirmations of intent to participate – and we expect that number to go up,” Berkley told Reuters in an interview.

“This is good news. It shows that the COVAX facility is open for business and is attracting the type of interest across the world we had hoped it would.”. COVAX coordinators are in talks with China about whether it might also join, Berkley said.

“We had a discussion yesterday with the (Chinese) government. We don’t have any signed agreement with them yet,” but Beijing had given “a positive signal”.

Chinese Foreign Ministry spokeswoman Hua Chunying told a briefing on Wednesday that China “supports COVAX and has been in communication with WHO and other parties” about it.

COVAX is co-led by GAVI, the WHO and the Coalition for Epidemic Preparedness Innovations (CEPI). It is designed to discourage national governments from hoarding COVID-19 vaccines and to focus on first vaccinating the most high-risk people in every country.

Its backers say this strategy should lead to lower vaccine costs for everyone and a swifter end to the pandemic that has claimed some 860,000 lives globally.

Wealthy countries that join COVAX will finance the vaccine purchases from their national budgets, and will partner with 92 poorer nations supported through voluntary donations to the plan to ensure vaccines are delivered equitably, Berkley said.

Participating wealthy countries are also free to procure vaccines through bilateral deals and other plans.

The United States said on Tuesday it would not join COVAX due to the Trump administration’s objection to WHO involvement, a move described by some critics as “disappointing.” Berkley said he was not surprised by the U.S. decision, but would seek to continue talks with Washington.

In what appeared to be a change of position on Wednesday, the European Union said its member states could buy potential COVID-19 vaccines through COVAX.

COVAX coordinators sought to add flexibility to joining agreements to encourage greater participation, Berkley said.

The WHO describes COVAX as an “invaluable insurance policy” for all countries to secure access to safe and effective COVID-19 vaccines when they are developed and approved. The plan’s coordinators have set a deadline of Sept. 18 for countries signing up to make binding commitments.

Asked to comment on the U.S. decision not to join COVAX, and on talks with China, a WHO spokesperson said: “Countries have until Sept. 18 to sign binding agreements…, so we’ll have more to say on countries that have joined then.”

COVAX’s objective is to procure and deliver 2 billion doses of approved vaccines by the end of 2021. It currently has nine COVID-19 vaccine candidates in its portfolio employing a range of different technologies and scientific approaches.

A handful are already in late-stage clinical trials and could have data available by year end.

(Reporting by Kate Kelland; Additional reporting by Stephanie Nebehay in Geneva and Yew Lun Tian in Beijing; Editing by Bill Berkrot and Mark Heinrich)

U.S. CDC tells states to prep for COVID-19 vaccine distribution as soon as late October

By Manojna Maddipatla

(Reuters) – The U.S. Centers for Disease Control and Prevention (CDC) has asked state public health officials to prepare to distribute a potential coronavirus vaccine to high-risk groups as soon as late October, documents published by the agency showed on Wednesday.

The timing of a vaccine has taken on political importance as U.S. President Donald Trump seeks re-election in November, after committing billions of federal dollars to develop a vaccine to prevent COVID-19, which has killed more than 180,000 Americans.

“For the purpose of initial planning, CDC provided states with certain planning assumptions as they work on state specific plans for vaccine distribution, including possibly having limited quantities of vaccines in October and November,” a CDC spokeswoman told Reuters.

The New York Times had earlier reported that the CDC had contacted officials in all 50 states and five large cities with the planning information.

The country’s top infectious disease expert Anthony Fauci earlier on Wednesday said on MSNBC that based on the patient enrollment rate in COVID-19 vaccine trials underway, there could be enough clinical data to know by November or December that one of the vaccines is safe and effective.

The documents put online by the New York Times showed the CDC is preparing for one or two vaccines for COVID-19 to be available in limited quantities as soon as late October.

The vaccines would be made available free of cost first to high-risk groups including healthcare workers, national security personnel, and nursing home residents and staff, the agency said in the documents.

Regulators around the world have repeatedly said development speed will not compromise vaccine safety, as quicker results would stem from conducting parallel trials that are usually done in sequence. But such reassurances have not convinced everyone.

Preliminary results of a survey conducted over the last three months in 19 countries showed that only about 70% of British and U.S. respondents would take a COVID-19 vaccine if available, Scott Ratzan, co-leader of a group called Business Partners to Convince, told Reuters in August.

Drug developers including Moderna Inc., AstraZeneca Plc and Pfizer Inc. are leading the race to develop a safe and effective vaccine for the respiratory illness.

The CDC documents describe two vaccine candidates that must be stored at temperatures of minus 70 and minus 20 degrees Celsius. Those storage requirements match profiles of candidates from Pfizer and Moderna.

Last month, the U.S. health department said the CDC was executing an existing contract option with McKesson Corp. to support potential vaccine distribution.

CDC Director Robert Redfield has asked state governors to expedite McKesson’s requests for building vaccine distribution centers and to consider waiving requirements that would stop them from becoming fully operational by Nov. 1, according to a recent letter obtained by Reuters.

(Reporting by Manojna Maddipatla in Bengaluru and Deena Beasley in Los Angeles; Editing by Maju Samuel, Tom Brown and Subhranshu Sahu)

U.S. NIH awards nine companies $129 million to scale up COVID-19 testing

(Reuters) – The National Institutes of Health is awarding $129.3 million to nine companies to support scaling-up coronavirus testing and manufacturing new testing technologies, the U.S. health agency said on Wednesday.

The funding is part of NIH’s Rapid Acceleration of Diagnostics (RADx) initiative that was launched in April to speed up innovation in the development, commercialization, and implementation of technologies for COVID-19 testing.

NIH said three of the selected companies, MatMaCorp, Maxim Biomedical Inc and MicroGEM International, offer point-of-care tests that produce immediate results.

The remaining six – Aegis Sciences, Broad Institute, Ceres Nanoscience Inc, Illumina Inc, PathGroup and Sonic Healthcare – offer lab-based tests.

The funding will help significantly expand national testing in September, with the laboratories managing collection, analysis and reporting of tens of thousands of tests a day, the agency said in a statement.

In July, NIH made a similar contribution of $248.7 million to seven companies.

“Diagnostic testing is a critical component of the nation’s strategy to meet the challenge of the COVID-19 pandemic,” said NIH Director Francis Collins.

(Reporting by Vishwadha Chander in Bengaluru; Editing by Shinjini Ganguli)

U.S. CDC reports 184,083 deaths from coronavirus

(Reuters) – The U.S. Centers for Disease Control and Prevention (CDC) on Wednesday said the number of deaths due to the new coronavirus had risen by 1,033 to 184,083 and reported 6,047,692 cases, an increase of 43,249 cases from its previous count.

The CDC reported its tally of cases of the respiratory illness known as COVID-19, caused by a new coronavirus, as of 4 p.m. ET on Sept. 1 compared with its previous report a day earlier.

The CDC figures do not necessarily reflect cases reported by individual states.

(Reporting by Dania Nadeem in Bengaluru; Editing by Vinay Dwivedi)

U.S. passenger railroad Amtrak to furlough 2,000 workers

By David Shepardson

WASHINGTON (Reuters) – U.S. passenger railroad Amtrak will furlough more than 2,000 workers as a result of the steep decline in travel demand from the coronavirus pandemic.

Amtrak said in a statement that despite other cuts, “significant reductions remain necessary due to the slow recovery of ridership and revenue. Approximately 1,950 agreement team members will be furloughed” and 100 management jobs will be cut in the coming weeks.

In May, Amtrak said it needed a new $1.475 billion bailout and disclosed plans to cut its workforce by up to 20% in the coming budget year.

The company, which has been hit hard by the coronavirus pandemic, received $1 billion in emergency funding from Congress in April. Amtrak, a government-owned corporation that gets annual subsidies from Congress, has said previously it employs about 20,000 workers.

Ridership and revenue levels are down 95% year over year since the pandemic began, Amtrak has said.

U.S. House of Representatives Transportation Committee Chairman Peter DeFazio said the committee’s panel overseeing rail issues would hold a hearing on Sept. 9 with Amtrak Chief Executive Bill Flynn.

“It’s time for Republicans in the Senate to stop sitting on these important bills and do their job to protect Amtrak employees and so many others currently in need,” DeFazio, a Democrat, said.

Much of the U.S. transportation sector has been battered by COVID-19.

Transit agencies are urging Congress to approve $32 billion to $36 billion on top of a $25 billion bailout approved by Congress in March. Urban transit systems have been devastated by millions of workers staying home rather than commuting and a sharp decline in tourism.

Private U.S. bus companies are seeking $15 billion in government assistance.

U.S. airports want another $10 billion in government assistance on top of an earlier $10 billion bailout, while passenger airlines want a further $25 billion in payroll assistance.

United Airlines said on Wednesday it planned to cut 16,370 jobs as early as Oct. 1 without new government assistance.

(Reporting by David Shepardson; Editing by Peter Cooney)

United Airlines to cut 16,370 jobs as the pandemic rages

By Tracy Rucinski

CHICAGO (Reuters) – United Airlines is preparing to furlough 16,370 workers when federal aid expires on Oct. 1 as the coronavirus pandemic continues to devastate the airline industry, it said on Wednesday.

Chicago-based United had over 90,000 employees before the pandemic brought the industry to a near standstill in March. It warned in July that 36,000 jobs were at risk of involuntary furloughs as demand remained weak.

Some 7,400 employees have opted to take early retirement or departure packages and the company is working through several other voluntary temporary leave programs to further reduce the number of furloughs, United officials said.

The leaves would give the company flexibility to call back staff once travel returns, they said.

Airlines received $25 billion in U.S. government stimulus funds in March meant to cover payrolls and protect jobs through September, when the industry had hoped for a rebound.

As bailout money runs out without a travel recovery in sight, airlines and unions have lobbied Washington for another $25 billion but talks have stalled as Congress has struggled to reach agreement on a broader coronavirus assistance package.

U.S. passenger airlines are still collectively losing more than $5 billion a month as 30% of planes remain parked. Passenger travel demand is down about 70% and, on average, planes that are flying are half-full.

United’s schedule for September is 63% smaller than a year ago.

United’s cuts will affect around 2,850 pilots, 6,920 flight attendants, 2,010 mechanics and 1,400 management and administrative positions, among others, though negotiations continue with pilots to reduce the final number.

Rival American Airlines last week said it would lay off 19,000 workers without federal aid. Including voluntary departures or leaves, its 140,000 pre-pandemic workforce will shrink by 30%.

Delta Air Lines plans to lay off nearly 2,000 pilots without wage concessions, but has not said how many jobs for workers including flight attendants and mechanics are at risk.

President Donald Trump has said his administration would help U.S. airlines but has not given any details.

Congress also approved another $25 billion in loans for airlines under the first stimulus package, but not all of them are tapping the funds.

(Reporting by Tracy Rucinski in Chicago; Editing by Matthew Lewis and Richard Chang)

Trump administration sending rapid COVID tests to states, CDC bars evictions

By Dan Whitcomb

(Reuters) – The Trump administration will send most of its newly purchased 150 million rapid COVID-19 tests to U.S. states for schools and critical services, a White House official said on Tuesday, as New York City pushed back reopening classrooms in a deal with union leaders.

The moves came as The U.S. Centers for Disease Control and Prevention on Tuesday issued a sweeping order temporarily halting landlords across the nation from evicting millions of tenants in what it said was an effort to reduce the spread of coronavirus.

The order covers all 43 million U.S. residential renters as long as they meet income eligibility requirements, although an administration official said the government does not expect an “overwhelming” use of the program.

The daily number of infections has been in decline across most of the United States in recent weeks, with 36,263 reported on Monday, less than half of the mid-July peak, according to a Reuters tally.

Exceptions include Midwest states such as South Dakota, where hundreds of thousands of motorcycle riders gathered for a rally in August, and Iowa.

A total of more than 183,000 people have died so far from complications of COVID-19, including 32,647 in New York and nearly 16,000 in New Jersey, the U.S. states with the highest death tolls.

In announcing that the “overwhelming majority” of 150 rapid antigen tests purchased from Abbot Laboratories would be sent to state governors, U.S. Health and Human Services Assistant Secretary Admiral Brett Giror said top priorities included day care centers and first responders.

The portable tests can deliver results within 15 minutes and will sell for $5. They require no additional equipment, and can use a less invasive nasal swab than traditional lab tests.

President Donald Trump has pushed for schools across the country to reopen classrooms, but many districts have ordered students to stay home and learn online.

Among them are Los Angeles and San Diego Counties, the second and third-largest school districts in the nation respectively.

In New York City, Mayor Bill de Blasio said an agreement had been reached with reluctant teachers union leaders to reopen school buildings to students on September 21 as part of his plan for a mix of in-class and remote learning.

“What we’ve agreed to is to make sure that the health measures are in place, to make sure there is time for the appropriate preparation for our educators,” de Blasio said at a news briefing.

Earlier this week New Jersey and California eased some restrictions imposed in the face of the pandemic, allowing restaurants to begin limited indoor dining.

New York City’s mayor has ruled out allowing restaurants to serve diners indoors anytime soon.

(Reporting by Dan Whitcomb, Vishwadha Chander, Carl O’Donnell, Peter Szekely, Maria Caspani and David Shepardson; Editing by Bill Tarrant and Michael Perry)