Maskless flyers face $9,000 fines as U.S. FAA tackles unruly passengers

By David Shepardson

WASHINGTON (Reuters) -The U.S. Federal Aviation Administration on Thursday proposed $531,545 in civil penalties against 34 airline passengers over unruly behavior – with some facing $9,000 fines for defying mask requirements – pushing its total for the year past $1 million.

The United States has seen a significant jump in reported cases of passengers causing disturbances on airplanes, including ignoring a federal mandate to wear face masks during the COVID-19 pandemic. Numerous videos of confrontations have drawn attention on social media.

The FAA, which regulates U.S. civil aviation, since Jan. 1 has received 3,889 reports of unruly passengers, including 2,867 reports of people refusing to comply with the mask mandate. In total, the agency has proposed more than $1 million in fines this year for unruly passengers.

The agency has initiated three times as many such enforcement cases in the first seven months of 2021 compared to all of 2020. The FAA said some passengers were hit with $9,000 fines for not wearing masks, while other maskless people faced higher penalties for engaging in additional onboard bad behavior.

The Transportation Security Administration on Tuesday said it would extend existing mask requirements for airports, airplanes, trains and transit hubs through Jan. 18.

FAA Administrator Steve Dickson this month asked U.S. airports to assist in the effort to crack down on disruptive air passengers https://www.reuters.com/world/us/faa-urges-airports-assist-unruly-air-passenger-crackdown-2021-08-05. Dickson in March extended indefinitely a “zero tolerance policy” on unruly air passengers. Dickson noted that alcohol often contributes to unsafe behavior and urged airports to prevent passengers from taking alcoholic drinks on planes.

American Airlines confirmed on Thursday it would extend a ban on main cabin alcohol sales through Jan. 18.

Airlines for America, a trade group representing major U.S. carriers, said it appreciates “the FAA’s continued support and enforcement of the ‘zero tolerance’ policy for travelers who do not follow crewmember instructions and who do not abide by federal law.”

Among new FAA fines announced Thursday:

* $45,000 against a JetBlue passenger flying from New York to Florida in May for throwing objects “including his carry-on luggage at other passengers; refusing to stay seated; lying on the floor in the aisle, refusing to get up, and then grabbing a flight attendant by the ankles and putting his head up her skirt.” The passenger was placed in handcuffs and the flight made an emergency landing in Virginia.

* $42,000 against a JetBlue passenger on a May flight from New York to San Francisco for failing to comply with the face mask mandate and other misbehavior including “making stabbing gestures towards certain passengers; and snorting what appeared to be cocaine from a plastic bag, which the cabin crew confiscated.” The flight diverted to Minneapolis, where police removed the passenger.

* $30,000 against a Frontier Airlines passenger on a January flight from Atlanta to New York who during deplaning “attempted to gain entry to the flight deck by physically assaulting two flight attendants, threatening to kill one of them, and demanding them to open the door.”

(Reporting by David Shepardson; Editing by Gerry Doyle and Will Dunham)

U.S. employment growth through March revised modestly lower

WASHINGTON (Reuters) – The U.S. economy likely created 166,000 fewer jobs in the 12 months through March than previously estimated, the Labor Department’s Bureau of Labor Statistics said on Wednesday.

The reading is a preliminary estimate of the BLS’ annual “benchmark” revision to the closely watched payrolls data. The leisure and hospitality sector, which was hardest hit by the COVID-19 pandemic, accounted for the bulk of the revision, with employment growth revised down by 597,000 or 4.6%.

Leisure and hospitality employment is 1.7 million below its peak in February 2020, though the industry has led the labor market recovery from the pandemic.

“It is somewhat ambiguous what this means for future employment in this sector beyond March 2021,” said Daniel Silver, an economist at JPMorgan in New York.

“This could suggest that more jobs need to be added to return closer to pre-pandemic levels but also that the pandemic-related hit to that sector was more severe and or longer-lasting than previously reported.”

But the transportation and warehousing sector added 247,900 more jobs than previously thought, while professional and business services payrolls were revised up by 214,000. Government employment was raised by 255,000 jobs.

Once a year, the BLS compares its non-farm payrolls data, based on monthly surveys of a sample of employers, with a much more complete database of unemployment insurance tax records.

A final benchmark revision will be released in February along with the BLS’ report on employment for January. Government statisticians will use the final benchmark count to revise payroll data for months both prior to and after March.

(Reporting By Lucia Mutikani; Editing by Andrea Ricci)

U.S. job openings surge to new record high, hiring rises

WASHINGTON (Reuters) -U.S. job openings jumped to a fresh record high in June and hiring also increased, an indication that the supply constraints that have held back the labor market remain elevated even as the pace of the economic recovery gathers momentum.

Job openings, a measure of labor demand, shot up by 590,000 to 10.1 million on the last day of June, the Labor Department said in its monthly Job Openings and Labor Turnover Survey, or JOLTS report, on Monday.

Hiring also rose to 6.7 million in June from 6.0 million in the prior month. The government reported on Friday that job growth accelerated in July as U.S. employers hired the most workers in nearly a year and continued to raise wages.

Economists polled by Reuters had forecast job openings would rise to 9.28 million in June. Vacancies increased in all four regions and the job openings rate rose to 6.5% from 6.1%.

The high number of job openings has been fueled by the speed from which the economy has emerged from the depths of the COVID-19 pandemic, which upended many businesses as restrictions and fears of the virus kept people home.

But the number of people re-entering the workforce has lagged job openings. Generous unemployment benefits, childcare issues and lingering worries about the virus may all have played a part, with economists generally expecting a bump in hiring as schools reopen and crisis-era unemployment benefits come to an end.

The largest increases in vacancies in June were in professional and business services, retail trade and accommodation and food services.

The rise in hiring was led by retail trade, with 291,000 more positions filled, while state and local government education filled 94,000 jobs.

Worries remain, however, that a resurgence in infections, driven by the Delta variant of the coronavirus, could once again discourage some unemployed people from returning to the labor force.

The report also showed the number of people voluntarily leaving their employment in June increased to 3.9 million from 3.6 million in May. The quits rate is usually seen as a barometer of job market confidence. The number of people quitting their jobs is well above pre-pandemic levels.

(Reporting by Lindsay Dunsmuir; Editing by Paul Simao)

Pelosi presses White House to reinstate COVID-19 eviction moratorium

By David Shepardson

WASHINGTON (Reuters) -U.S. House of Representatives Speaker Nancy Pelosi on Monday put fresh pressure on the White House to reinstate a COVID-19 pandemic-related residential eviction moratorium after lawmakers failed to extend it before it lapsed over the weekend.

House Democrats made an effort to extend the moratorium implemented by the U.S. Centers for Disease Control and Prevention (CDC) to Oct. 18 but a Republican congressman blocked their bid to pass the measure by unanimous consent on Friday. The moratorium has protected millions of Americans who have fallen behind on rent from being forced from apartments and houses.

In a letter to fellow House Democrats, Pelosi on Monday urged President Joe Biden’s administration to renew the moratorium without congressional action. Pelosi told lawmakers such an extension would provide more time to speed distribution of $46.5 billion already allocated by Congress for rental relief. Only about $3 billion of that sum has been distributed.

“The money must flow, and the moratorium must be extended by the administration,” Pelosi wrote.

Treasury Secretary Janet Yellen plans to brief lawmakers on the eviction mitigation funds on Tuesday, Pelosi said.

Biden last Thursday urged Congress to extend the moratorium, noting that a Supreme Court opinion last month indicated that legislative approval would be required to do so.

Pelosi on Friday initially wanted the House to pass legislation that would extend the moratorium through the end of the year, then decided to pursue a renewal through Oct. 18 with a legislative maneuver requiring unanimous consent. In the end, Democratic leaders did not bring any legislation to a formal vote amid concerns by some lawmakers. The Senate also would have to approve any renewal passed by the House.

More than 15 million people in 6.5 million U.S. households are currently behind on rental payments, according to a study by the Aspen Institute and the COVID-19 Eviction Defense Project, collectively owing more than $20 billion to landlords.

Congressional Black Caucus Chair Joyce Beatty said the moratorium’s end means “thousands of Black families and children could lose the roof over their heads at a time when the deadly pandemic is surging once again, and their lives are in disorder due to the pandemic.”

Landlord groups have opposed the moratorium, which the CDC implemented to combat the spread of COVID-19 and prevent homelessness during the pandemic. The CDC first issued it in September 2020 after a prior moratorium approved by Congress expired. The agency most recently extended it in June for a month before it finally expired at midnight on Saturday.

The National Apartment Association, with 82,600 members that collectively manage more than 9.7 million rental units, last week sued the U.S. government seeking billions of dollars in unpaid rent due to the moratorium.

(Reporting by David Shepardson; Editing by Will Dunham)

Canada looks to women to bolster trades amid post-pandemic labor shortage

By Julie Gordon

OTTAWA (Reuters) -A shortage of skilled workers is intensifying in Canada, potentially threatening the pace of the economic recovery from the COVID-19 pandemic, and that has policymakers looking at a largely untapped market for new construction workers: Women.

But attracting and retaining women in the skilled trades has long proven difficult, with tradeswomen and advocates citing challenges balancing childcare and on-site work, the stubborn sexism still ingrained in some workplaces, and a lack of opportunities for women to get a foot in the door.

Vanessa Miller was a young single mom when she decided to scrap university for welding. She got her journeyperson ticket and became a rarity in Canada: a woman with her own welding rig, a truck kitted out with all the equipment needed to do big jobs.

“Every time you go to a different job and nobody knows who you are, you have to prove yourself,” she said, speaking from her home in Regina, Saskatchewan. “It’s still difficult to break into the industry, it’s still very male dominated.”

Canada, like other developed nations, is facing a shortage of skilled trade workers just as a pandemic stimulus-backed building boom gets underway. At the same, more women than men remain unemployed because of the pandemic, and about 54,000 women have left the labor force since February 2020.

The gap between women’s labor force participation and men’s costs the Canadian economy C$100 billion ($79.3 billion) each year, said Carrie Freestone, an economist at RBC.

“Obviously skilled trades are a good opportunity,” Freestone said.

In its latest budget, Canada’s Liberal government pledged C$470 million ($373.2 million) to support the hiring of new apprentices for the most in-demand trades. Companies that hire women, Indigenous people and other minority groups get double the funding.

But women working in the trades and union leaders say it will take more than just money to get more women in the trades, they need work opportunities.

“We’re doing the work to mentor tradeswomen, to build our supply of under-represented groups,” said Lindsay Amundsen, director of workforce development at Canada’s Building Trades Unions. “Now we need these things legislated in large infrastructure projects. We need to put these people to work.”

Canada has suggested employment thresholds, or quotas, for certain groups – like women and Indigenous people – on major projects that get federal support, but it is up to the provinces to set them, a spokesperson at the infrastructure ministry said.

On Thursday, Canada set out C$2.4 million over five years to help diversify apprentices working in the carpentry trades.

RETENTION WOES

More than a decade ago, the province of Newfoundland and Labrador realized that efforts to get women more interested in the trades were working, but few were sticking with it.

The province funded the Office to Advance Women Apprentices (OAWA) to connect tradeswomen with employers and also mandated the hiring of women and other under-represented groups, like Indigenous people, on major projects.

By 2017, about 14% of construction tradespeople working in Newfoundland and Labrador were women, far above the national average of 3-4%, though some barriers remain.

When journeyperson millwright Cassandra Whalen landed in remote Voisey’s Bay, Labrador for a recent job, she discovered there was no safety equipment in her size on site.

“I needed a respirator, I needed gloves and I needed a harness, none of which they had in size small,” she said. “They had to be flown in.”

But Whalen loves her work, and says union advocacy has made the industry more inclusive.

One of the unions leading the charge is UA Canada, which pays up to 24 weeks salary to pregnant members unable to work due to safety risks. They also pay a top-up for both men and women who take parental leave after a baby is born.

“I really think it does help with the retention for sure,” said Alanna Marklund, a national manager at UAC who is also a journeyperson welder.

But childcare continues to be an issue for many tradeswomen. Several tradeswomen interviewed by Reuters said they depended on family members or spouses to help care for young children.

Maggie Budden, a journeyperson ironworker, ended up taking a job in a bank after her children were born. “Unfortunately with construction you need to travel and I could not do that with my daughters,” she said. She now runs the newest branch of OAWA, in Cape Breton.

Daniella Francis was living in Ontario when she started considering the trades, but she couldn’t find any programs for women in her province. She ended up moving her entire family to Alberta and is now an apprentice plumber.

“There needs to be more options,” she said, adding however: “I would say, as a woman, don’t be afraid to go into the trades. Things are changing.”

($1 = 1.2594 Canadian dollars)

(Reporting by Julie Gordon in Ottawa; Additional reporting by Allison Lampert in Montreal; Editing by Andrea Ricci)

IMF urges countries to shift from economic rescue to reforms

By David Lawder

WASHINGTON (Reuters) – The International Monetary Fund’s No. 2 official on Tuesday called on countries to pivot from saving their economies from collapse to reviving growth-oriented policy reforms to boost their recovery prospects and make them more sustainable.

IMF First Deputy Managing Director Geoffrey Okamoto said in a blog posting on the IMF website that the COVID-19 pandemic delayed and reversed some pro-growth reforms and restoring these can help make up for output lost during the pandemic.

Reforms that allow for faster restructurings and resolution of unviable businesses and labor policies to help retrain workers and line them up with job openings can help shift workers and capital to more promising, dynamic parts of the economy, Okamoto said.

Improved competition policy frameworks such as those being debated in Europe and the United States can reduce the concentration of market power among a few firms and create more dynamic competition and innovation.

“Using this moment for some of these difficult reforms means that the monetary and fiscal stimulus still flowing will serve as a springboard to a brighter and more sustainable future rather than a crutch to a weaker version of the pre-COVID-19 economy,” Okamoto said. “Seizing the opportunity could deliver years of solid post-COVID-19 growth and progress in living standards.”

The call for a renewed focus on reforms comes as the IMF is shifting from non-conditional emergency COVID-19 pandemic financing toward the negotiation of more traditional IMF loan programs, which require recipient countries to meet policy reform benchmarks.

The Fund last week approved a new, $1.5 billion, three-year Extended Credit Facility arrangement for the Democratic Republic of Congo, which includes reforms to boost revenue collections, improve natural resource management governance and strengthen the country’s monetary policy framework to ensure central bank independence.

The IMF is also negotiating a new Extended Fund Facility with Argentina, which has struggled under a $57 billion IMF loan, arranged in 2018, the Fund’s largest-ever.

The IMF estimates that comprehensive growth-enhancing reforms in product, labor and financial markets could lift annual GDP per capita growth by over 1 percentage point in emerging market and developing economies in the next decade.

Countries taking such steps would be able to double their speed of convergence with advanced economies’ living standards relative to pre-pandemic years, Okamoto said.

For advanced economies, pro-growth reforms that target the supply side could guard against persistent inflationary risks caused by excess demand pressures.

These reforms can boost investor confidence in emerging market countries that have been able to maintain access to global capital markets during the pandemic and help these countries cope with any tightening of financial conditions, especially if inflation persists in advanced economies, prompting interest rate hikes.

The higher growth by reforms can help poorer countries avoid harsh fiscal austerity, allowing them to maintain social and health spending while investing in the future, Okamoto said.

(Reporting by David Lawder; Editing by Andrea Ricci)

England to demand vaccination proof for clubs, mass events

By Andrew MacAskill

LONDON (Reuters) -British Prime Minister Boris Johnson said on Monday that English nightclubs and other venues with large crowds will require patrons to present proof of full vaccination from the end of September.

Clubbers flocked on Monday to the first live music events without restrictions since the COVID-19 pandemic began. The government reopened nightclubs and dropped almost all coronavirus measures in England in a bet that mass vaccinations will prevent another deadly wave of COVID-19.

But later in the day, Johnson announced that people who were not fully vaccinated, including those who had not had both doses of two-shot immunizations, would be barred from nightclubs.

The decision follows large outbreaks linked to nightclubs in other countries such as the Netherlands and Israel, where authorities were forced to close them again.

“I can serve notice now that by the end of September when all over 18’s will have had their chance to be double jabbed, we’re planning to make full vaccination the condition of entry to nightclubs and other venues where large crowds gather,” Johnson told a press conference.

“Proof of a negative test will no longer be enough.”

Britain’s Chief Scientific Adviser Patrick Vallance said nightclubs and other closed venues could be “potential super spreading events” because of crowds in close contact.

“I would expect that with opening of nightclubs, we’ll continue to see an increase in cases, and we will see outbreaks related to specific nightclubs as well,” he said.

Johnson said that the government was not planning similar requirements for pubs. “I certainly don’t want to see passports for pubs,” he said.

(Reporting by Andrew MacAskill; Editing by Cynthia Osterman)

Canada to ease border measures, welcome vaccinated U.S. tourists next month

OTTAWA (Reuters) -Canada will start allowing fully-vaccinated U.S. citizens and permanent residents into the country on Aug. 9 for non-essential travel as the threat from the COVID-19 pandemic fades, Ottawa said on Monday.

Businesses on both sides of the border, particularly the travel and airline industries, are demanding an end to restrictions on non-essential travel between Canada and the United States which were first imposed in March 2020.

Fully-vaccinated visitors from countries other than the United States will be permitted to enter beginning on Sept. 7. The relaxation depends on Canada’s COVID-19 epidemiology remaining favorable, the government said in a statement.

“Thanks to the hard work of Canadians, rising vaccination rates and declining COVID-19 cases, the government … is able to move forward with adjusted border measures,” it said.

People eligible to enter Canada must have been fully vaccinated at least 14 days beforehand. From Aug. 9, Ottawa is also lifting the requirement that all travelers arriving by air must spend three nights in a hotel.

The government repeated that Canadians should avoid non-essential travel abroad.

(Reporting by David Ljunggren and Steve SchererEditing by Paul Simao)

Child diseases on rise as COVID-19 slows routine vaccinations -U.N.

By Stephanie Nebehay

GENEVA (Reuters) – Nearly 23 million children missed out on routine vaccinations last year due to the COVID-19 pandemic, the highest number in more than a decade, fueling outbreaks of measles, polio and other preventable diseases, U.N. agencies said on Thursday.

Measles, one of the world’s most contagious diseases, can be fatal to children under the age of five, especially in African and Asian countries with weak health systems, according to the World Health Organization. Polio can cripple a child for life.

The gap in global vaccination coverage has set up a “perfect storm,” leaving more children vulnerable to infectious pathogens just as many countries ease COVID-19 restrictions, the WHO and U.N. Children’s Fund said in an annual report.

Ten countries, led by India and Nigeria, account for the bulk of the 22.7 million children left unvaccinated or under-vaccinated against diphtheria, tetanus, and pertussis (DTP) in 2020 – 3.7 million more than in 2019 and the most since 2009, it said regarding a key indicator of childhood vaccination rates.

“Large and disruptive” outbreaks of measles have been recorded in hotspots including Afghanistan, Mali, Somalia and Yemen, the report added.

Some 22.3 million children missed their first dose of measles vaccine last year – although there was probably substantial overlap with those lacking DTP coverage – for the lowest coverage against the killer disease since 2010, it said.

“The COVID-19 pandemic has led to major backsliding on childhood vaccination, taking us back more than a decade,” Kate O’Brien, WHO director of immunization, told a news briefing.

There has been an “alarming increase” in “zero dose” children – those missing out on any vaccination – which rose to 17.1 million last year from 13.6 million, said Ephrem Lemango, UNICEF chief of immunization. Many live in war-torn countries or slums, he said.

Sixty-six countries postponed at least one immunization campaign against preventable diseases, although some including Mexico have begun catch-up programs, the report said.

“In 2021 we have potentially a perfect storm about to happen and we don’t want to get to that perfect storm to be ringing the alarm bell. We are ringing it now,” O’Brien said.

The WHO has urged countries not to lift public health and social distancing measures prematurely as they begin to emerge from the pandemic, she said.

“But if that is happening – and as it is happening – we are going to see more and more transmission of the pathogens that are otherwise vaccine preventable pathogens.”

(Reporting by Stephanie Nebehay; Editing by Mark Heinrich)

U.S. labor market recovery gaining steam; worker shortages an obstacle

By Lucia Mutikani

WASHINGTON (Reuters) – The number of Americans filing new claims for unemployment benefits fell more than expected last week, while layoffs plunged to a 21-year low in June, suggesting the labor market recovery from the COVID-19 pandemic was gaining traction.

But a shortage of willing workers is hampering hiring, with other data on Thursday showing a measure of employment at factories contracting in June for the first time in seven months. Manufacturers said they were experiencing “difficulty in hiring and retaining direct labor,” the Institute for Supply Management (ISM) said in its survey of national factory activity, noting that these challenges “across the entire value chain continue to be the major obstacles to increasing growth.”

One respondent in primary metals said “lack of labor is killing us.”

The data was released ahead of Friday’s closely watched employment report for June, which according to a Reuters survey of economists will likely show nonfarm payrolls increasing by 700,000 jobs last month after rising by 559,000 in May. The unemployment rate is forecast to tick down to 5.7% from 5.8%.

The economy is experiencing a boom in demand following a reopening made possible by vaccinations against the coronavirus, with more than 150 million Americans fully immunized.

“America’s back to work and an important milestone was reached where new claims are back below the 400,000 barrier after a hiccup at the start of June,” said Chris Rupkey, chief economist at FWDBONDS in New York. “Summer is always the strongest season for hiring each year, and this year is no exception.”

Initial claims for state unemployment benefits dropped 51,000 to a seasonally adjusted 364,000 for the week ended June 26, the Labor Department said. That was the lowest number since March 2020, when mandatory shutdowns of nonessential businesses were enforced to slow the first wave of COVID-19 infections.

The improvement in claims had appeared to stall in mid-June. Though claims remain above the 200,000-250,000 range that is viewed as consistent with a healthy labor market, they have tumbled from a record 6.149 million in early April 2020.

Economists polled by Reuters had forecast 390,000 applications for the latest week. There was a big decline in filings in Pennsylvania, which reversed the prior week’s surge. The state last month upgraded its filing system, and the transition could be causing volatility in the data. There were also large drops in claims in California, Kentucky and Texas.

The claims data could become noisy in the weeks ahead as 25 states with mostly Republican governors pull out of federal government-funded unemployment programs, including a $300 weekly check, which businesses complained were encouraging the jobless to stay at home. The early termination began on June 5 and will run through July 31, when Louisiana, the only one of those states with a Democratic governor, ends the weekly check.

For the rest of the country, these benefits will lapse on Sept. 6. There is no evidence so far of a surge in job searches in the 20 states that have already ended the federal benefits.

A survey this week by job search engine Indeed found that while the vast majority of the unemployed indicated they would like to start looking for work in the next three months, many did not express a sense of urgency. But rising vaccinations, dwindling savings and the opening of schools in the fall will be key to pulling them back into the labor force.

The claims report showed the number of people continuing to receive benefits after an initial week of aid rose 56,000 to 3.469 million during the week ended June 19. There were 14.7 million people receiving benefits under all programs in mid-June, slightly down from 14.8 million early in the month.

Stocks on Wall Street were trading mostly higher. The dollar edged up against a basket of currencies. U.S. Treasury prices fell.

EMPLOYEE POACHING

In a separate report on Thursday, ISM said its index of national factory activity slipped to 60.6 last month from 61.2 in May. A reading above 50 indicates expansion in manufacturing, which accounts for 11.9% of the U.S. economy.

A measure of factory employment contracted for the first time since November. Companies reported hiring or attempting to hire. A significant number reported “employee turnover due to wage dynamics in the markets,” ISM’s Timothy Fiore said.

“It appears that companies are paying up to steal workers from other firms,” said Conrad DeQuadros, senior economic advisor at Brean Capital in New York.

Lack of affordable child care and fears of contracting the coronavirus have also been blamed for keeping workers, mostly women, at home. There were a record 9.3 million job openings at the end of April and 9.3 million people were officially unemployed in May.

A third report from global outplacement firm Challenger, Gray & Christmas showed job cuts announced by U.S.-based employers tumbled 16.7% to 20,476 in June, the lowest level since June 2000. Layoffs plummeted 88% compared to June 2020.

There were 67,975 job cuts in the second quarter, the fewest since the April-June period in 1997. In the first half of this year, layoffs dropped 87% to 212,661, the lowest total for the January-June period since 1995.

“We’re seeing the rubber band snap back,” said Andrew Challenger, senior vice president at Challenger, Gray & Christmas. “Companies are holding on tight to their workers during a time of record job openings and very high job seeker confidence. We haven’t seen job cuts this low since the Dot-Com boom.”

(Reporting by Lucia Mutikani; Editing by Paul Simao)