CHICAGO, July 8 (Reuters) - United Airlines said on Wednesday it was preparing to send notices of potential furloughs to 36,000 U.S.-based frontline employees, or about 45% of staff, as demand hit by the coronavirus pandemic struggles to recover.
The final number of furloughs, which would be effective starting Oct. 1, will depend on how demand evolves and how many employees accept early exit packages and temporary leaves, United executives said.
Chicago-based United continues to burn through about $40 million of cash every day, with a number of efforts to cut costs and raise liquidity failing to compensate for the drastic drop-off in travel demand as COVID-19 cases continue to rise.
Reporting by Tracy Rucinski Editing by Chizu Nomiyama
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