Cantwell Urges Washington Aerospace Supply Chain to Retain Workers Through the New $3 Billion Aviation Manufacturing Jobs Protection Program
Senator Called on Department of Transportation to Quickly Implement Program to Protect, Rehire Essential Aviation Employees
WASHINGTON, D.C. – Senate Committee on Commerce, Science, and Transportation Chair Maria Cantwell (D-WA) today urged Washington manufacturers in the aerospace supply chain to apply for funding now available from the U.S. Department of Transportation under the Cantwell-led Aviation Manufacturing Jobs Protection (AMJP) program, which passed part of the American Rescue Plan to maintain the United States’ critical aerospace supply chain workforce.
“As our aerospace supply chain in Washington state and around the nation continues to feel the impacts of the pandemic, it’s critical that the more than 1,300 aerospace companies in Washington are equipped to maintain and rebuild a talented workforce to meet demand and the challenges of our increasingly competitive global aerospace industry,” said Senator Cantwell.
In March, Cantwell wrote Transportation Secretary Pete Buttigieg asking the agency to quickly implement the program. Applications are due by 5:00 p.m. Eastern time on July 13, 2021. For more information on the AMJP and the application process, please visit: https://www.transportation.gov/AMJP
Highlights of the Aviation Manufacturing Jobs Protection program:
- The Department of Transportation (DOT) will administer a $3 billion payroll support program to support the retention, rehire, or recall of employees in the aviation manufacturing industry.
- The 6-month grant involves a cost share: the federal payroll contribution is 50% of the employee’s salary, including health care benefits, with the employers responsible for the other 50%.
Eligible Employee Group
- The payroll support grant covers up to 25% of the aviation manufacturer’s workforce as of April 1, 2020.
- Eligible employees are those U.S. employees engaged in aviation manufacturing activities and excludes employees with a total compensation level of $200,000 or more per year.
- In order to qualify, an employer must demonstrate that there is a need based upon (1) having involuntarily furloughed or laid off 10 percent of its workforce or (2) having experienced at least a 15 percent decline in revenues between 2020, as compared to 2019.
- Eligible employers are aviation manufacturing companies that: (1) are actively manufacturing an aircraft, aircraft engine, propeller, or a component, part, or systems of an aircraft or aircraft engine under a Federal Aviation Administration (FAA) production approval; (2) hold an FAA certificate for maintenance, repair, and overhaul of aircraft, aircraft engines, components, or propellers; or (3) operates a process certified to SAE AS 9100 related to the design, development or provision of aviation products and services.
- Participating employees may not be subject to involuntary furloughs or layoffs, or reduction in pay rates and benefits.
- Employers must agree to provide private contributions and maintain the total compensation level for the eligible employee group for the duration of the grant agreement.
- The grant funds must be exclusively used for compensation and benefits, and to facilitate the retention, rehire, or recall of employees of the employer (i.e., funds may not be used for stock buy backs, dividends or executive bonuses).
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