Tag Archives: C&E Industry News Filter

Amazon voting deals surge to expand union membership | Instant News

Workers refused to form a union in Amazon’s warehouse in Bessemer, Alabama, as a setback of organized labor’s efforts to reverse decades of declining private sector membership across the country.

This Alabama results According to data from Georgia State University, unions face the challenge of increasing membership in the US private sector. In the US private sector, the proportion of union representatives is only 6.3%, down from 24.2% in 1973.

Last year, although millions of jobs were laid off in the country during the pandemic, including 300,000 union positions, there has been an increase in hiring at Amazon, the second-largest private employer in the United States, and other e-commerce warehouses. For unions, the time seems ripe for organizing workers in an environment where the expanding sector and unions have traditionally been operating: a large blue-collar construction site where many employees are engaged in similar jobs.

Despite the effort, the effort failed President Biden’s endorsement,He says The goal of establishing more union work And update Many congressional Democrats support labor.

According to the Ministry of Labor, last year there were more union members working for the government than for private sector employers, indicating that the public sector is now a stronghold for organized labor. Teacher strikes and protests in 2018 and 2019 won salary increases and other concessions in Arizona, West Virginia, Los Angeles, and other states and cities. Recently, the educators union has affected the renewal of the pandemic in Chicago and other places. The plan to open the school.


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NRA CEO LaPierre reportedly told travel agent to hide certain stops on his private jet flights | Instant News

A travel consultant who testified in the National Rifle Association bankruptcy case said chief executive Wayne LaPierre asked her to omit certain flight stopovers from invoices she sent to the human rights group. firearms for Mr. LaPierre’s private jet trip, a disclosure that NRA lawyers are disputing. keep out of court record. The travel counselor testified, in a video filing released in bankruptcy court Thursday, that some invoices she sent to the NRA omitted stopovers in Nebraska and the Bahamas, at Mr. LaPierre’s request. Some of Mr. LaPierre’s relatives who frequently traveled on private jets paid for by the NRA live in Nebraska. The NRA chief previously said he travels frequently to the Bahamas to stay for free on a 108-foot yacht in the Bahamas with family members, provided by an NRA vendor, for safety reasons. Testimony that Mr LaPierre sought to hide some private jet stops from the NRA’s own accountants could be evidence that he knew what he was doing was wrong and that he was deliberately hiding it, legal experts have said . “If this is true, it appears to be a clear and documented example of misusing NRA assets and covering up this abuse,” said Elizabeth Kingsley, a Washington nonprofit lawyer. .

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New US Airline Avelo Enters Competitive Travel Market | Instant News

A new airline is launched, bringing more competition to a domestic travel market that has been ravaged by the coronavirus pandemic but has shown signs of recovery in recent months. Avelo Airlines aims to serve smaller airports and routes that big carriers have ignored or left behind. The new airline is expected to operate its first flight at the end of the month, connecting Burbank to Santa Rosa, Calif., And will initially serve 12 airports in the western states. Avelo was designed before the pandemic disrupted the airline industry. After raising $ 125 million from investors in January 2020 – months before air travel came to a virtual halt in the spring – the airline delayed its launch until demand for travel returned. Andrew Levy, managing director of Avelo, said the time is right. The vaccinations sparked a renewed appetite for the holidays. Passenger volumes at U.S. airports are still down 30-40% from pre-pandemic levels, but airports are busier than they have been for more than a year. While public health officials discourage people from taking travel, the Centers for Disease Control and Prevention said last week that the risks are low for those who have been fully immunized. The pandemic has forced thousands of businesses across the country to close their doors, but has also created opportunities to open new ones. Entrepreneurs are looking to pounce, as states lift restrictions on business activity, betting that consumers with cash to spend are willing to start spending again. .

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Buy airline stocks because the travel recovery is just beginning | Instant News

If you think you’ve missed out on the Great Airline Recovery, Wall Street would like you to think again. Several analysts have voiced bullish views on the sector, saying stocks are still on the rise, despite gaining around 30% this year and rising 91% in the past six months. Of course, the industry is no longer cheap. But vaccine deployments and the end of the pandemic are driving demand. While still urging caution, the Centers for Disease Control and Prevention now says fully vaccinated people can fly at “low risk.” Wall Street, meanwhile, expects air traffic in 2022 to surpass 2019 levels, fueling more gains for an industry that has been one of the biggest winners from the so-called reopening of trade. “A Roaring 20s / Swinging 60s type macro environment can generate significantly higher traffic than the 2019 baseline, in a bullish deal,” writes Morgan Stanley analyst Ravi Shanker. Overall, he sees 30% higher than his price targets on long-rated stocks and 45% longer-term gains, based on consensus estimates from 2023. On Tuesday, Shanker said upgraded the Alaska Air Group (ticker: ALK) to an overweight rating and downgraded United Airlines Holdings (UAL) from underweight to tied. It increased its price targets on JetBlue Airways (JBLU), Delta Air Lines (DAL) and Southwest Airlines (LUV), reiterating the equivalent of purchase ratings. He also launched the American Airlines Group (AAL) cover with an underweight rating. Newsletter sign-up Review and overview Every night of the week, we highlight the resulting market news and explain what matters tomorrow. The trip appears to be taking off in a V-shaped recovery. Domestic passenger traffic hit 1.5 million passengers per day in early April. This compares to 108,000 last April. And it is only 38% lower from April 2019 levels of around 2.4 million daily passengers. Carriers are now adding return flight capacity and staff to handle more bookings for the summer and fall. The industry is also encouraging travel with more lenient cancellation and change fee policies, as well as ongoing efforts to reassure passengers that health security on board aircraft is relatively strong. The bullish equity deal hinges on a recovery in travel faster than consensus estimates. Shanker believes this is happening. Wall Street is now modeling 2022 revenues which are 20% lower than 2019 levels, and available seat miles – a measure of capacity – which are 10% lower. It’s too low, in his opinion. It expects capacity to return to 2019 levels by early 2022, implying a stronger revenue recovery. He also thinks the street is too conservative in modeling 2019 as a baseline for 2023. His analogy: In the 1920s revival of World War I and the Spanish flu, the number of kilometers driven by car has almost doubled in five years. Then, in the 1950s, the volume of commercial airlines increased sixfold after World War II. “While travel is certainly more mature,” he wrote, “we wouldn’t be surprised to see the ‘golden age’ of travel return in the 2020s.” Other reasons for optimism include structurally lower operating costs across the industry and jet fuel prices that remain below 2019 levels, despite a 40% jump from their troughs in the industry. last year. However, other analysts are not so optimistic. Stephen Trent of Citigroup notes that while the travel rebound has arrived, balance sheets have widened and the number of shares of some carriers has jumped since the issuance of shares during the pandemic. Industry may also add return capacity too quickly to meet demand, which puts pressure on fares prices. Trent still sees “attractive advantages” at Delta and United, which are more closely related to a recovery in international and business travel. But he demoted Spirit Airlines (SAVE) to a neutral rating, writing that the stock is now close to being measured at fair value. Bernstein analyst David Vernon reiterated an outperformance rating on Delta, writing that the airline could shift from consuming cash to earnings faster than consensus estimates. He increased his target on Delta shares to $ 64, from $ 61, based on the airline’s “earning power” in 2023. “The international recovery will take longer,” writes Vernon, “ but as we begin to reopen European markets, Delta’s historic strong position in the transatlantic area puts them in good shape to be among the first to participate in a significant international recovery. JetBlue is also trying to inflate some analysts. Raymond James’ Savanthi Syth upgraded the stock to outperform on Wednesday, based on improving booking trends, improving profitability and new revenue drivers, including an alliance with American. She sees the stock hit $ 24, up from recent prices of around $ 21. As for the American, it remains an enigma for several analysts. As the company reports stronger bookings and traffic trends, the stock has jumped 54% this year, well ahead of the industry. The US balance sheet is stressed by debt, and it has diluted its equity to consolidate its cash flow and capital base. Daniel McKenzie of Seaport Global Securities reiterated a neutral rating on the stock last week. “We’ve always liked AAL as a recovery story, but at 6.5x our 2022 Ebitdar outlook, stocks aren’t cheap at current levels,” he wrote, referring to earnings before interest, taxes, depreciation, depreciation and rent. Investors who do not want to choose sides in these debates can gain exposure to the sector through the US Global Jets ETF (JETS). It was up 1.2% Tuesday to around $ 28 and is up 25% on the year. Write to Daren Fonda at [email protected]

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Too Many Food Delivery Investors – WSJ | Instant News

It’s not a good week to be a side dish in the food delivery room.

After baking the delivery platform No. 2 England, Deliveroo in it public debut on the London stock exchange on Wednesday, investors moved to scorch US middlemen. Both can leave lasting burns in the sector.

Back in December, it seemed that investors were coveting food delivery stocks with almost as much vigor as vaccines. Now that the shoot has emerged, investors’ tastes appear to have changed. US market leader DoorDash shares close 86% above their public offering price on their first day of trading late last year, but it has been down nearly 30% in the months since restaurants started welcoming indoor dining again.

DoorDash, at least, still boasts a monster market value of over $ 50 billion on a fully diluted basis, nearly 8.5 times the size of its closest US pure game competitor. Other companies in this sector that have gone public recently have not been that lucky. Olo’s software-as-a-service platform, which counts shipping platforms as both a competitor and a customer, has seen its stock drop 24% since its public offering less than two weeks ago. Meanwhile, the eagerly awaited public offering for London-based food delivery platform Deliveroo closed 26% below its offering price on Wednesday.

It seems that investors’ appetite for food delivery can be spoiled by a story – like food – with a little hair on it. Even though revenues increased 54% last year amid the pandemic, Deliveroo has still managed to lose money, even based on adjusted earnings before interest, taxes, depreciation and amortization. Now, future profitability is even more questionable after Uber Technologies recently lost a UK court case that resulted in a reclassify the landmark from its ride-hailing driver as workers, entitling them to benefits such as vacation pay and a pension. The decision has left skeptics worried that food delivery drivers will be next on the regulatory menu. For Deliveroo, which accounts for roughly half of its sales in the UK, that would be very expensive.


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