[Congressional Record Volume 141, Number 167 (Thursday, October 26, 1995)]
[Extensions of Remarks]
[Page E2051]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                PROTECTING JOBS IN THE AVIATION INDUSTRY

                                 ______


                         HON. RICHARD J. DURBIN

                              of illinois

                    in the house of representatives

                       Thursday, October 26, 1995

  Mr. DURBIN. Mr. Speaker, there has been some good news recently for 
the airline industry. After nearly $13 billion in losses since 1990, 
the loss of nearly 120,000 jobs and millions of dollars in wage and 
benefit concessions, the airline industry is expected to earn a profit 
of more than $1 billion this year.
  Much of this improvement is due to the economic recovery under the 
Clinton administration. However, further congressional action is 
necessary to sustain this growth and to protect the jobs of airline 
employees. Growth in air travel has slowed in recent months. U.S. 
airlines face stiff competition from foreign carriers. In addition, 
U.S. airlines must spend an estimated $75 billion over the next several 
years for new equipment--mostly new aircraft and engines--both to 
comply with Federal noise requirements and to increase their 
competitiveness.
  At the same time, the airline industry faces an additional $500 
million in costs due to the expiration of the aviation jet fuel tax 
exemption. The costs of this tax will undermine the economic recovery 
of U.S. airlines and jeopardize thousands of jobs in the aviation 
industry.
  As a cosponsor of legislation to make this exemption permanent, I 
believe this exemption is an investment in the economic vitality of the 
aviation industry and the jobs of thousands of airline employees and 
aircraft manufacturers.

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