Ex-Im Bank Reauthorization: Key Reforms Vital to Protect Jobs
Congress takes up the reauthorization of the Export-Import Bank of the United
States, ALPA has urged lawmakers to implement key reforms to protect U.S.
airline workers’ jobs in connection with the Bank’s financing of aircraft for
“Airline pilots and thousands of other airline industry employees across the
country are committed to ensuring a thriving U.S. airline industry because they
know it is vital to promoting our country’s economic viability. It puts
Americans to work, it stimulates manufacturing, and it promotes commerce,” said
ALPA president Capt. Lee Moak. “In order to thrive, however, U.S. airlines must
be able to compete in the global marketplace. The Ex-Im Bank’s subsidizing of
foreign airlines with U.S. taxpayer money puts U.S. airlines at a disadvantage
and threatens thousands of U.S. airline employees’ jobs.”
Over the past five years, the Bank has provided financing for dozens of
wide-body aircraft to foreign airlines at rates that are not available to U.S.
airlines. Foreign airlines are using many of these Bank-subsidized aircraft on
routes that are, have been, or could be served by U.S. airlines. As a result,
U.S. carriers have had to withdraw from or forgo entering routes that might
otherwise be economically viable, costing airline workers’ jobs and threatening
the ability of U.S. airlines to compete on international routes.
ALPA supports Ex-Im Bank reauthorization with two crucial
amendments to level the playing field. First, Congress should amend the
reauthorization to ensure that the Bank gives the statutorily required full
consideration to any serious adverse effects the possible financing might have
on U.S. industry and employment. The Bank has failed to provide these
congressionally mandated economic harm assessments, even though aircraft
financing represents more than 40 percent of all Bank financing.
Second, Congress should amend the Bank‘s reauthorization to direct the
Administration to enter into negotiations with the four European countries with
export credit agencies that support widebody aircraft sales, with the goal of
eliminating all export credit agency financing of such aircraft, both here and
“This is not about one airline or one industry versus another. This is about
bolstering the airline industry in our country and revitalizing our economy,”
Moak said. “At a time when we are experiencing industry consolidation,
several carriers in bankruptcy, and pilots and other airline workers being
furloughed, the potential impact of the Ex-Im Bank’s current practices on U.S.
airline workers’ livelihoods, families, and careers could be devastating. It is
imperative that all of us, including Congress, take action to protect American