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Why under-40s deserted the airline industry, causing global delays

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For months the world has been gripped by airline and airport delays. Now the reason is clear – workers under 40 have deserted the industry. But where did they go?

The airline crisis that has disrupted flights and travel plans of millions around the was caused by a massive staffing crisis.

Airlines have been forced to scrap thousands of flights as airports cancel schedules and ask airlines to cut back on flights.

Now there’s more data about exactly what caused it.

In Europe this summer, the staffing crisis was predominantly caused by younger workers who left the industry during the pandemic, with no plans to return.

Only about a third of the EU’s air transport workers were aged under 40 in the first quarter of the year, which is far lower than the number working before the pandemic.

The numbers who just how serious the task is for airlines to lure back workers to overcome massive delays.

The aviation industry has been caught flat footed this year, as millions return to the skies for so called “holiday revenge”, making up for lost time abroad over the last two years.

Many of the younger workers were employed as cleaners, security and ground handling.

But those hours are also unsociable and often low paid. Meaning workers who left the industry did so for bigger reasons than just the pandemic shutdown.

And now they’ve had time to think about why.

Long delays at airports around the world.

Hiring the air-side roles is made harder by requirements for extensive training and security checks which take time, so candidates end up looking for easier work elsewhere.

“Fundamental changes in the business model have to occur for aviation to remain a competitive career option,” said David Huttner at PA Consulting Group Ltd.

“The industry has always been susceptible to staffing issues within key skill sets, but not at this level.”

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Money

Biden is “discussing” support for Israel over Iran oil strike

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The Biden administration believes it’s still “appropriate” for Israel to continue its ground and air attacks on Hezbollah.

The Middle East is a tinder box as Israel retaliates to Iran’s bombing earlier this week as well as fighting Hamas, Hezbollah and the Houthis in Gaza, Lebanon and Yemen. But what are the economic and geo-political implications? #featured #trending

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Money

Defence shares rise to record high following Middle East attacks

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Stocks retreated Tuesday, with rising tensions in the Middle East cooling investor momentum after a strong quarter.

Oil prices eased and stocks recovered some ground after initial reports, as hopes grew that damage from the attack and any Israeli response would remain limited.

This market drop underscores the delicate balance between geopolitical risk and economic optimism. #featured #trending

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U.S. Feds in no ‘hurry’ to cut rates as confidence in economy grows

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Fed Reserve Chair Jerome Powell indicated the U.S. central bank was not “in a hurry” after new data boosted confidence in ongoing economic growth and consumer spending.

Fed Chair Jerome Powell says “disinflation has been broad-based,” and recent data suggests progress towards the Fed’s 2% inflation target.

Powell says the Fed is not rushing to lower rates but will make decisions based on how the economy evolves.

When asked about rate cuts, Powell says it’s a process that will “play out over time,” signalling a steady but cautious approach. #featured #trending

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