Impending Air Traffic Cuts Amid Government Shutdown

U.S. Secretary of Transportation Sean Duffy has announced plans to reduce scheduled air traffic by 10% at 40 major airports starting Friday if a resolution to the government shutdown isn't reached. Sources close to the situation highlight the severe impact on aviation operations across the country.

The ongoing shutdown has forced 13,000 air traffic controllers and 50,000 TSA officers to work without pay, leading to widespread disruptions and delays of countless flights. Duffy warned that prolonging the shutdown could escalate into 'mass chaos' in the aviation sector.

Airlines have repeatedly called for a swift conclusion to the shutdown, citing significant safety concerns. Reflecting these worries, shares of major carriers like United and American Airlines saw a decline of about 1% in after-hours trading on Tuesday.