Delta Air Lines wields Covid vaccine stick

  • 8/25/2021
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NEW YORK, Aug 25 (Reuters Breakingviews) - It was always going to take effort to get some Americans on board with the Covid-19 vaccine. To all the personal and public health carrots, Delta Air Lines (DAL.N) boss Ed Bastian on Wednesday added a stick. Unvaccinated U.S. employees on the company’s healthcare plan will face a $200 monthly surcharge. Bastian noted that 75% of Delta’s staff are vaccinated, that all employees hospitalized with Covid were not fully vaccinated, and that the average hospital stay has cost Delta $50,000 per person. But it goes beyond the direct costs. Delta and other travel businesses need the world to get Covid under control before they can get fully back to business. It’s also a similar justification to making health cover more expensive for smokers, and an easier argument now that Pfizer’s (PFE.N) jab is fully approved by U.S. regulators read more . Some employers have tried incentives like one-off payments . Others have simply mandated the vaccine in U.S. offices, including Goldman Sachs (GS.N) according to Reuters on Tuesday . Especially for a public-facing business like Delta"s, imposing financial costs on voluntary refuseniks makes sense as the next step. (By Richard Beales) On Twitter http://twitter.com/breakingviews Capital Calls - More concise insights on global finance: UK M&A frenzy spreads to hazardous waste read more Tim Hortons cooks up China cybersecurity recipe read more Tim Cook defeats risk of Apple crumble read more Zurich airport paints grim aviation picture read more Chinese vaping IPO reeks of desperation read more

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