Business
Commentary: Who's responsible for the aviation mess? Transportation Secretary Duffy says it's everyone but him
Picking out the worst performer among Donald Trump’s Cabinet appointees is a tough job — it’s a competitive race, after al l— but one member who deserves to be in the running by almost any measure of incompetence is Sean Duffy, the secretary of Transportation.
Duffy is a classic example of someone who knows who’s responsible for the screwups on his watch, and it’s never him.
He has spent the last weeks and months blaming the Biden administration for numerous operational failures in our air traffic system since he took over. Those include the Jan. 29 midair collision over Washington, D.C., that cost 67 air passengers their lives, as well as several near-misses on the ground.
I think we need to be a little bit more precise in downsizing a department with a mission as critical as DOT’s.
— Rep Steve Womack (R-Ark.)
Some Trump Cabinet members have more important portfolios than Duffy —Homeland Security Secretary Kristi Noem and Defense Secretary Pete Hegseth, neither of whom has displayed anything approaching basic competence at their job, come immediately to mind.
But the American public is bound to be particularly sensitive to the functioning of our transportation infrastructure. That’s especially true when it comes to the safety and reliability of air travel; every flight delay and safety-related mishap hits American travelers in the gut.
The highest-profile failure (so far) is the disaster named Newark Liberty International Airport, where flight delays can last for the better part of a day and questions about safety are rife.
Duffy, a former reality show contestant and four-term congressman, comes to the blame game with dirty hands. Let’s take a look.
First, here’s what he’s said about the condition of FAA operations and staffing.
“I think it is clear that the blame belongs with the last administration,” he said Monday during a news conference at DOT headquarters. “Pete Buttigieg and Joe Biden did nothing to fix the system that they knew was broken.” He said, “During COVID, when people weren’t flying? That was a perfect time to fix these problems.”
A couple of points are pertinent here. First, in 2019, when Duffy was a Republican member of Congress from Wisconsin, the bill to fund the Department of Transportation among other agencies came before the House. Duffy voted against it. So did 179 other members of the GOP caucus; 12 Republicans joined the Democrats to pass the measure.
Second, the pandemic year in which “people weren’t flying” was 2020. That year, the domestic passenger count plummeted to 369.4 million from 926.7 million the previous year. It was the lowest figure since 1984.
Who was president in 2020? Not Biden, but Donald Trump.
After 2020, passenger loads crept back up, reaching 666.2 million in 2021 and continuing higher to the record of 982.7 million last year. If there was an opportunity to upgrade the air traffic system at the least inconvenience to passengers, it was 2020. But nothing was done then, on Trump’s watch.
I asked the Department of Transportation last week if Duffy could reconcile these evidently misleading and inconsistent statements. I’m still waiting for a reply.
Duffy has maintained that it’s still safe to fly in and out of Newark, despite outages during which air traffic controllers’ screens went black and radios went silent — for 30 seconds on April 28 and 90 seconds on May 9. A backup system failed at the airport May 11 for 45 minutes, causing delays and cancellations for hundreds of flights.
Duffy admitted to the right-wing radio host David Webb on May 12 that he had switched his wife’s flight reservation for the next day from Newark to LaGuardia airport. He subsequently explained that he didn’t say to do so because he thought Newark was unsafe, but to spare her a long delay. In other words, he had found a solution for his family, but not for the overall traveling public, which didn’t speak well for his management of the mess at Newark.
It’s proper to note that the Federal Aviation Administration has been in an operational funk for years. Duffy can try to blame Biden, but that’s a smokescreen. During Trump’s first term, when the FAA’s problems were well known, hiring and deployment of air traffic controllers actually shrank from the level during the Obama administration according to the DOT’s inspector general, to the point where staffing “could not keep pace with attrition.”
In the first budget he submitted after taking office in 2017, Trump proposed slashing the DOT budget by 13%. The budget plan called for cutting 30,000 workers from the FAA staff.
The problems date back even further — at least to 1981, when Ronald Reagan fired 11,000 air traffic controllers at a single blow to break their union. A frenzy of hiring and training followed, but the replacement cohort has passed its retirement age. The FAA is currently about 3,000 controllers shy of its target staffing, so the people on the job are stretched to their breaking point.
It isn’t as if Trump and Duffy pulled out all the stops to fix the FAA’s chronic problems upon taking office. Some 3,000 “probationary” employees at the agency were fired during a DOGE rampage, according to a count by the Professional Aviation Safety Specialists, the union representing safety and technical workers at the FAA, and a statement by Rep. Steve Womack (R-Ark.), chair of the subcommittee overseeing the Transportation Department budget. The probationary firings and two subsequent rounds of buyouts will bring staffing at the DOT down by 12% since Trump took office.
During appearances last week before the House and Senate appropriations committees, Duffy boasted about saving taxpayers nearly $10 billion during the first 100 days of the Trump administration. That provoked Womack to riposte, “I think we need to be a little bit more precise in downsizing a department with a mission as critical as DOT’s. … The question is pretty simple: How many departures can you handle without eroding the ability to carry out a safe and effective mission?”
“We can do more with less, Mr. Chairman,” Duffy replied. When staff accept buyout offers to retire or resign, he said, “we should take them up on that. … If I have people who don’t want to be there, let’s get some people in who are hungry to do the work.” Indeed, after the first round of firings at the FAA, DOGE boss Elon Musk issued a public appeal that air traffic controllers who had “retired, but are open to returning to work, please consider doing so.”
Furthermore, Trump’s freeze on disbursement of funds from Biden’s Infrastructure Investment and Jobs Act and Inflation Reduction Act encompassed modernization projects at airports nationwide.
Musk’s fingerprints were also on the resignation of FAA Administrator Michael Whitaker, a former airline executive and former FAA deputy administrator who had been unanimously confirmed to a five-year term in October 2023. Whitaker resigned as of Jan. 20 after clashing with Musk over the FAA’s oversight of SpaceX, which Musk owns.
Trump has nominated Republic Airways Chief Executive Bryan Bedford as his replacement, but Bedford hasn’t been confirmed.
During his Senate appropriations committee testimony on Thursday, Duffy maintained that his budget cuts and firings hadn’t compromised safety at all. He specifically denied that any air traffic controllers had been fired or offered buyouts.
Unfortunately for Duffy, Sen. Patty Murray (D-Wash.), a lawmaker whose mild demeanor masks her habit of coming to a debate with hard information in hand, was in the room. She listed for Duffy all the steps he had taken that had caused “unacceptable chaos” in the air transport system.
Since Jan. 20, she said, “virtually every dollar and transportation project has been held up at some point. You are causing a traffic jam, from freezing funding for projects to creating new hurdles by reevaluating grants that had already been approved, adding red tape by forcing unacceptable political demands on state and local transportation agencies, and outright canceling and cutting grants. … No prior Transportation secretary has cut funding for previously awarded grants in this manner.”
As for Duffy’s blaming the Biden administration “for absolutely everything,” Murray continued, “the last administration did not make the decision to hold up thousands of grants, had nothing to do with the new red tape that you have created, and certainly did not let go of hundreds of staff to help get those grants out the door.”
Turning to Duffy’s assertion that no air traffic controllers had been fired or bought out, Murray told him, “While you talk about modernizing the air traffic control system, you have forced out more than 2,000 FAA employees who support those air traffic controllers — the technicians, the mechanics, the engineers, the IT specialists at the FAA who were working on modernization.”
Duffy, indeed, stepped on his own arguments. He complained that the Biden administration had saddled him with some 3,200 contracts that had been awarded but needed to be signed. But he acknowledged that he had to go through those contracts to eliminate provisions he thought smacked of “wasteful DEI and climate requirements.” These are ideological shibboleths and by no means “wasteful,” since DOT projects have manifest effects on the welfare of residents in the communities where they’re built or planned and on climate change itself.
As it happens, on April 24, Duffy sent a letter to all recipients of DOT funds —effectively virtually every state and thousands of local jurisdictions, warning them that pursuing “DEI goals … violates federal law.” He threatened explicitly to withhold DOT funding from jurisdictions that fail to cooperate with federal immigration authorities. This is the “red tape” that Murray referenced.
Whether DEI programs and failures to cooperate with federal immigration roundups really violate federal law, as Duffy asserted, is not remotely a settled legal question, but the matter is before federal judges across the land. The fact that Duffy is wasting his time by making these threats and combing through awarded contracts to ferret out such putative violations is, however, a settled question: Of course he is.
It may not be long now before Duffy’s ideological vetting of transportation contracts and his decimation of the working staff at the FAA cause even greater disruptions in the air and on land, potentially with fatal consequences. His efforts to blame everyone else for his own failures are sure to have a very short half-life. Raise your tray tables and your reclining seats, and fasten your seat belts. We may be coming in for a hard landing.
Business
Senate committee kills bill mandating insurance coverage for wildfire safe homes
A bill that would have required insurers to offer coverage to homeowners who take steps to reduce wildfire risk on their property died in the Legislature.
The Senate Insurance Committee on Monday voted down the measure, SB 1076, one of the most ambitious bills spurred by the devastating January 2025 wildfires.
The vote came despite fire victims and others rallying at the state Capitol in support of the measure, authored by state Sen. Sasha Renée Pérez (D-Pasadena), whose district includes the Eaton fire zone.
The Insurance Coverage for Fire-Safe Homes Act originally would have required insurers to offer and renew coverage for any home that meets wildfire-safety standards adopted by the insurance commissioner starting Jan. 1, 2028.
It also threatened insurers with a five-year ban from the sale of home or auto insurance if they did not comply, though it allowed for exceptions.
However, faced with strong opposition from the insurance industry, Pérez had agreed to amend the bill so it would have established community-wide pilot projects across the state to better understand the most effective way to limit property and insurance losses from wildfires.
Insurers would have had to offer four years of coverage to homeowners in successful pilot projects.
Denni Ritter, a vice president of the American Property Casualty Insurance Assn., told the committee that her trade group opposed the bill.
“While we appreciate the intent behind those conversations, those concepts do not remove our opposition, because they retain the same core flaw — substituting underwriting judgment and solvency safeguards with a statutory mandate to accept risk,” she said.
In voting against the bill Sen. Laura Richardson, (D-San Pedro), said: “Last I heard, in the United States, we don’t require any company to do anything. That’s the difference between capitalism and communism, frankly.”
The remarks against the measure prompted committee Chair Sen. Steve Padilla, (D-Chula Vista), to chastise committee members in opposition.
“I’m a little perturbed, and I’m a little disappointed, because you have someone who is trying to work with industry, who is trying to get facts and data,” he said.
Monday’s vote was the fourth time a bill that would have required insurers to offer coverage to so-called “fire hardened” homes failed in the Legislature since 2020, according to an analysis by insurance committee staff.
Fire hardening includes measures such as cutting back brush, installing fire resistant roofs and closing eaves to resist fire embers.
Pérez’s legislation was thought to have a better chance of passage because it followed the most catastrophic wildfires in U.S. history, which damaged or destroyed more than 18,000 structures and killed 31 people.
The bill was co-sponsored by the Los Angeles advocacy group Consumer Watchdog and Every Fire Survivor’s Network, a community group founded in Altadena after the fires formerly called the Eaton Fire Survivors Network.
But it also had broad support from groups such as the California Apartment Association, the California Nurses Association and California Environmental Voters.
Leading up to the fires, many insurers, citing heightened fire risk, had dropped policyholders in fire-prone neighorhoods. That forced them onto the California FAIR Plan, the state’s insurer of last resort, which offers limited but costly policies.
A Times analysis found that that in the Palisades and Eaton fire zones, the FAIR Plan’s rolls from 2020 to 2024 nearly doubled from 14,272 to 28,440. Mandating coverage has been seen as a way of reducing FAIR Plan enrollment.
“I’m disappointed this bill died in committee. Fire survivors deserved better,” Pérez said in a statement .
Also failing Monday in the committee was SB 982, a bill authored by Sen. Scott Wiener, (D-San Francisco). It would have authorized California’s attorney general to sue fossil fuel companies to recover losses from climate-induced disasters. It was opposed by the oil and gas industry.
Passing the committee were two other Pérez bills. SB 877 requires insurers to provide more transparency in the claims process. SB 878 imposes a penalty on insurers who don’t make claims payments on time.
Another bill, SB 1301, authored by insurance commissioner candidate Sen. Ben Allen, (D-Pacific Palisades), also passed. It protects policyholders from unexplained and abrupt policy non-renewals.
Business
How We Cover the White House Correspondents’ Dinner
Times Insider explains who we are and what we do, and delivers behind-the-scenes insights into how our journalism comes together.
Politicians in Washington and the reporters who cover them have an often adversarial relationship.
But on the last Saturday in April, they gather for an irreverent celebration of press freedom and the First Amendment at the Washington Hilton Hotel: The White House Correspondents’ Association dinner.
Hosted by the association, an organization that helps ensure access for media outlets covering the presidency, the dinner attracts Hollywood stars; politicians from both parties; and representatives of more than 100 networks, newspapers, magazines and wire services.
While The Times will have two reporters in the ballroom covering the event, the company no longer buys seats at the party, said Richard W. Stevenson, the Washington bureau chief. The decision goes back almost two decades; the last dinner The Times attended as an organization was in 2007.
“We made a judgment back then that the event had become too celebrity-focused and was undercutting our need to demonstrate to readers that we always seek to maintain a proper distance from the people we cover, many of whom attend as guests,” he said.
It’s a decision, he added, that “we have stuck by through both Republican and Democratic administrations, although we support the work of the White House Correspondents’ Association.”
Susan Wessling, The Times’s Standards editor, said the policy is a product of the organization’s desire to maintain editorial independence.
“We don’t want to leave readers with any questions about our independence and credibility by seeming to be overly friendly with people whose words and actions we need to report on,” she said.
The celebrity mentalist Oz Pearlman is headlining the evening, in lieu of the usual comedy set by the likes of Stephen Colbert and Hasan Minhaj, but all eyes will be on President Trump, who will make his first appearance at the dinner as president.
Mr. Trump has boycotted the event since 2011, when he was the butt of punchlines delivered by President Barack Obama and the talk show host Seth Meyers mocking his hair, his reality TV show and his preoccupation with the “birther” movement.
Last month, though, Mr. Trump, who has a contentious relationship with the media, announced his intention to attend this year’s dinner, where he will speak to a room full of the same reporters he often derides as “enemies of the people.”
Times reporters will be there to document the highs, the lows and the reactions in the room. A reporter for the Styles desk has also been assigned to cover the robust roster of after-parties around Washington.
Some off-duty reporters from The Times will also be present at this late-night circuit, though everyone remains cognizant of their roles, said Patrick Healy, The Times’s assistant managing editor for Standards and Trust.
“If they’re reporting, there’s a notebook or recorder out as usual,” he said. “If they’re not, they’re pros who know they’re always identifiable as Times journalists.”
For most of The Times’s reporters and editors, though, the evening will be experienced from home.
“The rest of us will be able to follow the coverage,” Mr. Stevenson said, “without having to don our tuxes or gowns.”
Business
MrBeast company sued over claims of sexual harassment, firing a new mom
A former female staffer who worked for Beast Industries, the media venture behind the popular YouTube channel MrBeast, is suing the company, alleging she was sexually harassed and fired shortly after she returned from maternity leave.
The employee, Lorrayne Mavromatis, a Brazilian-born social media professional, alleges in a lawsuit she was subjected to sexual harassment by the company’s management and demoted after she complained about her treatment. She said she was urged to join a conference call while in labor and expected to work during her maternity leave in violation of the Family and Medical Leave Act, according to the federal complaint filed Wednesday in the U.S. District Court for the Eastern District of North Carolina.
“This clout-chasing complaint is built on deliberate misrepresentations and categorically false statements, and we have the receipts to prove it. There is extensive evidence — including Slack and WhatsApp messages, company documents, and witness testimony — that unequivocally refutes her claims. We will not submit to opportunistic lawyers looking to manufacture a payday from us,” Gaude Paez, a Beast Industries spokesperson, said in a statement.
Jimmy Donaldson, 27, began MrBeast as a teen gaming channel that soon exploded into a media company worth an estimated $5 billion, with 500 employees and 450 million subscribers who watch its games, stunts and giveaways.
Mavromatis, who was hired in 2022 as its head of Instagram, described a pervasive climate of discrimination and harassment, according to the lawsuit.
In her complaint, she alleges the company’s former CEO James Warren made her meet him at his home for one-on-one meetings while he commented on her looks and dismissed her complaints about a male client’s unwanted advances, telling her “she should be honored that the client was hitting on her.”
When Mavromatis asked Warren why MrBeast, Donaldson, would not work with her, she was told that “she is a beautiful woman and her appearance had a certain sexual effect on Jimmy,” and, “Let’s just say that when you’re around and he goes to the restroom, he’s not actually using the restroom.”
Paez refuted the claim.
“That’s ridiculous. This is an allegation fabricated for the sole purpose of sparking headlines,” Paez said.
Mavromatis said she endured a slate of other indignities such as being told by Donaldson that she “would only participate in her video shoot if she brought him a beer.”
“In this male-centric workplace, Plaintiff, one of the few women in a high-level role, was excluded from otherwise all-male meetings, demeaned in front of colleagues, harassed, and suffered from males be given preferential treatment in employment decisions,” states the complaint.
When Mavromatis raised a question during a staff meeting with her team, she said a male colleague told her to “shut up” or “stop talking.”
At MrBeast headquarters in Greenville, N.C., she said male executives mocked female contestants participating in BeastGames, “who complained they did not have access to feminine hygiene products and clean underwear while participating in the show.”
In November 2023, Mavromatis formally complained about “the sexually inappropriate encounters and harassment, and demeaning and hostile work environment she and other female employees had been living and experiencing working at MrBeast,” to the company’s then head of human resources, Sue Parisher, who is also Donaldson’s mother, according to the suit.
In her complaint, Mavromatis said Beast Industries did not have a method or process for employees to report such issues either anonymously or to a third party, rather employees were expected to follow the company’s handbook, “How to Succeed In MrBeast Production.”
In it, employees were instructed that, “It’s okay for the boys to be childish,” “if talent wants to draw a dick on the white board in the video or do something stupid, let them” and “No does not mean no,” according to the complaint.
Mavromatis alleges that she was demoted and then fired.
Paez said that Mavromatis’s role was eliminated as part of a reorganization of an underperforming group within Beast Industries and that she was made aware of this.
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