Amy Robach and T.J. Holmes appear to be inseparable amid their newfound downtime.

Hours after ABC announced it had parted ways with the GMA3 co-anchors on Friday, the couple was seen smiling and embracing on a Los Angeles sidewalk.

The pair was quite affectionate during the casual outing, holding hands and hugging, and at one point, Robach, 49, jumped into Holmes’ arms and wrapped her legs around his waist.

Following an investigation into their relationship, ABC announced Holmes, 45, and Robach would not return to their positions after “we all agreed it’s best for everyone that they move on from ABC News.”

“We recognize their talent and commitment over the years and are thankful for their contributions,” the spokesperson added. “A decision for new co-hosts [of GMA3 and 20/20] will come later.”

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A source previously told PEOPLE that the couple is “devastated” and “can’t believe this is happening to them.”

“They’re very, very much together in every way. They’re proceeding with their divorces as they were going to anyway, and they’re in mediation with ABC about what the future holds,” the insider said. “But nobody feels like they could possibly be put back on air after the way this has been handled.”

Robach and Holmes were taken off the air on Dec. 5 after rumors of their relationship broke in November when they were photographed holding hands on a trip to upstate New York before they were seen cozying up together at a bar in N.Y.C.

A source told PEOPLE at the time that there were “rumors they were having an affair about a year ago,” and another insider said that the couple only got into a relationship after Robach separated with ex-husband Andrew Shue last year, and Holmes and wife Marilee Fiebig had filed for divorce.

“This was two consenting adults who were each separated. They both broke up with their spouses in August within weeks of each other,” the insider added. “The relationship didn’t start until after that.”

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“She’s got nothing to hide. They were both separated, so they felt very comfortable dating in the open after that. Their spouses had moved out, even! So they were not hiding anything,” added the source.