The Middle Eastern airline Emirates is cutting 9,000 jobs due to the coronavirus pandemic said the airline’s president.
However, the airline will disclose the number of employees it is laying off. Before the pandemic, the airline had 60,000 employees.
Tim Clark said previously the airline had to cut a tenth of its staff but said, “We will probably have to let go of a few more, probably up to 15%.”The airline industry is suffering losses all over the world because of the pandemic. And most of the activities are at a halt.
However, Emirates was not that badly affected. But recently it is unable to keep up with the crisis. Before the pandemic, the airline was having one of the best years. The airline is giving redundancy notice to at least 700 of its pilots out of 4,500 pilots this week. However, that means at least 1,200 have been told their jobs are going since the coronavirus crisis started.
The airline will be implementing these layoffs on those who fly Airbus planes and not the Boeing aircraft.
However, Emirates Airbus A380 has the capacity to carry around 500 passengers. Whereas, the Boeing 777 can fly with fewer passengers. Therefore, it is easy to fill at this time of the pandemic as there are fewer people traveling.
The airline is also informing thousands of cabin crew that it does not need their services are not needed anymore.
Sufferings of Air Travel
The International Air Transport Association, which represents 290 airlines, is forecasting that the world’s airlines will lose more than $84bn and one million jobs this year.
Many airlines are reducing their workforce. As most of the staff is not needed because airlines are limiting their capacity and limiting the routes. However, this week United Airlines which is one of the biggest airlines in the US is warning its staff that it may have to cut 36,000 staff because of the huge fall in demand for air travel.
Helane Becker, managing director, and senior research analyst at investment firm Cowen said given “the continuing issues surrounding the pandemic.” she expects that the US airlines will have to cut up to 200,000 of their staff out of 750,000 this year.
The Bailout Package
However, the US aviation unions are forcing the federal government to add in the $25bn bailout package that was provided for the airlines so far.
Due to this bailout package airlines cannot lay off employees until the end of September. This was the condition by the state authorities in order to receive state help.
A spokesman said these huge job cuts in the aviation sector “shows the severe economic crisis facing the industry and all who depend on air connectivity”.
In addition, he said that the restrictions the government is implying are for the benefit of the people. and to keep them safe from coronavirus “but this should be done in the full knowledge of the economic and social consequences”.