The Dubai-based Emirates Group is reportedly planning to cut up to 30,000 jobs to deal with the coronavirus crisis, according to Bloomberg News.
The news agency cited people familiar with the matter. Nearly the whole fleet of Emirates is currently grounded because of the new coronavirus (Covid-19) pandemic.
The Emirates group has more than 100,000 employees and is looking for ways to reduce its costs. The group is “also considering accelerating the retirement of its fleet of A380s,” Bloomberg reported.
The Dubai government has already announced state aid to Emirates, the largest airline in the Gulf and a major provider of intercontinental flights.
As speculation grows over the future of its Airbus A380 superjumbo fleet, Emirates airlines is conducting a “thorough review of costs,” a spokesperson at the carrier told Arabian Business.
The airline which is the world’s largest operator of the A380 is gradually resuming passenger flights after grounding its 115 fleet of the double deck planes on March 25 in line with Covid-19 travel restrictions.
“No announcement has been made regarding mass redundancies at the airline. Any such decision will be communicated in an appropriate fashion. Like any responsible business would do, our executive team has directed all departments to conduct a thorough review of costs and resourcing against business projections, even as we prepare for gradual service resumption.
“As our Chairman has said, conserving cash, safeguarding our business, and preserving as much of as our skilled workforce as possible, remain our top priorities through this period,” the airline said in its statement.
Airlines across the globe are cutting jobs after being hit with an unprecedented near-total shutdown of travel. The measures taken at Emirates would be the most severe yet in absolute terms since nations locked down travel to curtail the spread of the virus.
IAG SA’s British Airways said last month that it would cleave some 12,000 from its payroll, while Europe’s biggest low-cost carrier Ryanair said it’s in discussion to reduce as many as 3,000 staff. More than 100,000 workers at the four largest U.S. carriers have taken voluntary leave, reduced hours or early retirement. Airline chiefs have warned employees that a permanent resizing is on the way.