[ad_1]
Philippine Airlines will cut about a third of its workforce by the end of this year as part of a review triggered by crippling travel restrictions from the coronavirus.
The pandemic has devastated the global aviation industry, forcing airlines to seek government bailouts, lay off workers and cut jobs.
“The collapse in travel demand and persistent travel restrictions on most national and international routes have made staffing reductions inevitable,” the airline said Monday, announcing the loss of up to 35% of its more than 7,000 employees through voluntary resignations and forced layoffs.
“The downsizing is part of a broader restructuring and recovery plan as the flagship airline rebuilds its … network amid the global pandemic.”
Commercial flights were suspended for more than two months during the country’s shutdown, pushing the economy into a recession and putting millions out of work.
Philippine Airlines said it operated less than 15% of its normal number of daily flights after eight months of restrictions.
PAL Holdings, the airline’s publicly traded parent, sank further in the red in the first half with a net loss of 20.75 billion pesos (US $ 428.6 million). That compares with a net loss of 2.98 billion pesos in the same period last year.
The announcement comes as the Philippines takes interim measures to revive its battered tourism industry by allowing domestic travelers to visit the island of Boracay, famous for its white sand beaches.
Strict protocols require tourists to test negative for Covid-19 before they can travel to the popular vacation destination.
The Philippines has the highest number of coronavirus cases in Southeast Asia, with more than 324,000 confirmed infections, including more than 5,800 deaths.
– AFP
