Irish low-cost carrier Ryanair says it is planning to axe 3,000 pilot and cabin crew jobs, or 15 percent of staff, with air transport paralyzed by coronavirus.
Irish low-cost airline Ryanair is planning to resume flights from July.
Ryanair said in a press release it believes it will take some time for passenger volumes to return. Consumer confidence will be impacted by public health restrictions, such as temperature checks at airports and face coverings for passengers and staff on board aircraft.
Ryanair is now reviewing its growth plans, and aircraft orders. We are in active negotiations with both Boeing, and Laudamotion’s A320 lessors to cut the number of planned aircraft deliveries over the next 24 months, which could reduce our capex commitments, to more accurately reflect a slower and more distorted EU air travel market in a post Covid-19 world.
As a direct result of the unprecedented Covid-19 crisis, the grounding of all flights from mid-March until at least July, and the distorted State Aid landscape in Europe, Ryanair now expects the recovery of passenger demand and pricing (to 2019 levels) will take at least 2 years, until summer 2022 at the earliest. The Ryanair Airlines will shortly notify their trade unions about its restructuring and job loss program, which will commence from July 2020.
These plans will be subject to consultation but will affect all Ryanair Airlines, and may result in the loss of up to 3,000 mainly pilot and cabin crew jobs, unpaid leave, and pay cuts of up to 20%, and the closure of a number of aircraft bases across Europe until traffic recovers.
Job cuts and pay cuts will also be extended to Head Office and Back Office teams. Group CEO Michael O’Leary, whose pay was cut by 50% for April and May, has now agreed to extend this 50% pay cut for the remainder of the financial year to March 2021.
