Updated August 1st, 2020 at 14:54 IST
Latin America's biggest airline LATAM to lay-off at least 2,700 employees
Latam Airlines Group on July 31 announced that it was laying off at least 2,700 employees due to massive loss incurred by the coronavirus pandemic.
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South America's biggest passenger carrier Latam Airlines Group on July 31 announced that it was laying off at least 2,700 employees due to massive loss incurred by the coronavirus pandemic. According to reports, the decision will impact more than a third of the airline's total staff. The company said that it will initially stary a voluntary departure plan and will then start laying off employees if necessary. Latam said that the coronavirus crisis has impacted the global aviation industry badly and the latest decision was made to keep the company afloat.
Read: Latam Airlines Files For Chapter 11 Bankruptcy Protection
As per reports, Latam was unable to reach a deal with workers' association regarding reduction in pay and therefore decided to lay off pilots and flight attendants to keep the struggling company running. Latam said that it was paying above-average salaries to its staff and the COVID-19 made it essential to reduce its wage bill in order to survive. Latam had already filed bankruptcy in the United States in May after the lockdown forced the airline to reduce its operations by 95 per cent.
Read: Airbus Plane Deliveries Halved As Airlines Scrounge For Cash
Lay-offs across the globe
Latam is not the only airline to lay off employees due to coronavirus pandemic as several others in the world have done so in order to survive the crisis. Many major players across the world such as Lufthansa, Air Canada, Scandinavian Airlines, Norwegian Airlines have either laid off employees or sent them on furloughs due to financial constraints. The lay-off and furloughs in these airlines have impacted 50-90 percent of their total staff.
Read: Lufthansa, Belgium Agree On Brussels Airlines Recovery Plan
Read: South Korea's Asiana Airlines Fly Empty A380 To Nowhere To Keep Pilots Licensed
(Image Credit: AP)
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Published August 1st, 2020 at 14:54 IST
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