As the coronavirus pandemic takes a toll on businesses around the globe, job cuts have started to become a common cost-cutting measure by organizations. Recently, according to a BBC report, British Airways is expected to announce the suspension of about 36,000 staff.
It is being reported that International Airlines Group-owned British Airways has reached a deal with the Unite union which includes suspension of 80% of jobs of cabin crew, ground staff, engineers, and head office employees. Although the agency report did mention that no staff is expected to be made redundant.
If the deal is signed between the airlines and the union, the decision will affect all staff at Gatwick and London City Airport. The airline has already suspended its operations at both locations until the pandemic crisis is over.
Those affected are expected to receive some of their wages through the government’s coronavirus job retention scheme, which covers 80% of someone’s salary capped at a maximum of £2,500 a month. The Unite union is constantly trying to push for a better package for the affected staff.
Meanwhile, BA has already reached a separate deal with its pilots who will take a 50% pay cut over two months.
In other news, British Airways has also run several government repatriation flights to get hundreds of British nationals home from Peru, after the country went into lockdown. BA is one of the many UK-based airline carriers that have agreed to run evacuation flights for British citizens stranded across the globe.
The recent job suspension at BA sheds light upon the crisis the airline industry is facing due to the coronavirus outbreak. The International Air Transport Association is also estimating that the airlines will rack up losses of almost $40bn (£32.3bn).
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