American Airlines plans to slash 30 % of its management staff
United States National Carrier, American Airlines has revealed plans to slash 30 percent of its management and support staff as it tries to deal with the dramatic downturn brought on by the novel coronavirus pandemic.
According to Media reports American’s executive vice president Elise Eberwein, “Although our pre-pandemic liquidity, the significant financial assistance provided by the government, and the cash we’ve raised in the capital markets provide a foundation for stability, we need to reduce our cost structure, including our most significant expense – the cost of compensation and benefits,”
The coronavirus outbreak and subsequent travel restrictions have put airlines the world over under immense pressure.
Earlier American Airlines Inc said it plans to cut 75% of its international flights and ground nearly all its wide-body fleet. The dramatic announcement came hours after the White House said the United States would widen new travel restrictions.
American Airlines sweeping cuts include suspending nearly all long-haul international flights to Asia, Australia, Europe, New Zealand, and South America. It will still operate two flights a day to London and just three flights to Asia per week — to Tokyo.
On the other hand, the International Air Transport Association said that global airline industry’s total debt could balloon 28 percent this year to $550 billion, which includes $123 billion in financial aid from governments.
In April this year, the International Air Transport Association said in its report that the travel downturn amid the coronavirus outbreak could result in the drop of 25 million airline jobs worldwide. IATA issued increasingly desperate messages about the state of the airline industry and urged governments to help carriers.
There will be an additional tax on the electricity bills of those who work from home
Federal Board of Revenue (FBR) member Internal Revenue Operations Qaiser Iqbal has...
Shipment of imported sugar for utility stores reached Pakistan
A consignment of 28,760 metric tonnes of imported sugar has reached Pakistan....
FBR server disruption, difficulties for online tax return submitters
Online Federal Board of Revenue (FBR) server disruptions have caused severe problems...
Pakistan Stock Exchange (PSX) witnessed a sharp decline
The Pakistan Stock Exchange (PSX) witnessed a sharp decline last week, with...
State Bank of Pakistan (SBP) has imposed new conditions on loans
The State Bank of Pakistan (SBP) has imposed new conditions on loans...