Issued on: 03/07/2020 – 20:16Modified: 03/07/2020 – 20:16
Air France confirmed plans to cut some 7,500 jobs including 1,000 at sister airline Hop! on Friday, as staff protested over its response to the collapse in travel due to the coronavirus pandemic.
The French flag carrier, part of Franco-Dutch group Air France-KLM, said it had lost €15 million a day during the worst part of the crisis, which also saw its revenues plunge by 95 percent. It did not see traffic returning to 2019 levels before 2024.
As a result, Air France plans to cut 6,560 or 16 percent of jobs at the main airline by the end of 2022, more than 3,500 of which will come through natural departures, it said after union talks.
Another 1,020 jobs will go over the next three years at Hop!, representing 42 percent of staff at the regional carrier based in the coastal city of Nantes, which has also been hit by job cuts at plane manufacturer Airbus.
The French government – which granted Air France €7 billion ($7.9 billion) in aid, including state-backed loans, to help it to survive – has urged the airline to avoid compulsory layoffs, though it has conceded Air France is "on the edge”.
"A successful labour reorganisation is one where there are no forced departures," junior economy minister Agnes Pannier-Runacher told Sud Radio on Friday.
In its statement, Air France said it would give priority to voluntary departures, early retirement and staff mobility. It did not rule out compulsory redundancies, however.
The reconstruction plan will be presented at the end of July, together with a plan for the wider Air France-KLM Group.
This is not how I wanted to leave
Some 100 union members and employees, from cleaning staff to check-in assistants, demonstrated earlier outside the airline's base at Charles de Gaulle airport outside Paris against plans to cut staff after receiving state aid to absorb the pandemic fallout.
"It's scandalous. The government is putting in €7 billion and the compRead More – Source