Due to the coronavirus pandemic, Ryanair is working to reduce the number of employees by up to 3000. It is considering closing all bases in Europe, due to the massive decline of the business in an irrevocable way.
The company accuses governments, however, of preferring to save other competing companies to their detriment. Therefore, Ryanair has published a staff restructuring program, which includes unpaid leave and salary reductions of up to 20%.
Of course, the plan will be put under consultation by the company’s representatives, but it could lead to the loss of 3000 jobs, mainly in the area of flight crews. Even the staff in the company’s offices could be affected as a result of this restructuring plan. At the same time, bases across Europe would be closed until air traffic recovers.
The company’s losses would be around 30 billion euros. The company’s management says it regrets that it has to make this decision to restructure and reduce salaries, but it is the only option to survive the losses and face competition such as Lufthansa or Air France, which receive tens of billions from governments as state aid. For example, the French government has announced that it will provide support funds, but only for French airlines, which Ryanair’s management considers unfair.
Also, in the aviation sector, specialists say that they expect massive reductions in salaries and job losses and that soon all airlines will make such an announcement.
Moreover, the resumption of air traffic at the same level as it was until, is expected to be only in 2022.
British Airways also announced that it will have to reduce the number of employees by 12,000 out of its total of 42,000 employees.