COVID-19: British Airways to cut up to 12,000 jobs

British Airways says it will cut up to 12,000 jobs from its 42,000-strong workforce due to the air travel collapse because of the global coronavirus pandemic.

BBC reports that International Airlines Group (IAG), British Airways parent company, has presented a restructuring and redundancy programme to trade unions

IAG, which also owns Spanish airline Iberia and Ireland’s Aer Lingus, said it expects the situation to deteriorate in the current second quarter.

“In light of the impact of COVID-19 on current operations and the expectation that the recovery of passenger demand to 2019 levels will take several years, British Airways is formally notifying its trade unions about a proposed restructuring and redundancy programme,” IAG said in a statement.

“The proposals remain subject to consultation but it is likely that they will affect most of British Airways’ employees and may result in the redundancy of up to 12,000 of them.

“As previously announced, British Airways has availed itself of the UK’s COVID-19 job retention scheme and furloughed 22,626 employees in April.”

IAG disclosed that it will take several years for the air travel industry to return to its level before the coronavirus outbreak.

In a letter to staff, Alex Cruz, British Airways chief executive officer, said the airline had to take action because there is no government bailout.

“We must overcome this crisis ourselves, too. There is no government bailout standing by for BA and we cannot expect the taxpayer to offset salaries indefinitely. We will see some airlines go out of business,” he wrote.

In Nigeria, Max Air and Arik Air have suspended staff salaries with Arik Air staff sending staff on unpaid leave.

This is in addition to an 80% salary cut for the month of April for Arik Air staff.