German firm Lufthansa’s Swiss International Air Lines (SWISS) has reportedly revealed plans to implement approximately 1,000 job cuts.
It is planning the redundancies to take place over the next two years through voluntary measures, Reuters reported citing the airline’s chief executive Thomas Klühr.
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Revealing plans to step down at the end of the year, Klühr has reported that the carrier is posting a daily loss between Sfr1.5m and Sfr2m ($1.6m-$2.2m).
He was quoted by newspaper Schweiz am Wochenende as saying: “If fluctuations change as they have in recent years, these three methods could make it possible to eliminate the 1,000 jobs without layoffs.”
According to Lufthansa Group’s second interim report January-June 2020, Swiss and Edelweiss Air have 10,475 employees.
Revenue at SWISS fell by 55% to €1,095m due to the coronavirus outbreak.
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By GlobalDataIt also reported that operating income stood at €1,212m, down by 52% on the year.
In addition, the airline’s fleet size is expected to be reduced by postponing short-haul and medium-haul aircraft deliveries and review of early retirement of older aircraft on order as part of the Lufthansa Group’s first restructuring package.
The coronavirus pandemic has severely affected the global aviation industry with the resurgence and quarantine rules adding to the impact.
Klühr was further quoted as saying by the newspaper: “If we see in the first quarter, looking towards the summer, that the situation is not improving, particularly in long-haul, then the 1,000 jobs will not be enough.”
