Malindo reported to undertake layoffs
KUALA LUMPUR (Oct 12): The Covid-19 pandemic’s adverse effects on the aviation industry has seen many airlines having to undertake massive cost-cutting measures, including lay-offs.
According to a report by a news portal, Malindo Airways Sdn Bhd has not been spared from such a predicament, and the hybrid-full service carrier is expected to cut about 2,200 jobs — more than half of its 3,200-strong workforce.
The airline is also expected to reduce its fleet size to five Boeing 737 jets and six ATR turboprops.
The report said the affected staff are expected to ‘complete their clearance’ by Nov 30, while those still on Malindo’s payroll will have to multitask.
On Oct 9, low-cost airlines AirAsia Bhd and AirAsia X Bhd confirmed the retrenchment of 10 per cent of the airlines’ 24,000-strong workforce to ensure its survival in an industry severely affected by the Covid-19 crisis.
Group chief executive officer (CEO) Tan Sri Tony Fernandes said the move had to be undertaken, given the reality that the aviation sector is facing difficulties and is not likely to be able to recover anytime soon.
On March 9, Malaysia Airlines Bhd (MAS) group CEO Captain Izham Ismail reportedly said the premium airline would reduce the salaries of its senior management by 10% with effect from the same month.
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