PAL urges employees to apply for voluntary separation amid ongoing job cuts

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FILE PHOTO

Metro Manila (CNN Philippines, October 6) — The Philippine Airlines has called on its employees to apply for voluntary separation as it is set to lay off up to 35 percent of its 7,000 workers.

The flag carrier on Monday said roughly 2,450 workers will be affected by ongoing job cuts. The retrenchment, both voluntary and involuntary removal, will be carried out until the end of the year as PAL implements its recovery plan amid the COVID-19 pandemic. It assured employees that the retrenchment will be fair and legal, vowing support for further assistance.

"The collapse in travel demand and persistent travel restrictions on most global and domestic routes have made retrenchment inevitable, with PAL currently operating less than 15% of its normal number of daily flights after eight months of lockdowns," it said in a statement.

The airline also laid off some 300 employees in February in a bid to reduce losses due to the health crisis. Fellow airlines AirAsia and Cebu Pacific followed suit.

PAL in July reported losing $183.1 million (around P9 billion) from January to March as the entire aviation industry took a big blow in the light of travel restrictions brought about by the pandemic.