TORONTO. Canadian airline Air Canada has announced the layoff of 20,000 of its 38,000 employees as of June 7, in response to the decline in activity due to the coronavirus pandemic. The plan provides for a minimum of 19,000 workers and up to 22,800 to be laid off, according to the news agency The Canadian Press. The airline, Canada’s largest, is keeping 225 aircraft on the ground and has reduced its capacity by 95%. “We have therefore made a very difficult decision today and are going to significantly reduce our operations to meet the forecasts, which unfortunately means reducing our workforce by 50-60 percent,” explained the airline in a statement.
The cost plan implemented in March has already resulted in the layoff of nearly half the workforce and only 16,500 workers have been reinstated. In addition, the airline will offer flight attendants to reduce shifts, leave up to two years and travel incentives in the event of voluntary leave, according to an internal bulletin sent Thursday to the Canadian Union of Public Sector Workers. These layoffs occur despite a state program that allows workers – including 6,800 flight attendants – to take temporary job regulation at 75 percent of their wages, up to $ 847 per week.