All Nippon Airways employee salary reduction policy not to pay lump sum payment in winter

All Nippon Airways employee salary reduction Policy not to pay lump sum payment in winter October 7, 18:31

All Nippon Airways, a major airline company whose users are declining sharply due to the spread of the new coronavirus, has decided to reduce employee salaries and not to pay a winter lump sum payment that is paid separately from salaries. ..

Including the reduction of the summer lump sum payment that has already been made, the average annual income is expected to be reduced by about 30%.

Due to the impact of the new coronavirus, ANA's group-wide quarters from April to June saw the number of passengers drop sharply from the previous year to minus 88.2% on domestic flights and minus 96.3% on international flights, temporarily reducing employees. Even if we took reduction measures such as taking a leave of absence, the deficit was 108.8 billion yen, the largest ever.

Since then, the number of domestic flights has gradually increased, but the situation in which demand for international flights cannot be expected to recover immediately continues.

For this reason, ANA has decided to reduce the salaries of approximately 15,000 employees as a new measure to reduce spending, and not to pay a lump-sum winter payment that is paid separately from salaries.

Including the reduction of the summer lump sum payment that has already been made, the average annual income is expected to be reduced by about 30%, and I told the labor union on the 7th.

Until now, we have reduced executive compensation and salaries for managers, but this is the first time in 20 years that we have implemented it on a large scale, including for general employees.

In the future, we will ask the 33,000 employees of Group companies to take measures such as reducing salaries.

In addition, the employee's retirement allowance for voluntary retirement will be further increased, and a new unpaid leave system of up to two years will be established for career advancement activities.

All Nippon Airways said it was a tough decision to keep employees hired, and said it would further reduce costs along with improving its business structure.