Bloomberg News quoted informed sources as saying that the Emirates Group plans to cut about 30,000 jobs to reduce costs in light of the Corona virus pandemic.
The group, which includes Emirates Airlines and dnata Travel Services, will reduce the number of employees by about 30% from more than 105,000 employees at the end of last March.
The Bloomberg report said the company was also considering accelerating the planned retirement of its E380 fleet.
A Emirates Airlines spokeswoman said the company had not yet made any public announcement regarding "layoffs in the airline" but was conducting a review of "costs and resources in exchange for business expectations. Any such decision would be communicated in an appropriate manner."
Emirates airline - one of the largest long-haul destinations in the world - said this month that it would borrow to bypass the Corona virus epidemic and that it might have to take tougher measures to face the toughest months in its history.
The government-owned company, which halted regular passenger flights last March due to the Corona pandemic, said that recovery of the demand would not take place for at least 18 months.
Revenue declined and
Emirates Airlines reported a 21% increase in profits in its fiscal year ending March 31, but confirmed that the epidemic had hurt the performance of the fourth quarter, at a time when total revenue during the fiscal year 2019/2020 fell 6% to 92 billion dirhams (25.1) One billion dollars), as a result of the closure of the Dubai International Airport's runway for 45 days and the suspension of passenger flights temporarily in March.
The company said it would knock on the doors of banks to obtain loans during the first quarter to mitigate the impact of the virus spread on cash flows.
On Wednesday, Emirates Airlines announced the resumption of scheduled passenger services to nine destinations, starting May 21.
Last March, the International Air Transport Association (IATA) expected the UAE to lose 13.6 million passengers and basic revenue of $ 2.8 billion, as well as threatening 163,000 jobs in the aviation sector due to Corona.
Dubai International Airport witnessed a decrease in the number of passengers through it by about 20% in the first quarter of this year with the spread of Corona pandemic. The number of passengers decreased to about 18 million, and air transport decreased by 19%.
Dubai Airports CEO Paul Griffiths said a few days ago that it was impossible to predict how long the world’s air travel sector would recover from the Corona pandemic.
He added that Dubai Airports Corporation made decisions to cut spending, and that he does not rule out job cuts in the future.