Trims Flight and Cabin Crew
24 June 2020
Low cost carrier Cebu Pacific (CEB) is implementing a third wave of job cuts as it fights to survive its business amidst the new coronavirus pandemic.
Charo Logarta Lagamon, Cebu Pacific director for communications, disclosed the layoffs and voluntary separation could affect about 30 percent of the carrier’s 4,000 employees from flight, cabin and ground crew to be implemented by early next month.
“Cebu Pacific is rightsizing. We are fighting to survive,” says Lagamon.
The airline laid off an initial batch of 190 newly hired cabin crew members in March while its ground handling services lets go of more than 1,400 workers.
Lagamon said the airline's projected recovery for this month is far from real conditions on the ground as few passengers take the skies due to quarantine restrictions. Its international flight operations remains suspended until end of July.
“We expect travel recovery to happen over a longer period, with COVID-19 impacting the aviation industry,” she said.
The aviation industry's operations has been hampered by the limitation on the capacity of quarantine and medical facilities across the country. Airlines was also warned that their flight schedule is subject to day to day acceptance by different Local Government Units that has problems with inadequate quarantine facility.
The airline has implemented a sweeping review of its long-term expansion, which includes the acquisition of 61 next-generation planes until 2026. It is also pre-terminating leases on expiring contract to some of its Airbus A320 aircraft to be return to lessor earlier than expected due to excess capacity. Delivery of new aircraft are also put on hold.
The new approach will ensure the long-term sustainability of the business, given the expected changes in travel demand and consumer behavior, according to Lagamon.
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| CEB carries cargo instead of passengers in its Airbus A330-300 to and from Hong Kong, Guangzhou, Osaka and Tokyo to survive. |
24 June 2020
Low cost carrier Cebu Pacific (CEB) is implementing a third wave of job cuts as it fights to survive its business amidst the new coronavirus pandemic.
Charo Logarta Lagamon, Cebu Pacific director for communications, disclosed the layoffs and voluntary separation could affect about 30 percent of the carrier’s 4,000 employees from flight, cabin and ground crew to be implemented by early next month.
“Cebu Pacific is rightsizing. We are fighting to survive,” says Lagamon.
The airline laid off an initial batch of 190 newly hired cabin crew members in March while its ground handling services lets go of more than 1,400 workers.
Lagamon said the airline's projected recovery for this month is far from real conditions on the ground as few passengers take the skies due to quarantine restrictions. Its international flight operations remains suspended until end of July.
“We expect travel recovery to happen over a longer period, with COVID-19 impacting the aviation industry,” she said.
The aviation industry's operations has been hampered by the limitation on the capacity of quarantine and medical facilities across the country. Airlines was also warned that their flight schedule is subject to day to day acceptance by different Local Government Units that has problems with inadequate quarantine facility.
The airline has implemented a sweeping review of its long-term expansion, which includes the acquisition of 61 next-generation planes until 2026. It is also pre-terminating leases on expiring contract to some of its Airbus A320 aircraft to be return to lessor earlier than expected due to excess capacity. Delivery of new aircraft are also put on hold.
The new approach will ensure the long-term sustainability of the business, given the expected changes in travel demand and consumer behavior, according to Lagamon.
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