Malindo to undertake layoffs, says report


The report says Malindo Air is expected to reduce its fleet size to five Boeing 737 jets and six ATR turboprops. – The Malaysian Insight file pic, October 12, 2020.

THE Covid-19 pandemic’s adverse effects on the aviation industry has seen many airlines undertaking massive cost-cutting measures, including layoffs.

According to a report by a news portal, Malindo Airways Sdn Bhd has not been spared such a predicament, and the hybrid-full service carrier is expected to cut about 2,200 jobs – more than half of its 3,200-strong workforce.

The airline is also expected to reduce its fleet size to five Boeing 737 jets and six ATR turboprops.

The report said the affected staff are expected to “complete their clearance” by November 30, while those still on Malindo’s payroll will have to multitask.

On October 9, low-cost airlines AirAsia Bhd and AirAsia X Bhd confirmed the retrenchment of 10% of its 24,000-strong workforce to ensure its survival in an industry severely affected by the Covid-19 crisis.

Group CEO Tony Fernandes said the move had to be undertaken given the reality that the aviation sector is not likely to be able to recover anytime soon. 

That same day, Malaysia Airlines Bhd (MAS) group CEO Captain Izham Ismail reportedly said the premium airline would reduce the salaries of its senior management by 10% starting this month. – Bernama, October 12, 2020.


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