Coronavirus impact: Etihad Airways extends employees’ salary reduction till September

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Abu Dhabi-based Etihad Airways on Thursday confirmed that it had extended a salary cut of its employees till September 2020 as the coronavirus pandemic takes a toll on the aviation sector worldwide.

“Regretfully, Etihad has extended its salary reduction until September 2020, with 25 per cent reduction for junior staff and cabin crew, and 50 per cent for employees at manager level and above. Housing allowance and a number of benefits continue to be paid,” the airline’s spokesperson said.

In March, the airline had announced a temporary reduction of basic salaries for the month of April for all staff, including executives, between 25 to 50 per cent.

On May 19, Etihad made redundancies across several units due to the economic impact of coronavirus on the airline – due to the slump in air travel.

“We are incredibly proud of our world-class workforce, however, we have had to make redundancies across several areas of our business to reflect current market conditions,” it said in a statement last month.

The UAE’s national carrier had a workforce of 20,500 employees last year.

“Due to the ongoing impact of Covid-19 on the travel industry, Etihad is continuing to consider all options to protect jobs and preserve cash at this challenging time,” the spokesperson said in the statement on Thursday.