Air Canada to scale back 1,700 staff as COVID-19 restrictions, lockdowns chew

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Air Canada to scale back 1,700 staff as COVID-19 restrictions, lockdowns chew

Adds context, authorities spokeswoman Jan 13 (Reuters) - Ai


Adds context, authorities spokeswoman

Jan 13 (Reuters)Air Canada AC.TO mentioned on Wednesday it’s going to minimize first-quarter capability by an extra 25%, leading to a workforce discount of about 1,700 staff, as journey restrictions, lockdowns and new testing necessities to fight the unfold of COVID-19 hit bookings.

Carriers have been wrestling with a droop in demand and passenger confusion, following the Jan. 7 introduction of recent Canadian guidelines requiring vacationers to check detrimental for the novel coronavirus earlier than boarding a airplane certain for the nation.

Privately held WestJet Airways mentioned final week it might scale back capability, with schedule cuts that might imply furloughs, layoffs, unpaid leaves or decreased hours for about 1,000 staff.

Following the announcement, Air Canada mentioned capability within the first quarter of 2021 can be about 20 per cent of what it operated through the first three months of 2019.

The nation’s largest service mentioned the adjustments to its schedule “higher replicate anticipated demand” and can “scale back money burn.”

The Canadian authorities is “dissatisfied by airways’ selections to cancel extra regional routes,” a spokeswoman mentioned by electronic mail.

“COVID-19 has led to an unprecedented state of affairs within the aviation sector,” mentioned Allison St-Jean, a press aide for the nation’s new transport minister, Omar Alhambra. “We’re totally seized with the difficulty of how onerous the air sector has been hit due to COVID-19, and we’re dedicated to offering help to Canada’s air sector.”

(Reporting by Ankit Ajmera in Bengaluru and Allison Lampert in Montreal; Enhancing by Krishna Chandra Eluri aand Steve Orlofsky)

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