British low-cost airline EasyJet plans to cut 30% of its employees and cut its fleet to adapt to the new market conditions in the context of the coronavirus pandemic, the airline said on Thursday.
“In order to restructure the business, EasyJet will soon launch a consultation process with employees to reduce staff by 30%,” the company said in a statement.
It is expected that about 4.5 thousand employees of the airline will be reduced, and the fleet will be reduced by 15%, to 302 aircraft by the end of 2021.
Also, EasyJet plans to continue to reduce non-core costs in all areas of the business, such as airport services, maintenance, sales, and marketing.
The airline will also continue to phase out costs: from 900 million pounds in 2020 to 600 million in 2021. Most of the expected expenses in the second half of 2020 and the financial year 2021–2022 are associated with rental payments for aircraft, as well as with aircraft maintenance, the report says.
EasyJet added that they agree with the forecast of the International Air Transport Association (IATA), according to which the global demand for air travel, which was observed in 2019, will only recover by 2023.
EasyJet previously announced that it plans to resume a small number of domestic flights from June 15, as well as flights to France. All flights will be performed in compliance with safety measures for the health of customers and crew members. Airline flights were suspended in March due to the COVID-19 pandemic.