Port of Spain, September 29, 2020. Caribbean Airlines advises that in the coming weeks the airline will apply temporary measures to support the recovery of the airline.
Reduced demand due to the global pandemic has presented significant challenges to Caribbean Airlines’ revenue and cash position and it must now take further steps to streamline expenses and its manage cash.
After careful consideration, discussions with key stakeholders and with the support of the Board of Directors, the Company intends to implement certain temporary measures to cutcostsandreduceoverheadsfromOctober15,2020. Someofthetemporarymeasures include but are not limited to:
- Salary reductions for a period of eight (8) months from mid-October 2020 for those paid more than $7500 (TTD) per month, with reductions tiered to be higher for those on higher remuneration
- Temporary layoffs for approximately one third of employees for three (3) months, depending on their role and the current needs of the business
- Continued cost reductions wherever possible, including reducing contractors and temporary workers and allowances that are not relevant at this time
The airline confirms that standard industrial relations criteria were used to select the employees who will be temporarily laid off. The leadership team recognizes the impact of these measures on its employees and their dependents and has put systems in place to support those affected.
Caribbean Airlines assures all stakeholders that its current operations are not impacted by the temporary layoffs – this includes our Cargo operations, the domestic Air Bridge between Trinidad and Tobago, the Kingston and Barbados based commercial services and special Government approved flights to/from Trinidad and Tobago.
Caribbean Airlines thanks its valued customers and all concerned for their continued support.