(Reuters) – Emirates Group is planning to cut about 30,000 jobs to reduce costs amid the coronavirus outbreak, which will bring down its number of employees by about 30% from more than 105,000 at the end of March.
The company is also considering speeding up the planned retirement of its A380 fleet, the report added, citing people familiar with the matter.
An Emirates spokeswoman said that no public announcement has been made yet by the company regarding “redundancies at the airline”, but that the company is conducting a review of “costs and resourcing against business projections”.
“Any such decision will be communicated in an appropriate fashion. Like any responsible business would do, our executive team has directed all departments to conduct a thorough review of costs and resourcing against business projections,” the spokeswoman said.
Emirates, one of the world’s biggest long-haul airlines, said earlier this month that it will raise debt to help itself through the coronavirus pandemic, and may have to take tougher measures as it faces the most difficult months in its history.
The state-owned airline, which suspended regular passenger flights in March due to the virus outbreak that has shattered global travel demand, had said that a recovery in travel was at least 18 months away.
It reported a 21% rise in profit for its financial year ending March 31, but said the pandemic had hit its fourth-quarter performance.
It said it would tap banks to raise debt in its first quarter to lessen the impact of the virus on cash flows.
(Reporting by Kanishka Singh in Bengaluru and Alexander Cornwell in Dubai; Editing by Catherine Evans and Jan Harvey)
FILE PHOTO: An Emirates Airbus A380 airliner lands at Nice international airport, France
The folding wingtip of an unpainted 777X is pictured at Boeing’s facility in Everett
(Reuters) – Boeing Co <BA> said on Wednesday it was delaying 777X airplane’s first test flight, which was scheduled to take place on Thursday, due to bad weather.
Boeing said it was currently assessing the possibility of conducting the test flight on Friday.
(Reporting by Rama Venkat in Bengaluru and Tracy Rucinski in Chicago; Editing by Anil D’Silva)
FORT WORTH, Texas — American Airlines was named to Newsweek’s 2020 list of America’s Most Responsible Companies, appearing among the top 100 companies in the publication’s inaugural ranking. American ranked highest among U.S. airlines included on the list.
“We believe our company’s focus is in the right place when we’re doing more than moving people from destination to destination — we’re taking great care of those people on their journeys, and we’re conducting our business in a responsible and sustainable way,” said Steve Johnson, Executive Vice President of Corporate Affairs for American. “Our team members work hard every day to put that purpose into practice as they interact with their colleagues, our customers and the communities we serve, and we know our company is stronger for it. We’re proud to see their efforts recognized through our inclusion on this list.”
American’s approach to corporate responsibility is guided by three strategic objectives: to make culture a competitive advantage, to create a world-class customer experience and to build the airline to thrive forever. The company’s commitment to corporate responsibility is detailed in its latest Corporate Responsibility Report.
Newsweek’s list was developed from an analysis of publicly available key performance indicators in the areas of environmental, social and corporate governance, in addition to an independent survey.
Airline also adds service for special events next year
FORT WORTH, Texas — American Airlines is giving customers a treat this holiday season with the announcement of two new routes from the vibrant and eclectic city of Austin, Texas (AUS), to the capital of Silicon Valley, San Jose, California (SJC), and to the historical city of Boston (BOS). These new routes will operate twice daily beginning in April.
The airline is also introducing unique service in support of special events like golf tournaments in Augusta, Georgia (AGS), music festivals in Palm Springs, California (PSP), and the annual visit to one of the nation’s biggest shareholder meetings with increased service to Omaha, Nebraska (OMA). Austin flights will be available for purchase starting Dec. 16 and special events flights will be available for purchase starting Dec. 22.
New Austin flights takeoff in April
American’s newest service is in response to strong demand from customers who need to travel between one of the nation’s largest tech cities, Austin, to the tech centers in San Jose and Boston.
“Our customers have expressed the desire for more routes between major tech cities, and we’re pleased to respond to their needs by helping them reach these important destinations with ease,” said Alison Taylor, Senior Vice President of Global Sales and Distribution. “These new routes reflect our commitment to partnering with customers to seamlessly support their travel needs.”
Flights will operate twice daily, Monday through Friday, on a Boeing 737-800, year-round. The aircraft features high-speed Wi-Fi, access to power at every seat and 16 first class seats, providing additional comfort while commuting. With convenient flight times, customers flying the new service can get to meetings early and get back home in time for dinner. The airline has also recently renovated the Admirals Club to relax before flights, and, by the end of the year, American will have five contiguous gates at AUS.
“We added these routes with our customers top of mind to bring them closer to the places they value the most when conducting business,” said Vasu Raja, Senior Vice President of Network Strategy. “While it’s not our traditional hub and spoke routing, we understand the importance of travel for the tech community and look forward to offering these new flights to our loyal customers.”
And, for a quick weekend beach escape from the capital of Texas, American will also introduce the only service from AUS to Los Cabos, Mexico (SJD) on Saturday and Sunday, starting May 9.
Special flights for special events
In addition to the yearly increase in service for special events, American is also adding more unique flights that will make it easier than ever to attend must-see special events such as sports tournaments, concerts and meetings. American is adding direct service from Los Angeles (LAX) to PSP in April, for a faster way to get to one of the biggest music festivals of the year. The airline is also adding new service to AGS from BOS on an Embraer E175, and upgauging existing service from Chicago (ORD) to Augusta on a 737-800 to help customers who want a front row seat to golf’s biggest championship tournament. And in May, American will have the most seats to Louisville, Kentucky (SDF), for one of the most unique sporting events under the Twin Spires at Churchill Downs, from BOS, CLT, DCA, DFW, LAX, LGA, MIA, ORD and PHL. American also has customers covered who care more about investing with the only service from BOS to OMA, as well as new flights from New York City (LGA) and Ronald Reagan Washington National Airport (DCA) to OMA on an E175 on May 1.
“It’s important to spend time and resources on memorable experiences, and we want to make sure our customers have options when it comes to the most important events around the country throughout the year,” Raja said. “We’re adding more seats, introducing new routes and making sure that our customers are taken care of throughout their travel journey.”
