EasyJet cuts jobs; Norwegian Air losses deepen
EasyJet says it will cut up to 30% of posts in preparation for a shrunken air travel market, while Norwegian Air says losses have deepened just days after it completed a financial rescue.
Julian Satterthwaite reports.
More job losses Thursday (May 28) at European airlines.
UK budget carrier easyJet says it will cut about 30% of its staff.
That’s 4,500 posts.
The airline had held out longer than local peers.
Now easyJet says it too has to prepare for a shrunken air travel market.
It’s also going to reduce its fleet, and is in talks with airports over cheaper deals.
The CEO has warned that some bases could be closed.
Investors welcome the moves, with easyJet shares up over 6% in early trade Thursday.
Meanwhile Norwegian Air says its first-quarter loss widened to 332 million dollars.
The news comes just days after the carrier completed a financial rescue that saw its creditors take control.
Around 90% of its staff have been furloughed since March.
A recovery plan published the following month sees it operating just seven planes for up to a year.
It will then gradually build up to 120 aircraft by 2022.