Qatar Airways will cut the wages of foreign pilots and lay off others to compensate for the collapse of its activity caused by the crisis linked to the new coronavirus, the airline announced in an internal letter read by AFP on Monday.
Read also: Qatar Airways plans "many" layoffs
The flagship of the rich little Gulf gas state, which served more than 170 destinations with 234 aircraft before the crisis, was hit hard by the brutal suspension of air traffic imposed worldwide to contain the spread of the Covid-19.
Older foreign pilots " will be subject to a 25% cut " in wages while younger pilots will experience a 15% cut, wrote director of air operations Jassim al-Haroun in a letter dated June 4 which is addressed to them.
" These cuts to the basic salary will not be applied to Qatari nationals ," he said. " Many " foreign pilots will also be dismissed " in the coming weeks, " said Haroun, without giving the exact number of people concerned.
Global economic slowdown and falling energy prices
In early May, the airline had already warned staff that a " significant " number of layoffs would take place. The economy of Qatar, a major gas exporter, has been shaken by the global economic slowdown and the collapse in energy prices.
Gulf airlines, which have experienced rapid growth in recent years, recruiting thousands of foreign workers, have been particularly affected by the global pandemic. Air traffic in the Middle East and North Africa is expected to decrease by at least half in 2020 due to this crisis, according to the International Air Transport Association (Iata).
In late May, Emirates airline Dubai, the largest in the Middle East, announced its intention to cut jobs, without giving precise figures. The public company, to 100,000 employees, had made temporary cuts in March from 25 to 50% of the basic wages of most of its staff.
At the end of May, Kuwait Airways announced the dismissal of around 1,500 expatriate employees, or 25% of its foreign staff.
