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[Photo provided by Eastar Jet Co.] |
South Korean budget carrier Eastar Jet Co. joined its bigger peers to cut back work hours and salaries as most of its flights are grounded amid self-suspended services to China and elsewhere amid fast spread of new coronavirus in Asia.
The company said Wednesday that it has invited all its employees excluding pilots and cabin crews to apply for shorter work hours/days. The new schedule will take effect next month and last until June.
The employees will be given three options – work three days a week, four days a week, or four hours a day during the four-month period. The salary payment to the participating employees will be cut by as much as 50 percent. The company said the program will run only until June and won’t be mandatory.
Senior executives will also take part of the program by having 30 percent cut in their salary.
The airline will keep the existing voluntary non-paid leave program running and not allow extended work hours except for emergency situation.
Local low-cost carriers including the largest Jeju Air have been launching emergency management program since last week. They have been incurring losses from a sharp drop in Korean travelers to Japan following trade dispute and to Hong Kong amid ongoing protests. The recent coronavirus outbreak has made matters worse for the air carriers, pushing them to suspend flights to China.
[ⓒ Maeil Business Newspaper & mk.co.kr, All rights reserved]
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