Ryanair says up to 3,000 jobs will be lost as part of restructuring plan as its fleet remains grounded due to coronavirus crisis
- Ryanair has today said its flights will remain grounded until 'at least July'
- Restructuring programme could involve unpaid leave and pay slashed by 20%
- Chief executive Michael O'Leary agreed to extend his paycut to March 2021
- Here’s how to help people impacted by Covid-19
Up to 3,000 jobs across pilots and cabin crew will be cut at Ryanair, it was revealed today.
The budget airline group announced that a restructuring programme could also involve unpaid leave and pay slashed by up to 20%, as well as the closure of 'a number of aircraft bases across Europe' until demand for air travel recovers.
Chief executive Michael O'Leary, whose pay was cut by 50% for April and May, has agreed to extend the reduction for the remainder of the financial year to March 2021.
Ryanair said its flights will remain grounded until 'at least July' and passenger numbers will not return to 2019 levels 'until summer 2022 at the earliest'.
The airline announced the planned job cuts as it revealed it expects to operate under 1% of its schedule between April and June
It said in a statement: 'As a direct result of the unprecedented Covid-19 crisis, the grounding of all flights from mid-March until at least July, and the distorted state aid landscape in Europe, Ryanair now expects the recovery of passenger demand and pricing (to 2019 levels) will take at least two years, until summer 2022 at the earliest.
'The Ryanair Airlines will shortly notify their trade unions about its restructuring and job loss programme, which will commence from July 2020.
'These plans will be subject to consultation but will affect all Ryanair Airlines and may result in the loss of up to 3,000 mainly pilot and cabin crew jobs, unpaid leave and pay cuts of up to 20%, and the closure of a number of aircraft bases across Europe until traffic recovers.
'Job cuts and pay cuts will also be extended to head office and back office teams. Group CEO Michael O'Leary, whose pay was cut by 50% for April and May, has now agreed to extend this 50% pay cut for the remainder of the financial year to March 2021.'
CEO Michael O'Leary has agreed to extend this 50% pay cut for the remainder of the financial year to March 2021
Low cost airline Wizz Air will resume flights from Luton airport to Spain, Portugal and other destinations TODAY - even though some are to countries that won't let foreigners in
By Darren Boyle for MailOnline
Hungarian low-cost airline Wizz Air said it will be resuming flights from London Luton today.
The flights will service airports in Spain, Portugal, Israel, Slovakia, Serbia, Romania and Hungary.
The airline is promising low fares to stimulate demand, however, the Foreign and Commonwealth Office still advises against all foreign non-essential travel.
Passengers won't be able to get refunds if they wish to cancel their flight, even if they know they won't be let into the country they are flying to.
Hungarian low-cost carrier Wizz Air said it will resume flights from London Luton airport this morning after implementing new Covid-19 guidelines for staff and passengers
The airline's chief executive Jozsef Varadi, pictured, said he hoped to have 70 per cent of services back between July and August
The airline is planning to resume services to locations such as Tenerife, Lisbon, Slovakia, Serbia, Bulgaria, Hungary, Romania and Israel
According to research produced by Bank of America, Wizz Air is currently sitting on massive cash reserves and could refund all passengers three times over.
Passengers on the resumed services will also be obliged to wear face masks and in-flight magazines will not be available.
Wizz Air's UK managing director Owain Jones said: 'As we restart selected Luton flights to provide an essential service to passengers who need to travel, our primary concern is the health, safety and well-being of our customers and crew.
'The protective measures that we are implementing will ensure the most sanitary conditions possible.
'We encourage our customers to watch our new video on how to stay safe when travelling, as well as for more details on our new health and safety measures.'
The airline is also preparing to resume flights to Italy - including the Covid-19 hotspot of Milan,
According to the company's chief executive Jozsef Varadi, the airline will run 10 per cent of its services during May and hopes to have 70 per cent of its jets in the air by August.
Mr Varadi told the Financial Times: 'While today looks like a huge concern, a life changing moment, in a year or two nobody remembers.'
How airlines bend the rules
British Airways: The refund option has been removed from its website but the option to claim a voucher remains. The customer service line is frequently engaged or puts callers on hold for hours.
Customers are being encouraged to apply for a voucher equal to the value of their flight but must pay more if it ends up being more expensive.
BA says customers should call to rebook, refund or choose a voucher. Refunds can be requested up to 12 months after the original departure date.
EasyJet: The refund option was taken off the website, but reinstated after customer complaints.
The airline is trying to refund customers within 28 days, but admits it could take longer. A spokesman says: 'We assure customers these entitlements will be available long after their cancelled flight was due to fly.'
Ryanair: Offered full reimbursement within 30 working days, then did a U-turn and is 'highly recommending' customers apply for a voucher instead. Says customers will be able to exchange vouchers for cash after a year.
A spokesman says: 'Customers who choose a voucher but don't redeem it within 12 months may still apply for and obtain a refund.
Customers who choose not to accept a free move or voucher will be refunded in due course, once this crisis is over.'
Virgin Atlantic: Credit notes are being issued but can be rejected in favour of a full refund, with claims processed within 90 days.
A spokesman says: 'The credit [equal to the value of the cancelled flight] can be used to rebook on alternative dates, allowing for a destination and name change, for travel until May 31, 2022.
If the rebooked date is before November 30, 2020, we'll waive any fare difference.' Refunds will take longer than normal.
Tui: Customers can choose a refund or credit note but can only apply for their money back once their refund credit has been received — up to four weeks after the departure date.
A spokesman says requested refunds will take about four weeks.
Jet2 is offering cash refunds but with delays because of an 'unprecedented' number of calls.
He said: 'Whatever crisis we look back on in history, one conclusion you can certainly make is peoples' memories tend to be very short. While today looks like a huge concern, a life changing moment, in a year or two nobody remembers.'
A spokesperson for London Luton Airport told MailOnline: 'The safety of our passengers and staff is our number one priority and we continue to rigorously implement all Government guidance.
'This includes deep cleaning, the installation of sanitiser across the airport and floor markings to remind customers to maintain a safe distance, as well as segregating staff shift patterns where practical.
'Air links for both passengers and freight have been recognised as a key service and the Government has asked airports to remain open where possible, to ensure these services are not interrupted.
'The decision to operate individual flights is a matter for each airline and any passengers using these services will need to adhere to all restrictions imposed both in the UK and in the country of travel.'
However customers who have booked flights and holidays with various airlines are finding it incredibly difficult to secure cash refunds.
Tui, the UK's biggest tour operator, has extended the suspension of its holidays for the next six weeks.
The company said all trips would be cancelled up to and including June 11, and warned customers wanting cash refunds that its call centres are 'incredibly busy'.
It had previously suspended its operations up to May 14.
Tui also cancelled its Marella Cruises sailings up to the end of June, and postponed the launch of its river cruises until late November.
A total of nearly 900,000 people have had their holidays cancelled, a spokeswoman said.
The firm told affected customers that they will receive a refund credit for the full value of their holiday.
This can be used to book another trip taking place before the end of October 2021.
Package holiday customers will receive an additional credit worth up to 20 per cent of their booking.
Tui said customers who are 'unable to accept' a refund credit can apply for a cash refund, but warned that its call centre staff are 'incredibly busy' so waiting times are 'considerably longer than usual'.
Simon Cooper, founder and chief executive of rival travel agency On The Beach, told the PA news agency last week that failing to pay cash refunds is 'a bad idea for everyone concerned' as struggling companies will be forced to 'massively increase' their prices for next year's holidays to avoid bankruptcy.
UK laws state that full refunds should be given within 14 days for cancelled package holidays.
Consumer group Which? found that none of the UK's 10 biggest holiday companies or 10 most popular airlines are offering full refunds within the legal timeframe, and some are refusing to provide refunds altogether.
Many travel firms are suffering huge financial losses due to the collapse in demand caused by the coronavirus pandemic.
The Foreign and Commonwealth Office has advised against all but essential international travel since March 17.
Rory Boland, editor of magazine Which? Travel, said Tui 'must ensure it is making the refund process as straightforward as possible'.
He added: 'The travel industry is under unprecedented strain, and the lack of action from the Government on measures to support operators to process refunds is unacceptable.'
https://news.google.com/__i/rss/rd/articles/CBMiZWh0dHBzOi8vd3d3LmRhaWx5bWFpbC5jby51ay9uZXdzL2FydGljbGUtODI3Njc4My9SeWFuYWlyLXNheXMtMy0wMDAtam9icy1sb3N0LXJlc3RydWN0dXJpbmctcGxhbi5odG1s0gFpaHR0cHM6Ly93d3cuZGFpbHltYWlsLmNvLnVrL25ld3MvYXJ0aWNsZS04Mjc2NzgzL2FtcC9SeWFuYWlyLXNheXMtMy0wMDAtam9icy1sb3N0LXJlc3RydWN0dXJpbmctcGxhbi5odG1s?oc=5
2020-05-01 06:47:43Z
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