The group behind three of Britain鈥檚 busiest airports has announced drastic cost-cutting measures, including temporary job cuts, in a bid to secure its future during the coronavirus pandemic.
At the end of a day that saw stock markets tumble once again and Prime Minster Boris Johnson tell the nation to work from home if they can, Manchester Airport鈥檚 Group said it was bringing in 鈥渆nforced annual leave, reduced working hours, temporary pay cuts and temporary lay-offs鈥.
It employs 5,000 people.
Senior management at the 拢890 million turnover group, which owns Manchester, East Midlands and Stansted Airports, have also taken a cut in pay.
It comes as airlines bring in their own strict measures in response to a drop in demand.
Global travel restrictions combined with a huge fall in passengers have led to as many as 80 per cent of flights being grounded.
Virgin Atlantic staff have been asked to take eight weeks unpaid leave over the next three months to help safeguard the firm during the outbreak and save jobs 鈥 a move supported by unions BALPA and UNITE, according to its statement.
Other cost-cutting included offering all staff a "one-time voluntary severance package".
It is understood the CEO has taken a 20 per cent pay cut.
It has also announced plans to axe around 80 per cent of its flights each day by March 26.
Norwegian Air has also said it will cancel flights - with up to 85 per cent of services set to be scrapped.
It has also announced plans to temporarily lay off 7,300 employees amid the pandemic.
On top of all that the PM this evening urged a stop to "all non-essential contact and non-essential travel".
Manchester Airports Group chief executive Charlie Cornish said: 鈥淭he COVID-19 outbreak has led to a rapid and unprecedented reduction in demand for air travel in and out of the 海角视频, and MAG airports are seeing much lower passenger numbers as a result.
鈥淲e expect demand to return as the COVID-19 peak passes, but this temporary and dramatic downturn requires us to act now to protect our position at this critical time.
鈥淥ver the next few days we will be consulting with our colleagues and unions and introducing measures to reduce our costs and preserve the group鈥檚 resources at this critical time.
鈥淭hese will include enforced annual leave, reduced working hours, temporary pay cuts and temporary lay-offs.
鈥淥ur executive team is taking a pay cut with immediate effect and we have frozen recruitment and paused capital expenditure.
鈥淭hese are difficult decisions for MAG and they have not been taken lightly.
鈥淲e recognise the impact they will have on our people and we will be consulting with our colleagues.
鈥淥ur aim will always be to protect jobs wherever possible, and we need to take these steps now to ensure the company鈥檚 future.
鈥淚t is too early to predict with any accuracy the long-term effects of this crisis.
鈥淲e are seeing many of our airlines and supply chain partners make similar announcements and we are doing what we need to do in the face of an unpredictable and fast-moving situation.
鈥淥ver the past decades, the aviation industry has been one of this country鈥檚 success stories.
鈥淲e provide vital services to the economy and to regions dependent on air connectivity.
鈥淎viation is also essential to some of our most important industries and in forging trading relationships.
鈥淚 am in no doubt that this outbreak is the greatest threat the 海角视频鈥檚 travel sector has ever faced.
鈥淕overnment needs to take decisive action now to make clear its total and unwavering support for airports, airlines and other travel companies.
鈥淭he 海角视频 depends on air travel to supports its economy.
鈥淭he Government must stand behind the aviation industry to make sure it is still there and ready to help the economy recover once this is all over.
鈥淲e will continue to monitor the situation and make further announcements on MAG鈥檚 operations as the COVID-19 situation develops.鈥
Passenger numbers grew 4.9 per cent to a record 61.8m across its three airports in the year to last March.
