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          BIZCHINA> Reports
          Cathay Pacific asks staff to take leave
          By Teddy Ng (China Daily)
          Updated: 2009-04-18 08:50

          Cathay Pacific Airways Ltd, Hong Kong's largest airlines, will ask staff to take unpaid leave of up to four weeks and cut down capacity due to deteriorating business conditions.

          Related publication:

          Cathay Pacific asks staff to take leave 

          The company made the announcement Friday when its turnover for the first quarter was 22.4 percent lower than the same period in 2008. The airline recorded a loss of nearly HK$8.6 billion ($1.1 billion) last year, its first in 10 years.

          "We have no option but to take measures that will help us weather the current storm and maintain long-term sustainability of the business," said the airline chief executive Tony Tyler, calling the current market situation as worse than the SARS and 9/11 crises.

          The airline's 17,000 staff, of whom 13,600 are based in Hong Kong, will be asked to take special unpaid leave of one to four weeks, depending on seniority, over a 12-month period from next month. The company has no plan to lay-off staff, Tyler said.

          Staff joining the scheme will have their salary deducted over a six-month period from June to November. The lowest rank staff will be paid 3.84 percent less each month during the period, while the highest rank staff will get 15.38 percent less monthly. The airline will seek consent from staff on the arrangement from 20 to 30 April.

          The 1,760 staff who participated in the airline's voluntary unpaid leave scheme introduced last year will be able to offset that leave against the special leave...

          The full text is available in the April Issue of Logistics China. Please visit publications for more subscription details. 


          (For more biz stories, please visit Industries)

           

           

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