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Author: Tronserve admin

Wednesday 4th August 2021 02:49 PM

Korean Airliners Cut 413 Jobs, 10% Salaries Q1 Amid Virus Hardship


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South Korean airliners have slashed more than 400 jobs in the first three months and cut back wages by 10 percent as they were more or less forced to idle their business due to virus pandemic. 

Nearly 70 percent first to be sacked were contract-based hires.

According to industry sources and quarterly earnings reports by the country’s two full-service names and four budget carriers on Monday, 413 workers in the six companies lost their job from January to March and 289 of them, or 70 percent, were non-regular workers.

Full-service carrier Korean Air Lines reported a total of 18,741 on its payroll as of late March, down from 19,063 as of late last year. Out of 322 losing jobs, 80 were on irregular payroll.

Another full-service name Asiana Airlines reported 36 losses in workforce during the period, currently at 3,285. Non-regular workers of 54 lost their jobs, while some were hired for permanent jobs.

Jeju Air cut the largest number of contract laborers by 118 to 632. With the streamlining, the carrier’s workforce has been reduced to 3,285 from 3,306. 

Jin Air’s payroll has been downsized to 1,923 from 1,942, with non-regular workers down to 374 from 414.

Air Busan laid off 15, of which 12 were contract-based workers. T’way Air is the only company that stayed unchanged in its 2,310 workforce with 15 newly added on to irregular payroll.

The number could be higher as Easter Jet received early retirements and Air Seoul does not disclose financial statements.

“In-flight meal and cleaning service providers to airliners have already gone massive downsizing.

Cost-saving actions will continue as it is uncertain when the air industry will recover,” one industry insider said.

Meanwhile, data also showed that airliners have slashed 10 percent more or less in their monthly wages to employees during the period.

Korean Air employees received an average 20.17 million won ($16,353.17) in the first quarter, down 7.5 percent from a year ago. Salaries offered to Asiana Airlines workers have been reduced to 16 million won from 15 million won on average per head.

Those working at Jeju Air and T’way Air earned 15 million won and 14 million won, respectively, down from 17 million won three months ago.

Employees will likely see more cut in monthly paycheck. Korean Air Lines has put entire payroll on six-month leave from mid-April, and Asiana Airlines has been operating at halved staffing from last month.

LCC names like Jeju Air, Jin Air and T’way Air also have been on rotational leaves and reduced work hours.

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Posted on : Wednesday 4th August 2021 02:49 PM

Korean Airliners Cut 413 Jobs, 10% Salaries Q1 Amid Virus Hardship


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Posted by  Tronserve admin
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South Korean airliners have slashed more than 400 jobs in the first three months and cut back wages by 10 percent as they were more or less forced to idle their business due to virus pandemic. 

Nearly 70 percent first to be sacked were contract-based hires.

According to industry sources and quarterly earnings reports by the country’s two full-service names and four budget carriers on Monday, 413 workers in the six companies lost their job from January to March and 289 of them, or 70 percent, were non-regular workers.

Full-service carrier Korean Air Lines reported a total of 18,741 on its payroll as of late March, down from 19,063 as of late last year. Out of 322 losing jobs, 80 were on irregular payroll.

Another full-service name Asiana Airlines reported 36 losses in workforce during the period, currently at 3,285. Non-regular workers of 54 lost their jobs, while some were hired for permanent jobs.

Jeju Air cut the largest number of contract laborers by 118 to 632. With the streamlining, the carrier’s workforce has been reduced to 3,285 from 3,306. 

Jin Air’s payroll has been downsized to 1,923 from 1,942, with non-regular workers down to 374 from 414.

Air Busan laid off 15, of which 12 were contract-based workers. T’way Air is the only company that stayed unchanged in its 2,310 workforce with 15 newly added on to irregular payroll.

The number could be higher as Easter Jet received early retirements and Air Seoul does not disclose financial statements.

“In-flight meal and cleaning service providers to airliners have already gone massive downsizing.

Cost-saving actions will continue as it is uncertain when the air industry will recover,” one industry insider said.

Meanwhile, data also showed that airliners have slashed 10 percent more or less in their monthly wages to employees during the period.

Korean Air employees received an average 20.17 million won ($16,353.17) in the first quarter, down 7.5 percent from a year ago. Salaries offered to Asiana Airlines workers have been reduced to 16 million won from 15 million won on average per head.

Those working at Jeju Air and T’way Air earned 15 million won and 14 million won, respectively, down from 17 million won three months ago.

Employees will likely see more cut in monthly paycheck. Korean Air Lines has put entire payroll on six-month leave from mid-April, and Asiana Airlines has been operating at halved staffing from last month.

LCC names like Jeju Air, Jin Air and T’way Air also have been on rotational leaves and reduced work hours.

PULSE


Tags:
korean airliners asiana airlines air busan easter jet air seoul