Following the news that 36,000 British Airways (BA) staff are expected to be furloughed as a result of the coronavirus (COVID-19), GlobalData said it is an important step. Nick Wyatt, head of research and analysis in travel and tourism at GlobalData said: “These reports come as no surprise and are just the latest in a growing line of furlough announcements. It is incredibly sad to hear news of temporary job losses but this is a necessary step for BA.”
“The decisions it is taking now focus on securing future existence rather than improving current operational strategy. Mass flight suspensions mean that current operations are minimal and airlines are burning through cash rapidly. This is a difficult decision, but a necessary one. BA has already announced a temporary cessation of all Gatwick operations and this expected furlough is necessary as it tries to safeguard its future,” he added.
Few industries have experienced COVID-19 disruption to the extent that airlines have and even the largest airlines are now in a fight for survival.