Norwegian Air’s measures may seem drastic, but it highlights the scale of the problems facing the sector as the coronavirus emergency deepens.
The airline hopes to be able to redirect most of its customers to the United States through its routes from London.
Photo:
AAS ERLEND / AFP / Getty Images
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The airline stocks plummeted this Thursday after the president Donald trump imposed a 30-day ban on flights from Europe, which increased the risk of airlines facing a battle against the aftermath of COVID-19. Several airlines have entered into crisis due to lack of money, which has triggered massive layoffs.
Norwegian Air, a low-cost airline with a huge debt, reported that it was suspending more than 4,000 flights and will temporarily lay off half of its workers after its shares plunged 22% on Thursday.
“The new restrictions put more pressure on an already difficult situation,” said the CEO. Jacob Schram it’s a statement.
“We urge international governments to act now to ensure that the aviation industry can protect jobs and remain a vital part of the global economic recovery,” said Schram.
Most flights from Norwegian Air come to the United States from the cities of Amsterdam, Madrid, Oslo, Stockholm, Barcelona Y Paris but they were canceled except for the routes between London Gatwick and different cities in the United States.
The airline hopes to be able to redirect most of its customers through its routes from London.
Related: Flying in times of coronavirus: measures airlines are taking to protect passengers.
Over the past few weeks, airlines around the world have been forced to cancel large amounts of turmoil and make drastic changes to their operations due to the coronavirus.
The International Air Transport Association (IATA) estimated, at the beginning of March, that the coronavirus outbreak that has spread from China, could cost airlines up to $ 113 billion in lost revenue due to canceled routes and flights.
The measures imposed by Trump on airlines on Wednesday have caused IATA to ask governments for emergency measures to overcome the crisis as well as an expansion of credit lines, reducing infrastructure costs and lower taxes.
Only on Thursday the shares of companies like Lufthansa fell 14%, Air France-KLM they lost 13% while British Airways fell by 15%.
In the case of US airlines Delta fell 13%, American Airlines 8% and United Airlines 15%.
More than 15.7 million Americans are estimated to be dependent on employment related to the travel industry.
European airlines have offered their employees unpaid leave, while others have slowed hiring.
It was in early March when the British airline Flybe collapsed by the outbreak of coronavirus.
Related: These are the airlines that give you money back if you cancel a trip because of the coronavirus.
The COVID-19 has left more than 124,500 people infected with more than 4,500 deaths, according to data from the World Health Organization that this week declared the virus a pandemic.
It is estimated that in the United States more than 850,000 international visitors entered the United States during the month of March 2019, which represents 29% of total air arrivals from abroad with an expense of more than $ 3.4 billion dollars.
The global pandemic still shows no signs of slowing down, so travel will be interrupted for a longer time.
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