The outbreak of the new coronavirus (Covid-19) continues to lead to changes in the airline. Now, cost reduction measures have been taken, including cutting the variable remuneration under the program to reduce cuts and costs, according to Dinheiro Vivo.
At the beginning of the afternoon, TAP already indicated that, due to the outbreak, “it decided to reduce the capacity for the next months by about 2500 additional flights”, which join the thousand calls canceled last Thursday.
In total, this adjustment of the offer results in the cancellation of 3,500 flights over the next few months.
Despite the harsh criticisms made by Pedro Nuno Santos, Minister of Infrastructure, TAP was preparing for the payment of premiums, just as shareholder David Neeleman had advanced in an interview with the newspaper Observador.
Now everything is ineffective.
This afternoon, in a communication sent to the CMVM, TAP reported the cancellation of the total of 3,500 flights, reinforcing other information that it had already provided last week: “a set of initiatives was adopted to control and reduce costs, including suspension or postponement of non-critical investments, renegotiation of contracts and payment terms, cut of ancillary expenses, suspension of hiring new workers, progression and training, as well as the implementation of temporary unpaid leave programs. ”
TAP is not the only airline to announce flight cancellations. In the low-cost, the Irish Ryanair announced this Monday the cancellation of more flights to and from Italy, due to the travel block imposed by the Italian Government over the weekend.
Emirates airline also announced changes to the flight change and cancellation policy. The company says that the new policy, which allows exemption from change fees, will affect all tickets issued until March 31, 2020.
READ ALL THE COVERAGE ABOUT THE NEW CORONAVIRUS HERE
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