File photo Image Credit: Instagram (officialkenyaairways) Kenya Airways plans to layoff 590 employees in the second phase of the exercise, Group Managing Director CEO Allan Kilavuka has indicated, even as questions over the budget to send home staff remains answered, according to a news report by The Star Kenya.
This is after serving at least 700 members of staff in the first phase(last month), with the entire process targeting at least 1,500 employees- pilots, cabin crew, technical department among other sectors.
At least 182 pilots and more than 400 cabin crew are facing job losses, raising questions over the future of the carrier which is in the process of being nationalized.
It is also not clear how the loss-making carrier will let go of staff with full benefits when it is struggling to pay salaries, with only about Sh4 billion extended to the carrier by the government to sustain operations for the next four months.
In a letter to staff, Kilavuka has blamed low business in the aviation industry which has globally been affected by COVID-19 , which has significantly cut travel and revenues, leaving airlines struggling to remain afloat.
According to Kilavuka, recovery is estimated to take at least three years.
KQ resumed domestic flights on July 15 while international flights returned on August 1, albeit at low frequencies.
The domestic travel average load factor in the first week of operation was 56 percent, which dipped slightly to 49 percent.
This has gradually risen to 59 percent in the last week while the international load factor is currently at 37 percent, Kilavuka notes.
