IAG has decided to lower capacity further to an approximately 90% reduction in April and May compared to last year.
As a result of the significant decline in flying, IAG subsidiary British Airways is making use of the U.K.’s COVID-19 Job Retention Scheme to help U.K.-based employees placed on furlough. It has reached an agreement with trade unions, GMB and Unite, to apply this scheme to more than 30,000 cabin crew and ground-based employees in April and May. Under this scheme, furloughed employees will receive 80% of their base pay and of certain allowances. This agreement is subject to union ratification.
British Airways has also reached an agreement with its 4,000 pilots to take four weeks of unpaid leave in April and May.
IAG’s other airlines have received support from similar job retention and wage support schemes for more than 17,000 employees in Spain and are seeking similar support in Ireland.
