State-run SriLankan Airlines said it will slash staff pay and negotiate deferred payments from suppliers with the fleet grounded and only cargo flight to be operated, due to Coroanvirus.

Staff salaries would be cut by 2.5 to 25 percent, and salary increments made in 2020 would be frozen for three months, the airline said.

“‘[T]he management of SriLankan Airlines has already taken measures to preserve the liquidity of the National Carrier by negotiating deferred payment plans and deductions with Airline’s key suppliers,” the airline said in a statement.

“Whilst doing so, the Airline is continuously looking at creating new business opportunities whilst focusing on cost saving measures to improve liquidity.”

Most airlines have laid off staff and some are also getting government support.

” The management of the National Carrier will continue to engage with its employees during this challenging period to identify productivity enhancement initiatives that would further strengthen its efforts to ensure the Airlines’ business continuity,” the airline said.

” SriLankan Airlines expresses its sincere gratitude to all its staff for the many sacrifices they are making, in order to ensure the continued existence of the National Carrier, and to assist the company to protect their livelihoods for the future.

“The contribution of every employee and the support of the employee trade unions are highly valued by the Chairman, Board of Directors and the management.”

SriLankan Airlines is one of the few airlines that are still on air in

the world. The airline said it would cease all passenger operations on April 07 as airports are closing around the world. (Colombo/Apr02/2020)

https://economynext.com/srilankan-airlines-to-slash-staff-pay-defer-payments-as-coronavirus-grounds-fleet-63603/