Virgin Atlantic to cut around 600 jobs

There is some bad news for Virgin Atlantic employees. The airline is planning to cut on winter services which may result in cutting of around 600 jobs. The company had also mentioned in February that 600 jobs might get cut. At present there are 8500 Virgin Atlantic employees worldwide. The airlines informed that the Heathrow to Chicago service running daily will be suspended this winter. Also one of two daily London to Hong Kong flights will be cut.

Though most airlines have struggled during the present recession but Virgin has performed better than most other airlines. Even in May, the airlines reported rise in profits in the year to the end of February. But, the airline has been affected by the fact that the economy isn’t picking up. Paul Charles who is the director of communications of the Virgin Atlantic said that there is a decrease in the number of forward bookings as compared to last year. Also, the demand has gone down.

Consultation regarding job cuts will start in coming few weeks. Other airlines are also struggling as evident by the fact that British Airways is communicating with unions regarding cost cuts. It seems that British Airways also wants its staff to accept a pay freeze of two years. The economic condition should improve soon, otherwise more and more will become unemployed day by day.