China Airlines Staff To Face 15-25% Pay Cuts

Taiwan’s flagship carrier, China Airlines (CAL) will cut the salaries of all employees by between 15 and 25%.

In a move agreed with airline staff and unions, the move is the latest in countering ongoing financial difficulties faced by the industry as a result of travel limitations caused by COVID-19.

Speaking on Monday, China Airlines Employees’ Union president Liu Hui-tsung made the announcement that will see lower level staff lose 15% of their salaries, with mid-level and senior level employees facing 20 – 25% cuts.

The cuts will come into play on May 1st, and will run until July 31st according to sources.

It is understood work schedules will also be affected with reduced working hours and increased numbers of days off each month.

The company has already assured its workforce that it will not be firing workers as a result of the ongoing measures.

It is not the first time airlines in Taiwan have warned of coming hardship amidst the ongoing global pandemic.

Just last month six of Taiwan’s airlines, including China Airlines and Eva Air were granted government aid to help them cope with the sudden drop off in business.

The airline industry worldwide has been particularly hard hit by the COVID-19 pandemic, with Britain’s Virgin Atlantic and its fleet of 46 aircraft facing economic collapse in Europe, and the Australian branch of the airline already falling into “voluntary administration” according a BBC report.