Due to Route Reductions by China Amid 'New Coronavirus'... Asiana Also Offers Cabin Crew Voluntary Leave
Low-cost airlines already facing voluntary retirement wave... "No suitable alternative routes"
Potential for further spread depending on COVID-19 containment
Reduction of China routes accelerates... Jeju Air suspends all China flights from March
On the 10th, amid ongoing concerns about the spread of the novel coronavirus infection, the domestic check-in counters at Gimpo Airport in Seoul showed a quiet scene. Photo by Hyunmin Kim kimhyun81@
View original image[Asia Economy Reporter Yoo Je-hoon] Asiana Airlines is implementing voluntary leave for cabin crew members for the first time among major Korean full-service carriers (FSC) since the outbreak of the novel coronavirus infection (Wuhan pneumonia). This is an extreme measure taken due to more than 80% suspension and reduction of flights between Korea and China caused by the novel coronavirus situation.
According to the aviation industry on the 12th, Asiana Airlines is currently accepting voluntary leave applications from domestic cabin crew members from the 15th to the 29th of this month. Previously, Asiana Airlines had mandated unpaid leave of 15 days to 2 years for general employees last year due to deteriorating financial conditions, but cabin crew members involved in flight operations were not included.
Asiana Airlines decided to offer voluntary leave to cabin crew due to the large-scale suspension and reduction of flights on China routes caused by the novel coronavirus situation. As of the third quarter of last year, Asiana Airlines’ revenue from China routes accounted for 19%, the highest level among all Korean airlines including low-cost carriers (LCCs).
Asiana Airlines is also considering implementing voluntary leave next month depending on the development of the novel coronavirus situation. An Asiana Airlines official explained, "This measure is due to the decreased aircraft utilization rate caused by the suspension and reduction of China routes," adding, "Depending on changes in China routes, voluntary leave may also be implemented in March."
The trend of voluntary leave is spreading throughout the aviation industry. Jeju Air plans to implement a one-month unpaid leave system for cabin and flight crew starting in March. T’way Air and Air Seoul are also accepting voluntary leave applications from all employees. Eastar Jet has been operating an unpaid leave system for up to three months since the 15th.
Korean Air, the country’s top airline, has not yet considered voluntary leave. At the end of last year, Korean Air implemented short-term voluntary leave of up to three months for all employees except some flight crew (pilots). A Korean Air official stated, "We are not currently accepting additional voluntary leave," and added, "We are encouraging cabin crew to use their annual leave."
Hot Picks Today
Cerebras Soars 70% on IPO Debut: Is Nvidia's Reign Ending as a New AI Semiconductor Power Emerges?
- Special Prosecutor Requests 7 Years and 6 Months in Prison for Kim Keon-hee Over 'Bribery for Favors'
- "Multi-Million Won Bonuses, Life Is Sweet"—Even Employee Reactions... SK hynix Overtakes Samsung to Claim No. 1 Spot
- "It Costs 100,000 Won for Two Hours"...No Place for Kids to Play if Parents Can't Afford It
- Japanese Teacher Dismissed for Obscene Acts Involving Third-Grade Girl's Water Bottle
Meanwhile, reductions in China routes are accelerating. Jeju Air has decided to completely suspend China route operations starting March 1. Jeju Air, which originally operated 17 Korea-China routes, had suspended 5 routes during winter, stopped 7 routes after the novel coronavirus outbreak, maintaining only 5 routes, but now it will suspend even those remaining routes.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.