Virgin Atlantic to cut over 1,000 more jobs as demand languishes

Gloomy outlook for US airlines; strong recovery for the massage industry

Fox Business Briefs: U.S. airlines facing a cloudy future despite billions of dollars of stimulus from taxpayers as carriers still plan big reductions in flights, planes and employees; massage industry thriving as leading franchises see a surge in business as states begin to ease restrictions that kept locations shut down due to the coronavirus pandemic.

Virgin Atlantic is preparing to cut more than 1,000 jobs after seeing a slower-than-expected recovery in international demand for air travel, Sky News reported on Thursday.

Continue Reading Below

VIRGIN ATLANTIC FILES FOR U.S. BANKRUPTCY PROTECTION

The report comes as the company's 1.2 billion pound ($1.59 billion) rescue deal is set for completion this week after a London judge gave the go-ahead to the airline's restructuring plan in a court hearing on Wednesday.

The airline will announce the layoffs as soon as Friday, the report said, adding that the latest round of cuts, if confirmed, would mean that Virgin Atlantic's workforce has almost halved from about 10,000 people before the coronavirus pandemic.

RICHARD BRANSON FIGHTS TO SAVE TRAVEL, TOURISM EMPIRE

Virgin Atlantic declined to comment on the Sky News report.

TickerSecurityLastChangeChange %
DALDELTA AIR LINES INC.31.22+0.08+0.26%

The company, which is 51% owned by Richard Branson's Virgin Group and 49% by Delta Air Lines Inc has had to close its Gatwick base and cut more than 3,500 jobs to contend with the fallout from the pandemic, which has grounded planes and hammered demand for air travel.

CLICK HERE TO READ MORE ON FOX BUSINESS

Source: Read Full Article