[Updated] Caribbean Airlines extends temporary lay-offs

Temporary layoffs of Caribbean Airlines Ltd (CAL) workers have been extended once again for a further three months.

An internal memo to staff from CAL CEO Garvin Medera and obtained by Newsday said the new layoff period would begin on April 15.

The memo also said the company was inviting employees to apply for early retirement and, in some cases, part-time employment. It said those applications were subject to final approval by CAL.

Head of Corporate Communication for CAL Dionne Ligoure confirmed the extension by WhatsApp on Thursday.

This is the second extension since the company announced furloughs and salary cuts from October 15, 2020 as short-term measures to save the company, which has been struggling since the government closed TT's borders in March to curb the spread of the covid19 virus.

On December 15 last year, Medera told workers layoffs would be extended from January 15-April 15, 2021.

The latest memo said, “You will have seen from the financial results of 2020, announced last month, that the covid19 global crisis has massively impacted on our performance, particularly compared to our previous upwards trajectories.”

It said, even with third-party liabilities reduced in the past few months with government support and reductions in fleet costs, the company’s finances remained uncertain with no sign of a resurgence in business. TT's borders have been closed for a year.

“We must maintain the strictest controls on expenditure and, on that basis, we have no choice but to extend the temporary layoffs.”

It said more updates on the revised tactical plan for 2021 and 2022 would be provided through a virtual town-hall meeting in the second quarter.

“I know we share disappointment and frustration that we are still at the mercy of (covid19), but I remain hopeful the first signs of a global economic recovery will start to appear as we move through 2021.”

The memo said airlines in North America are recording more advance bookings for the first time in the year since the pandemic crippled the airline industry. Medera credited this, in part, to the latest financial rescue plan enacted by US President Joe Biden.

“Hopefully, this upturn will spread quickly and also bring better tidings for the Caribbean.”

This story has been updated with additional details. Below is the original publication.

TEMPORARY lay-offs of Caribbean Airlines Ltd (CAL) workers, instituted last year as a direct result of borders being closed due to the pandemic, have been extended for a further three months.

An internal memo under the hand of CAL CEO Garvin Medera, a copy of which was obtained by Newsday, said the new temporary lay-off period will begin on April 15.

The memo also said the company is inviting employees to apply for early retirement and, in some cases, part-time employment.

This is the third extension of temporary lay-offs since CAL announced furloughs and salary cuts on October 15, as short-term measures to save the company, which has been struggling since the government closed Trinidad and Tobago's borders last March, in an attempt to curb the spread of the virus.

In December, Medera told staff the initial lay-off period would be extended from January 15-April 15.