Air France May Trim Work Hours After Summer: Paper
By Sophie Taylor, Reuters | Jul. 08, 2009
Air France-KLM may resort to several measures at the end of the summer, including reduced working hours, for the first time in its history to deal with the slump in demand, the airline's head said in an interview with Le Figaro newspaper.
"We don't see the slightest bright spot. The reduction in demand in cargo is brutal. The drop is also very large for high-spending customers," Air France Chief Executive Pierre-Henri Gourgeon was quoted as saying in an early edition of the newspaper due out on Jul. 9.
"It's complicated to put in place as we can't halt flights for one week every month, unlike the car industry," he added.
"If employees are not asked to voluntarily give up one month of salary, like with British Airways, then Air France employees have been told that their profit-sharing rewards will be reduced, on average, to around EUR80 this year from EUR1,300 last year," Gourgeon added.
Passenger traffic for Air France fell by 6.4 percent in June, exceeding a 5 percent cut in capacity. Traffic had fallen 8.1 percent in May.