ANA plans to slash workforce 20% over 5 years to survive COVID-19 crisis

ANA Holdings Inc programs to reduce its workforce in the aviation organization by roughly 20 percent over another five years through natural attrition to cut costs and cope with the COVID-19 crisis which has depressed travelling demand, sources familiar with the matter said.

The parent of All Nippon Airways Co expects the number of employees available to fall to 30,000 by March 2026 from 38,000 estimated at the end of March this season by reducing different hires and with retirement, the sources said.

The plan may be the most up-to-date effort by the key Japanese airline to meet up the goal of slashing costs by 100 billion yen over the five-year period. ANA Holdings estimates an archive net lack of 510 billion yen in today's business yr ending in March, since it is definitely struggling to manage a slump in air flow travelers without immediate end in view to the coronavirus pandemic.

The company has already begun cutting costs to ride out the crisis, canceling both domestic and international flights and reducing its fleet, including B-777s that are used for long-distance flights.

ANA normally hires around 3,000 latest graduates every year. However the company is likely to hire about 700 for fiscal 2021 starting from April and about 200 for fiscal 2022. It sees about 2,000 personnel leave the company every year.

Besides the aviation business, ANA runs property and That businesses. Its total workforce can be likely to be around 46,000 towards the end of March.