JAKARTA - PT Garuda Indonesia (Persero) Tbk (GIAA) has furloughed around 800 contract flight attendants for three months since May 14, 2020 amid the blow faced by the airline due to the coronavirus (COVID-19) pandemic.
According to Garuda Indonesia CEO Irfan Setiaputra, the decision was made "with thorough consideration" and aims to avoid mass termination.
"The policy of furloughing contract employees is a continued effort that we need to pursue aside from other strategic efforts that we have done to ensure the company's sustainability amid airline operations which are yet to go back to normal due to the COVID-19 pandemic," said Mr Setiaputra in an official statement, Sunday (17/5).
The policy, said Mr Setiaputra, is temporary and will be reviewed and evaluated periodically in line with situation development in relation to the COVID-19 pandemic. For three months, furloughed flight attendants will still be entitled to health insurance and holiday allowances, which have been paid in advance.
"This is a heavy decision that we must take with thorough consideration due to airline operations which are yet to go back to normal," Mr Setiaputra added.
"However, we believe that Garuda Indonesia can survive these challenging times for the aviation industry." (MS)