No sector seems to have been spared by the economic crisis caused by the shutdown of activities in the containment. This is particularly the case of Rolls-Royce, the world-famous manufacturer of engines of british aircraft. This Wednesday, may 20, the company revealed in a press release its decision to remove “at least” 9,000 jobs. The group invokes the collapse “unprecedented” air traffic caused by the pandemic of sars coronavirus. According to Rolls-Royce, it is ” increasingly clear that it will take several years for the market of the commercial aviation returns to its levels of a few months ago “.
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The deletions contemplated are 17% of a total workforce of 52,000 people. They will affect primarily the activities of civil aviation, a little bit of administrative functions, but not the branch of defence. A source close to the dossier had indicated to the Agence France-Presse in early may that the industrial group was planning up to 8,000 job cuts. “Our customers in the aviation and aeronautical industries must adapt and so will we,” says Warren East, the director-general, quoted in the press release.
saving proposed of 1.45 billion euros
“governments are doing what they can to support businesses in the short term, but […] they can only replace in a sustainable way the demand of clients that no longer exist,” he continued. Rolls-Royce said that its restructuring, ” major “, accompanied by cost reductions ” in the factories and assets, the capital and the [costs] indirect “, would in total save 1.3 billion pounds (1.45 billion euros), of which 700 million will come from layoffs. The group had already canceled the payment of a dividend.
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The aviation sector is one of the most affected by the fallout of the pandemic coronavirus and containment measures and restrictions on travel put in place to curtail its spread. In the United Kingdom, airlines, British Airways, Virgin Atlantic and Ryanair, among others, have already announced thousands of job cuts.
in The United Kingdom, 43 500 people in the technical unemployment in aviation
in addition, the british minister of Transport Grant Shapps told Parliament on Monday that 43 500 people had been put on technical unemployment in aviation in the United Kingdom because of the crisis of the sars coronavirus, and 2,600 in the airports., The engine manufacturer had already reduced its workforce from 4 to 600 people, mainly in the administrative, from 2018.
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Rolls-Royce had reduced its net loss in the year 2019 through improved commercial performance, in spite of the costly problems on its aircraft engines Trent 1000, which plombaient its accounts for several years, but the health crisis is a new shot from the front.
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