Virgin reveals more jobs will go amid aviation ‘crisis’
Virgin Australia will likely make up to 150 corporate and head office workers redundant after Victoria's COVID-19 restrictions and ongoing border closures "severely impacted" the airline's recovery plans.
Up to 150 jobs from the carrier's Southbank head office and other corporate locations are likely to go, Virgin CEO Paul Scurrah told staff on Monday.
Mr Scurrah said the aviation industry was "in the midst of the worst crisis" it had ever faced.
"Our cash management throughout this period is absolutely critical," he said.
"One of our largest costs is labour, and with much less transitionary work required as the administration process is coming to an end and without the revenue coming through the door, we simply cannot justify the number of team members who are currently stood up."
The redundancies are the second since the airline was purchased by Bain Capital in June, when 3000 of the airline's 9000-person workforce were cut.
Mr Scurrah also revealed staff who had been stood down would likely remain so until March 2021.
"Consultation will occur immediately for roles which are identified as no longer being required as a result of the smaller operation and reduced work," he said.
Virgin last week closed its Tigerair carrier after 13 years.
Virgin will also review its head office operations, Mr Scurrah suggesting it would become "a smaller, simpler operation".
"The reality is this will also have the regrettable impact of further job losses," he wrote.
"I'm aware that for many of you it will feel like we have already done this … last year.
"However, the world and our business have significantly changed since then which must be addressed."
Qantas recently announced 2500 positions across Qantas and its Jetstar business would be made redundant on top of 6000 jobs cut in June.
Originally published as Virgin reveals 250 more jobs will go amid aviation 'crisis'