Argentinian Flag Carrier's Revenues Drop By 97% Amid COVID-19 Outbreak - Head

BUENOS AIRES (UrduPoint News / Sputnik - 02nd June, 2020) Pablo Ceriani, the president of Argentina's flag carrier Aerolineas Argentinas, said on Monday that the airline's revenues have fallen by 97 percent as a result of the ongoing COVID-19 outbreak, as a company representative told Sputnik that 7,500 employees may be temporarily suspended with pay.

"It is clear that many airlines will not be able to survive this crisis. We must take all necessary measures to overcome it and be able to proceed with our development plans ... At a time when the aircraft industry is paralyzed, and the revenues of Aerolineas Argentinas have fallen by roughly 97 percent, we must take action," Ceriani wrote on Twitter.

The president added that talks have begun with unions to negotiate the temporary suspension of workers in June and July with pay.

A company representative told Sputnik that roughly 7,500 employees will be placed on temporary suspension. The representative from the airline said that employees are expected to receive 75 percent of their pay while they are suspended.

The global airline industry has been one of the most severely affected by the ongoing coronavirus disease outbreak that has seen almost all international and domestic passenger air travel suspended.

According to a study conducted by the International Air Transport Association in April, airlines are expected to lose $314 billion in passenger revenue in 2020 as a result of the epidemiological crisis.