All 430 Czech Airlines employers at risk of losing their jobs

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All 430 workers of one of the oldest airlines in the world, Czech Airlines, are facing redundancies as the indebted company plans massive layoffs. 

The Prague-based airline, Czech Airlines (CSA), has sent a notice to the Czech Republic’s Employment Office saying it would lay off its entire workforce of 430 people, reported the matter Czech daily paper Hospodářské Noviny.

“I can confirm that we have received a notice of mass redundancies,” said Tereza Löffelmanová, chairwoman of the Aircraft Crews Trade Union.

CSA is currently under a protective moratorium that protects it against creditors. However, the protection expires on February 27, 2021.

The indebted airline is waiting for state aid. The government offered financial aid to Smartwings, the owner of Czech Airlines, in May 2020. However, the carrier rejected the support as it came with the condition of transferring the ownership to the Czech Republic. This time, the government does not intend to offer its help.

“We are not preparing any specific support for the Smartwings Group,” said Minister of Transport and Industry and Trade Karel Havlíček.

However, for now the airline is not planning to cease operations. “CSA will not stop operations in any case; the restructuring process aimed at rescuing CSA continues. The possibility of mass layoffs, which CSA announced to the Labor Office, is one of the steps in the restructuring measures,” said the company’s spokesperson Vladimíra Dufková.

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