Cathay Pacific asks employees to take leave, stops hiring amid Coronavirus

Hong Kong airline Cathay Pacific has asked staff to take three weeks of unpaid leave to help it cope with the impact of the coronavirus. On January 30th, the company has implemented temporary service modifications on all Cathay Pacific and Cathay Dragon flights to and from destinations in mainland China until further notice. 

The airline has offered a voluntary special leave scheme to the employees from March 1st to June 30th. The company mentioned that preserving cash was key to protecting its business. 

In a statement, Cathay said: "In view of the Novel Coronavirus outbreak and also a significant drop in market demand, we just announced massive capacity cuts yesterday." 

Cathay Chief Executive Augustus Tang has sent a video message to employees, wherein he mentioned that the airline had also asked its suppliers to cut prices, stopped hiring new staff and postponed some major projects and stopped all non-critical spending.  

"Today, we are appealing to all employees to participate in the special leave scheme, which will take effect from March 1st and last until June 30th. All employees will have the option to take three weeks of unpaid leave in this period."

In the wake of this crisis, flights from across the globe have stopped their services to China. Many companies are closing their outlets temporarily. China’s capital Beijing barred people from gathering for meals, celebrating birthdays, and other public events to curb the spread of the coronavirus.