Ryanair CEO Michael O’Leary has reported that he and the rest of the airline’s employees will experience a 50% pay cut during the months of April and May in the face of the coronavirus crisis.
O’Leary has clarified, however, that at the end of May the group will have to reevaluate the situation and has not ruled out that there will be job cuts later on.
In an interview with ‘Financial Times’, O’Leary has admitted that nobody «has an idea» of what is going to happen or of the impact that the crisis will have on the sector.
Europe’s largest low-cost airline, preparing for a prolonged shutdown in air transport in several regions, works with a two or three month «at best» scenario of flight shutdown and no revenue.
O’Leary has said he is awaiting details from the UK and Irish governments about programs that could help pay workers, with the aim of «avoiding mass layoffs.» Ryanair is accessing those programs that have already been launched in countries in continental Europe.
The International Air Transport Association (IATA) has estimated that the airline industry would need up to $ 200 billion (€ 185 billion) of emergency financial support.