Joining other airlines' lead, Malaysia Airlines will be cutting the pay of senior management of the airline amid the ongoing Coronavirus outbreak.
First reported on theedgemarkets.com, Malaysia Airlines CEO Captain Izham Ismail stated its senior management salaries will be reduced by 10% along with no allowance as the airline is considering more cost cutting measures.
In a video to employees, Ismail stated: “You have heard over the past couple of weeks of how airlines around the world from Emirates to Cathay Pacific, Singapore Airlines (SIA) and Malindo Air have been forced to take hard measures to preserve cash flow. The senior leadership team and I have also been brainstorming potential measures to do the same for MAG (Malaysia Aviation Group) and we will decide the immediate and long-term actions in a matter of [a] few days.”
Ismail added: “I will reach out to all of you more in the following days and weeks on what we need to do. (So far), we have introduced huge capacity cuts. In the first quarter of 2020 (1Q20) alone, we removed 7.1% of our [flight] capacity. To date, we have cancelled more than 1,600 flights and the number is increasing.”
Among the major destinations with flight disruptions, Ismail noted its flights to China has been cut by 53% and 23% to both South Korea and Japan.