Thai Airways International THAI) has announced plans to furlough more employees, and offer early retirement to its workforce, in efforts to maximise its current cash reserves.
According to a report by Bangkok Post, Chansin Treenuchagron, THAI's Acting President, noted that about 80% of the flight carrier's employees have co-operated by taking voluntary pay cuts or unpaid leave.
However, Treenuchagron pointed out that with the pandemic "yet to show signs of subsiding", revenues from other sources "won't be enough to keep the company afloat next year."
According to the report, certain employees had been willing to leave prior to retirement, on the condition that they were "suitably compensated."
Further, employees who wish to participate in the round of early retirements will be able to submit their applications between 15 to 30 October. Those whose applications have been approved will receive severance pay of two to 14.33 months per the law, with additional benefits from THAI.
Apart from that, the report stated that the furlough programme will be effective 1 November 2020 to 30 April 2021.
In similar news, Vietnam's Prime Minister has approved the country's public service workforce plan for 2021, Vietnam News recently reported.
As part of the plan, there will be a reduction in the total number of officials, civil servants and public employees, excluding those in the Ministry of Public Security, Ministry of Defence, and at the commune level.
In particular, this number will be streamlined by 3,867 workers, down to 249,650.
Of this group, the report added, 247,344 will be deployed to ministries, sectors, localities and organisations, while 1,068 of them will be sent to work at representative offices abroad.
According to the Ministry of Home Affairs, as cited by Vietnam News, as many as 40,500 officials, civil servants, public employees and workers were removed in 2015 and 2018, following an earlier plan to streamline state agencies and downsize the number of public employees.
Out of these 40,500, 35,000 had retired early, while 5,483 were made redundant.
Photo / 123RF