Rolls-Royce cuts 15% of its workforce

Chân Anh |

Rolls-Royce Holdings (RR.L) - a UK aircraft engine maker is considering cutting up to 15% of its workforce as customers cut production orders and airlines have to stop flying due to the COVID-19 pandemic, a source told Reuters.

The extent of this cut has been mentioned within Rolls-Royce by senior managers, but it has not reached a final decision and there are many negotiations that need to be carried out, the source added.

Accordingly, these two companies will pay Rolls-Royce based on the duration of Rolls-Royce's engines.

The Financial Times had previously reported that Rolls-Royce is preparing to cut about 8,000 out of its 52,000 employees.

A final figure announcement will be made before the end of May when the company updates its personnel, according to a Financial Times report.

Last month, Rolls-Royce reduced its sales targets for this year and stopped paying dividends to strengthen finances, facing difficulties caused by the COVID-19 pandemic.

Warren East - CEO of Rolls-Royce said in April that the company will consider cutting cash spending, including salary costs for its global workforce by at least 10% this year.

The Financial Times also added that this personnel cut may be greater than the cut after the September 9 terrorist attack when the airline cut 5,000 employees at that time.

Chân Anh
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