El Al extends unpaid leave for employees until July 31

El Al plane  / Photo: El Al, PR

The Israeli airline has written off the summer, with Benjamin Netanyahu talking about relaxing border controls in August, only with Greece and Cyprus.

El Al Israel Airlines Ltd. (TASE: ELAL) has announced that it is extending the unpaid leave of its employees until July 31. Sources at the airline say that it has written off the summer, its peak season. El Al is not hopeful after Prime Minister Benjamin Netanyahu announced earlier today that he will only open Israel's borders between Greece and Cyprus on August 1, if the rate of Covid-19 infections does not climb.

90% of El Al's 6,300 employees were put on unpaid leave in March. The airline is mainly operating cargo flights with occasional passenger flights, according to demand.

El Al is deep in debt and is under pressure to fire at least 2,000 employees, reduce its fleet and the number of destinations it flies to in order to receive a government bailout.

Earlier this week Arkia Airlines Ltd. extended the unpaid leave of its employees until July 31.

Published by Globes, Israel business news - en.globes.co.il - on June 16, 2020

© Copyright of Globes Publisher Itonut (1983) Ltd. 2020

El Al plane  / Photo: El Al, PR
El Al plane / Photo: El Al, PR
Twitter Facebook Linkedin RSS Newsletters גלובס Israel Business Conference 2018