CAL offers early retirement options and extends temporary layoffs

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CAL offers early retirement options and extends temporary layoffs

Caribbean Airlines will initiate an Early Retire Plan for employees 55 and over.

This plan is voluntary and according to an internal letter, is an excellent opportunity for those who may wish to move on to retire early or pursue other opportunities.

The specific details of the plan will be formally communicated to staff, by Tuesday 23rd March.

CAL’s Chief Executive Officer, Garvin Medera, said “You will have seen from the financial results for 2020, announced last month, that the Covid-19 global crisis has massively impacted on our performance, particularly compared to our previous upwards trajectory. Over the past month we have reduced third party liabilities somewhat thanks to further government support and negotiated significant reductions in expected fleet costs. But our financial situation remains precarious, with no sign of an imminent resurgence in business nor the Trinidad and Tobago borders reopening to international passenger services.”

He said “we must maintain the strictest controls on expenditure and on that basis we have no choice but to extend the temporary layoffs for a further three month period from April 15, 2021. This will run on from the existing layoff period and apply to the same employees.

“In addition, where applicable, we will be inviting employees to apply for early retirement (or in some cases part time employment) should they wish to take this option, subject to final approval by CAL,” Medera added.

Staff will be invited to submit applications for their early retirement and once approved will be guided through the process.

There will be two retirement options available:
Option One – for employees’ with two (2) or less years of service to complete and;
Option Two – for employees’ with five (5) or less years of service to complete.

Divisional Management will hold online meetings with relevant staff, during March 22nd and 26th 2021, to provide an update, advise of details and answer any related questions and concerns.

Medera said “I know we share disappointment and frustration that we are still at the mercy of the global pandemic crisis, but I remain hopeful the first signs of a global economic recovery will start to appear as we move through 2021. In recent weeks, particularly with the latest US financial rescue plan being enacted by the new administration of President Biden, airlines in North America are starting to see significant levels of advance bookings and offering a positive outlook to employees for the first time in 12 months.”

Hopefully, Medera said, this upturn will spread quickly and also bring better tidings for the Caribbean.