The company’s Latin american LATAM was placed in may under the protection of the u.s. bankruptcy code.
July 30, 2020 17h46
The damage of the virus on the job in the world
PARIS — The pandemic of sars coronavirus rug out whole swathes of the global economy, including the aviation, automotive or distribution.
The big social plans are only the visible part of the crisis. The pandemic is also in difficulty, a multitude of small businesses, and destroyed in the silence of the many precarious jobs.
Turbulence in the air
Two major companies of Latin america, the chilean-brazilian LATAM and the colombian Avianca, held in may under the protection of the u.s. bankruptcy code. Of smaller companies, such as south africa, South African Airways and Comair, the british Flybe or branches of austrian and French Level (IAG) have been taken away.
In the bankruptcy filing, the giant australian Virgin Australia has been bought by an american company.
Others are at the price of drastic cuts, such as the u.s. American Airlines (more than 41 000 departures), United Airlines (up to 36 000) and Delta Air Lines (10 000), the German Lufthansa (22 000), Air Canada (at least 19 000), the british British Airways (12 000), EasyJet (4500) and Virgin Atlantic (3150), Air France (7500), australian Qantas (6000), scandinavian SAS (5000), the irish Ryanair (3250), or Icelandair (2000).
To limit breakage, Germany, flew to the rescue of Lufthansa and Condor, France and the netherlands have done the same with Air France-KLM. Italy and Portugal have opted for a nationalization of Alitalia and TAP.
Side manufacturers, Boeing account to delete at least 16 000 jobs, Airbus 15 000, the canadian Bombardier 2500, while manufacturers of motors, american General Electric and the british Rolls-Royce will cut 12 600 and 9000 posts. In the airport services, the group Swissport will remove more than 4,000 jobs in the Uk.
The tourism sector is also in great difficulties : the first tour operator in the world TUI is going to destroy 8000 jobs.
Outputs of the road in the car
The announcement of 15,000 job cuts at Renault and the bankruptcy of the lessor american Hertz in North America are two manifestations of the crisis in the automotive industry.
It is not a question of isolated cases. The German BMW removes 6000 jobs. Nissan closes a plant employing 3000 workers in Barcelona. In the United Kingdom, more than 6000 job cuts have already been announced, including Jaguar Land Rover, Aston Martin, Bentley and McLaren.
The manufacturer of the heavy-weight Swedish Volvo Group removes 4100 jobs in the world.
Among oems, the French Valeo announced 12 000 destruction of positions.
Bankruptcies in the distribution
The pandemic has been fatal to many signs of asphyxiation by closing their stores during the confinement.
In the United Kingdom, the group Intu, owner of huge shopping malls, has filed for bankruptcy, just like the big stores Debenams, the british channel clothing, Laura Ashley and the specialist in the rental and sale of products for the home BrightHouse. The group of diy and materials Travis Perkins removes 2500 posts.
In France, many brands of clothing (The cloth Hall, Andre and Naf Naf, Orchestra-Prémaman, etc.) have been placed into receivership, before being redeemed at the price of reductions in staffing.
In Germany, the Karstadt department stores Kaufhof will remove 6000 jobs.
In the United States, the pandemic led to the bankruptcy of the large stores, Stage Stores and apparel chains J. C. Penney and JCrew.
In the restoration, the German string Vapiano has gone bankrupt, while the british retailer, The Restaurant Group’s farm 125 restaurants (3000 jobs) chains Frankie & Benny’s, Garfunkel’s and Coast-to-Coast, having already placed in bankruptcy, its restaurants Chiquito, Food and Fuel and Carluccio’s. Up to 5000 jobs are also threatened in PHC, specialist british fast food.
Other sectors weakened
The energy, facing a decline in demand, also suffers. The giant oil services Schlumberger, based in Houston, provides for the elimination of 21,000 jobs, representing a quarter of its workforce. The british company BP removes 10 000 positions, the british suppliers Centrica and Ovo, respectively, 5000 and 2600. The group texas Diamond Offshore (drilling) and the american Whiting Petroleum Corporation (deposits in shale) have filed for bankruptcy.
In the digital, Uber (booking VTC) account laying off 6700 employees and its competitor, Lyft almost 1000. Airbnb and TripAdvisor have announced the dismissal of approximately 25 % of their workforce. The professional social network LinkedIn has announced the abolition of a thousand posts. The oem telecom finland’s Nokia has announced the abolition in France of 1233 jobs of its subsidiary Alcatel-Lucent.